Chapter 10

Question 1

Agreement

Answer 1

Manifestation by two or more persons of the substance of a contract
- Requires mutual assent to perform current or future contractual duties

Question 2

Requirement for an effective offer

Answer 2

-The offeror must objectively intend to be bound by the offer
-The terms of the offer must be definite or reasonably certain
-The offer must be communicated to the offeree

Question 3

Express terms of an offer

Answer 3

Terms of an offer must be clear enough for the offeree to be able to decide whether to accept or reject the terms of the offer

Question 4

Implied terms

Answer 4

Court can supply a missing term if a reasonable term can be implied

Question 5

Special offers

Answer 5

Advertisement
Rewards
Auctions

Question 6

Termination of offer by parties

Answer 6

Revocation- withdrawl of offer
Rejection
Counteroffer

Question 7

Termination of offer by law

Answer 7

Destruction of the subject matter
Death or incompetency of offeror or offeree
Supervening illegality: a statute, regulation, or court decision that makes the object of an offer illegal
Lapse of time: Stated time period after which an offer terminates

Question 8

Requirements for acceptance

Answer 8

Clear and unambiguous acceptance
Should have only one possible meaning
Must not contain conditions or exceptions

Question 9

Mirror image rule

Answer 9

Offeree must accept the terms as stated in the offer

Question 10

Mailbox rule

Answer 10

An acceptance is effective when it is dispatched, even if it is lost in transmission