Question:medium

The correct sequence in the formation of a contract is

Updated On: Jul 13, 2026
  • Offer, acceptance, agreement, consideration
  • Agreement, consideration, offer, acceptance
  • Offer, consideration, acceptance, agreement
  • Offer, acceptance, consideration, agreement
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The Correct Option is D

Solution and Explanation

Think of contract formation as a short timeline rather than a set of standalone definitions. Tracking what exists at each point on that timeline is the quickest way to rule out the wrong sequences here.

  1. Offer, acceptance, agreement, consideration: by the time this sequence calls something an agreement, it has not yet accounted for consideration, but Section 2(e) needs the consideration to already be attached before the word agreement can be used, so this order skips a step.
  2. Agreement, consideration, offer, acceptance: nothing can be called an agreement before an offer has even been floated, this sequence effectively runs the timeline backwards.
  3. Offer, consideration, acceptance, agreement: consideration cannot be pinned down before the other party has actually accepted and shown what it is giving in return, so putting consideration ahead of acceptance is out of order.
  4. Offer, acceptance, consideration, agreement: the offer is made, the other side accepts it, the mutual consideration attached to that accepted promise becomes fixed, and only then, with promise and consideration both in hand, does the law recognise it as an agreement.

Matched against the timeline, only the fourth sequence keeps every element in the order it actually arises in practice.

The correct answer is Offer, acceptance, consideration, agreement.

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