Question

Under the Indian Contract Act, 1872, the person making the proposal is called ________.

• A. The “proposer”
• B. The “offeror”
• C. The “principal”
• D. The “promisor”

Hint:

Under the Indian Contract Act, 1872, there is no legal term called "proposer" or "offeror" in the definitions.
Section 2(c) directly names them "promisor" and "promisee".

Answer 1

The Correct Option is D

Step 1: Understanding the Question:
The question asks for the specific statutory designation given to the party who initiates an agreement by making a proposal under the Indian Contract Act, 1872.

Step 2: Key Legal Principles and Approach:
Section 2 of the Indian Contract Act, 1872, defines key terms of contract formation.
Specifically, Section 2(c) defines the designations given to the parties to a promise.

Step 3: Detailed Explanation:

• Proposals and Promises: Under Section 2(b), when the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted.

• A proposal, when accepted, becomes a promise.

• Statutory Terms: Section 2(c) states: "The person making the proposal is called the 'promisor', and the person accepting the proposal is called the 'promisee'."

• While English law commonly uses the terms "offeror" and "offeree", and colloquial language might suggest "proposer", the Indian statutory framework strictly utilizes the terms "promisor" and "promisee" once a proposal progresses toward becoming a promise.

• Therefore, the blank should be filled with "promisor", making Option (D) the correct answer.

Step 4: Final Answer:
According to Section 2(c) of the Act, the person making the proposal is defined as the "promisor", which corresponds to Option (D).