Term
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Definition
The manifestation by two or more persons of the substance of a contract
1) Only the offeree can legally accept an offer and create a contract.
2) The offeree's acceptance must be unequivocal.
3)Silence is not considered acceptance even if the offeror states that it is. |
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Term
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Definition
| Person who makes an offer |
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Term
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Definition
| Person to whom an offer has been made |
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Term
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Definition
| "the manifestation of willingness to enter into a bargain, so made as to justify another person in understanding that he assent to that bargain is invited and will conclude it" [Section 24 of the Restatent (second) of COntracts] |
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Term
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Definition
For an offer to be effective:
1)The offeror must objectively intend to be bound by the offer.
2)The terms of the offer must be definite or reasonably certain.
3) The offer must be communicated to the offeree. |
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Term
| Objective Theory of Contacts |
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Definition
| A theory that says the intent to contract is judged by the reasonable person standard and not by the subjective intent of the parties. |
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Term
| No Valid contract results from: |
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Definition
1) Preliminary negotiations
2)Offer that are made in jest, anger, or undue excitement |
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Definition
1)The terms of an offer must be clear enough to the offeree to be able to decided whether to accept or reject the terms of the offer.
2) if the terms are indefinite, the courts cannot enforce the contract or determine an appropriate remedy for its breach. |
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Term
| An offer (and contract) must contain the following terms: |
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Definition
1)identification of the parties
2)identification of the subject matter and quantity
3)Consideration to be paid
4) time of performance |
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Term
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Definition
1)the court can supply a missing term if a reasonable term can be implied.
2)Terms that are supplied in the way are called ____. |
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Definition
| An offer cannot be accepted if it is not communicated to the offeree by the offeror or a representative or agent of the offeror |
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Term
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Definition
1)A general ______is an invitation to make an offer.
2)A specific _____is an offer. |
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Definition
1)An offer to pay a ____is an offer to form a unilateral contract.
2)To collect a _____, the offeree must...1) Have knowledge of the ____offer prior to completing the requested act. 2) Perform the requested act. |
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Definition
| Unless expressly stated otherwise, an auction is an ___________, i.e., the seller retains the right to refuse the highest bid and withdraw the goods from auction |
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Definition
| An auction in which the seller expressly gives up his or her right to withdraw the goods from sale and must accept the highest bid |
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Definition
1)Withdrawal of an offer by the offeror terminates the offer.
2) An offer can revoke an offer at any time period to its acceptance by the offeree. |
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Definition
1) express words or conduct by the offeree that rejects an offer.
2) _____terminates the offer. |
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Term
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Definition
1) A response by an offeree that contains terms and conditions different from or in addition to those of the offer
2) A _____ terminates an offer |
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Term
| Destruction of the subject matter |
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Definition
| the offer terminates if the subject matter of the offer is destroyed through no fault of either party prior to its accetance |
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Term
| Death or incompetency of the offeror or offeree |
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Definition
| the death or incompetency of either party terminates the offer |
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Term
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Definition
1)the enactment of a statute, regulation, or court decision that makes the object of an offer illegal
2) this action terminates the offer |
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Definition
| an offer terminates when a stated time period expires |
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Term
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Definition
| a manifestation of assent by the offeree to the terms of the offer in a manner invited or required by the offer as measured by the objective theory of contracts. [Section 50 of the Restatement (second) of Contracts] |
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Term
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Definition
| requires the offeree to accept the offeror's terms |
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Term
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Definition
establishes the following rules concerning time and mode of acceptance
1) mailbox rule
2)proper dispatch rule
3)mode of acceptance
-express authorization
-implied authorization |
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Term
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Definition
1)a rule that states that an acceptance is effective when it is dispatched, even if it is lost in transmission.
2) If an offeree first dispatches a rejection and then sends an acceptance, the mailbox rule does not apply to the acceptance. |
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Term
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Definition
1) the acceptance must be properly dispatched.
2)the acceptance must be properly addressed, packaged, and posted to fall within the mailbox rule.
3) under common law, if an acceptance is not properly dispatched, it is not effective until it is actually recieved by the offeror. |
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Term
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Definition
1)a stipulation in the offer that says the acceptance must be by an specified means of communication.
2)Use of an unauthorized means of communication makes acceptance not effective. |
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Term
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Definition
| mode of acceptance that is implied from what is customary in similar transactions, usage of trade, or prior dealings between the parties |
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