Subba Rao, J.-The only point that arises in this appeal is whether the suit contract is valid, and whether it complies with the provisions of section 175 of the Government of India Act, 1935.

The defendant is a merchant carrying on business in Coimbatore. The Government required groundnut oil for use in the Government Oil Factory at Calicut. The superintendent of the Kerala Soap Institute wrote Ex. P-1 dated 12th May, 1942, to the defendant asking him to quote his lowest rate for supplying 40 tons of expeller quality groundnut oil for prompt supply. The defendant by his letter, Ex. P-2 dated 15th May, 1942, offered to supply 40 tons of expeller groundnut oil at the rate of Rs. 369 per nett ton of 2,240 lbs., if barrels were supplied by the Superintendent. He agreed to deliver the said oil within three months after acceptance. The defendant received the letter, Ex. P-9, dated 21st May, 1942, from the Superintendent of the Kerala Soap Institute, wherein the latter stated that he tested the sample of oil received and accepted the offer of the defendant. He also informed the defendant that the oil agreed to be delivered should be sent within three months, and that the bulk suppl