Formation 3

Question 1

offer: “definite, certain terms” in UCC

Answer 1

quantity

Question 2

offer: communication

Answer 2

offeree must have knowledge of the communication

Question 3

offer: what does sufficient communication NOT include

Answer 3

preliminary negotiations or mere invitation

Question 4

Termination of offer, types (7)

Answer 4

1. revocation
2. rejection
3. lapse of time
4. death or incapacity
5. destruction of subject matter
6. unconscionability
7. invalid party (minor, insane, etc.)

Question 5

Termination: revocation

Answer 5

retraction of an offer by the offeror

Question 6

Termination: when is revocation effective

Answer 6

when received by offeree or by publication through comparable means (e.g., can’t revoke offer in business magazine by publishing in home magazine)

Question 7

Termination: when is an offer irrevocable (4)

Answer 7

1. UCC firm offer
2. option contract
3. detrimental reliance
4. part performance

Question 8

Termination irrevocable: UCC firm offer

Answer 8

offer by merchant signed in writing to keep offer open during time stated (or, if not stated, reasonable time up to 3 months), no payment required

Question 9

termination irrevocable: option contract

Answer 9

promise to keep offer open for a time for consideration

Question 10

termination: rejection

Answer 10

outright rejection or another method to reject + create new offer