Offer and Acceptance Flashcards
What are the key components required for a contractual agreement?
An offer and acceptance.
What must an offer express to be considered valid?
An intent to be bound in a contract if accepted by the other party.
How must the terms of an offer be for it to be enforceable?
The terms must be definite and certain enough for a court to enforce.
What must the offeree have to accept an offer?
The offeree must have knowledge of the offer.
What is not considered an offer?
A statement made to request information.
What are invitations to treat?
Words or conduct that invite another party to make an offer.
When can an offeror revoke their offer?
An offeror can revoke most offers at any time before acceptance.
When cannot an offer be revoked?
If a collateral contract exists, if it’s a unilateral contract and performance has begun, or if it’s a bilateral contract with performance begun.
How can an offeree terminate an offer?
By expressly rejecting it or by impliedly rejecting it through failure to accept in a reasonable time.
What happens to an offer by operation of law?
It terminates if the offeror or offeree dies, the subject matter is destroyed, or if a condition isn’t met.
Who can accept an offer?
Usually, only the offeree to whom the offer is made.
How must acceptance be communicated?
Unless specified, any method of acceptance no less advantageous is valid; silence usually is not acceptance.
When is a unilateral contract accepted?
Not until completion of the requested act.
What is the postal rule?
Acceptance by post creates a contract at the moment of posting, unless conditions about addressing or receipt apply.
