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Nilanjan Bhowmick AIR 3, CSIR NET (Earth Science)
Priya gulani
Agreements for the sale of land in England are usually made ‘subject to contract’. The use of the term suspends the binding effect of an offer until there is a formal contract in writing. Although the term is applied mainly to contracts for land it would have the same effect in relation to other types of contract as well. Acceptance ‘subject to contract’ must be distinguished from the use of a provisional contract, which is made on the understanding that the parties wish to replace the preliminary contract with another at a later date. Even if the immediate contract is described as provisional it takes effect at once.