Rejecting Offer

Question 1

rejection definition

Answer 1

terminates offer and offeree’s power of acceptance

Question 2

who can reject an offer

Answer 2

ONLY offeree

Question 3

methods of rejection

Answer 3

1. express rejection
2. counteroffer
3. conditional acceptance
4. acceptance with additional terms

Question 4

express rejection

Answer 4

effective when received

Question 5

counteroffer

Answer 5

terminates OG offer and creates new offer

NOT mere bargaining or requests for info (eg will you take X?)

period = counteroffer, question mark = bargaining

Question 6

conditional acceptance

Answer 6

rejection + new offer

Look for:
if
provided
so long as

eg I accept mowing my lawn if you also trim the hedges

Question 7

conditional acceptance exception

Answer 7

a condition that would be included anyway does NOT terminate OG offer

eg implied warranty

Question 8

acceptance w/ additional terms (CL)

Answer 8

rejection + counteroffer

violates mirror image rule

Question 9

acceptance w/ additional terms (UCC)

Answer 9

1. K involving non-merchant: K formed + terms of offer govern + additional terms are excluded BUT considered mere proposals to modify K
2. Both parties are merchants: additional terms included in K UNLESS certain exceptions apply

Question 10

certain merchants exceptions

Answer 10

1. additional terms materially change offer
2. offer expressly limits acceptance to offer’s terms
3. offeror objects w/in a reasonable time

Question 11

material change

Answer 11

causes hardship or surprise to offeror

NOT industry custom