AIBE XX 2025 Set A Question 53

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Question 53 of 100 AIBE XX 2025 Set A

As per the Indian Contract Act, 1872, an acceptance must be absolute and unqualified. What is the legal effect if an offeree's response to a proposal introduces a new term ?

A It becomes a valid acceptance, and the new term is incorporated as a mere suggestion.
B It operates as a valid acceptance if the new term is not a material alteration.
C It constitutes a counter-proposal, thereby rejecting the original proposal. Official answer
D It suspends the original proposal until the new term is accepted or rejected by the proposer.