When can an offer be revoked?

Asked by: Else Hoeger  |  Last update: January 28, 2026
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An offer can generally be revoked by the offeror (the person who made the offer) at any time before the offeree accepts it, provided the revocation is communicated to the offeree; it becomes effective upon receipt by the offeree, even if verbal, and can happen indirectly if the offeree learns the offeror changed their mind, but an option contract or acceptance can prevent revocation.

In what circumstances may an offer be revoked?

Revocation can occur at any time before the offer is accepted. The revocation must be clear and unambiguous. The offeree must be aware of the revocation for it to take effect.

What are the rules of revocation of an offer?

Under the Indian Contract Act, 1872, an offer can be revoked through several modes such as prior communication, lapse of time, failure of a condition precedent or the death or insanity of the offeror. However, revocation must always be clearly communicated before acceptance is complete.

What are the 4 ways an offer can be terminated?

There are four ways for the termination of an offer to occur, which means that there can be no acceptance and no contract: lapse, revocation, rejection, and death or incapacity.

What kind of offer cannot be revoked?

Irrevocable Offers

One type of offer that is irrevocable (cannot be revoked) is the option contract. An option contract occurs when an offeree has provided consideration (usually a payment) to the offeror in exchange for a promise to keep the offer open for a specified period.

Can An Offer Be Revoked In Contract Law? - Business Law Pros

36 related questions found

Can you revoke an offer after acceptance?

Yes, you can. However, it's important to make sure that this is something you really want to do and, if you signed a contract, be clear on the terms of leaving that job so that you're not in breach of contract.

What are the three types of revocation?

Types of Revocation

Intentional revocation. Revocation by operation of law. Mutual cancellation by both parties. Revoking an offer before it is accepted.

What are the six ways an offer can be terminated?

Termination of the offeree's power of acceptance can result from any of the following six causes:

  • expiration or lapse of the offer,
  • rejection by the offeree,
  • a counteroffer by the offeree,
  • a qualified or conditional acceptance by the offeree,
  • a valid revocation of the offer by the offeror, and.
  • by operation of law.

What are 5 reasons for termination?

Five common reasons for employee termination include poor work performance, misconduct (like harassment or theft), insubordination (refusing to follow orders), attendance issues (chronic lateness/absences), and violating company policy, with other major reasons being substance abuse, safety violations, or breach of confidentiality, often categorized as termination "for cause". 

In which situation can an offer not be withdrawn?

A unilateral offer cannot be withdrawn if the offeree is in the act of performing, since acceptance and performing are one and the same thing. An offer may come to an end because it has been accepted, in which case a contract has been formed.

How can an offer be revoked or withdrawn?

Communication for revoking an offer could be made by third party to offeree. An offer may be rejected expressly or by implication. Offeree's conduct may indicate rejection. (A joining other company) • An offer is terminated on rejection cannot be later accepted.

When can revocation occur?

As a general rule, an offer can be withdrawn at any time before it is accepted. However, the revocation must be communicated to the offeree to be effective. The notice to withdraw the offer must be given and must reach the offeree, or its agent (if the agent is authorised to receive notification of withdrawal).

Can you revoke an offer once accepted?

Once someone has accepted an 'unconditional' job offer, they're in a legally binding contract of employment. However, a 'conditional' job offer can be withdrawn if the person does not meet the employer's conditions (for example, satisfactory references and health record).

Can an offer be revoked anytime before acceptance?

An offer can be revoked anytime before acceptance, but the revocation must meet specific legal criteria to be valid. The general principle is that revocation must be effectively communicated to the offeree for it to take effect.

Can a buyer back out after an offer is accepted?

Yes, a buyer can back out of an accepted home offer, but it's much easier and often penalty-free if done within the timeframes and conditions of contingency clauses (like inspection, appraisal, or financing) in the contract; otherwise, they risk losing their earnest money deposit and potentially facing legal action for breach of contract. The key is using contingencies to create legitimate reasons to exit the legally binding agreement. 

What are the five ways a contract can be terminated?

What Are The Five Ways To Terminate A Contract?

  • Mutual Agreement. One of the most straightforward ways to terminate a contract is through mutual agreement. ...
  • Performance or Completion. Another way to terminate a contract is by fulfilling it. ...
  • Breach of Contract. ...
  • Impossibility of Performance. ...
  • Rescission.

What not to say in termination?

When firing someone, avoid saying "I'm sorry," "This is hard for me," "We're going in a different direction," or comparing them to others; instead, be direct but respectful, focusing on business reasons, documenting prior warnings, and clearly stating the decision, as phrases that sound apologetic or vague can create confusion and legal risk. Never make it a surprise for performance issues, don't make personal attacks, and avoid false hope or promises of future employment.
 

What are 5 fair reasons for dismissal?

The five fair reasons for dismissal under UK employment law are Conduct, Capability/Qualifications, Redundancy, Breach of a Statutory Duty/Restriction, and Some Other Substantial Reason (SOSR), each requiring a fair process, like investigation, warnings, and consultation, to avoid unfair dismissal claims. These reasons cover employee behavior, inability to do the job (skill/health), role elimination, legal constraints, and other significant business needs. 

What is the biggest red flag at work?

The biggest red flags at work often signal a toxic culture and poor leadership, with high turnover, communication breakdowns, lack of trust, blame culture, and unrealistic expectations being major indicators that employees are undervalued, leading to burnout and instability. These issues create an environment where people feel unappreciated, micromanaged, or unsupported, making it difficult to thrive and often prompting good employees to leave.
 

What are the grounds on which the offer could be revoked?

In conclusion, offer can be terminated by Revocation, Rejection, Lapse of time, Conditional Offer, Operation of law, Death, Acceptance and Illegality.

Can an offer be revoked after acceptance?

In cases where no conditions are specified, such an offer after acceptance results into a binding agreement. Therefore, withdrawal of the said offer amounts to termination of employment thus making the employer liable.

What are the two types of revocation?

The two main types of revocation often discussed in law, especially concerning wills and contracts, are revocation by act (or subsequent writing) and revocation by operation of law, with revocation by act including physical destruction or a new document, while operation of law involves automatic changes due to life events like divorce or birth, with other categories like voluntary/statutory in water rights or CRL/OCSP in digital certificates also existing depending on context. 

What are the rules for revocation of an offer?

This document discusses revocation of offers and acceptances under contract law. It defines revocation as retracting, canceling or withdrawing an offer or acceptance. An offer can only be revoked before acceptance. An acceptance can be revoked any time before communication of acceptance is complete.

What evidence is needed for revocation?

Evidence for revocation (like probation or parole) requires proving, by a "preponderance of the evidence" (more likely than not), that conditions were violated, using less formal evidence than trials, such as officer reports, test results, or witness statements, to show violations like new crimes, missed appointments, or failed drug tests. The key is showing the violation occurred, with the standard of proof being lower than "beyond a reasonable doubt". 

Can a contract offer be revoked?

An offer can be terminated before acceptance is made. An offer can be terminated before it becomes a contract if: the offeror revokes the offer. the offeree (receiving party) rejects the offer.