The server sends a DHCPNACK
Dynamic Host Configuration Protocol (DHCP) is a network protocol that enables a server to automatically assign an IP address to a computer from a defined range of numbers (that is, a scope) configured for a given network. DHCP Server provides IP Address to the connected devices in the network. A DHCP Server is a network server that automatically provides and assigns IP addresses, default gateways and other network parameters to client devices. It relies on the standard protocol known as Dynamic Host Configuration Protocol or DHCP to respond to broadcast queries by clients.