Legal Principle : A counter offer doesn't give rise to contractual binding. Factual Situation : Aman offered to sell a Rolls Royce for $1,500 to Xiaomi who said he would give $800. Aman refused and Xiaomi who then said he would give $1,500. Aman declined to adhere to his original offer and Xiaomi tried to obtain specific performance in the court. Decide as a judge? Issue : Is there a valid contract between Aman and Xiaomi? Decision:

It is voidable contract at the option of Xiaomi.

There is not valid contract as Xiaomi's offer to pay $1500 is a refusal of the offer.

There is a valid contract and Aman is liable for specific performance.

Legal Principle : A counter offer doesn't give rise to contractual bin

1.	Legal Principle : A counter offer doesn't give rise to contractual binding. Factual Situation : Aman offered to sell a Rolls Royce for $1,500 to Xiaomi who said he would give $800. Aman refused and Xiaomi who then said he would give $1,500. Aman declined to adhere to his original offer and Xiaomi tried to obtain specific performance in the court. Decide as a judge? Issue : Is there a valid contract between Aman and Xiaomi? Decision:
A.	There is not valid contract as Xiaomi's offer to pay $1500 is a refusal of the offer.
B.	There is a valid contract and Aman is liable for specific performance.
C.	It is voidable contract at the option of Xiaomi.
D.	The contract is void ab intio.
Answer» C. It is voidable contract at the option of Xiaomi.

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