Week 3 Offer & Acceptance Flashcards
Is a performance of an act without knowledge an offer?
No, performance before the knowledge of an offer cannot be constituted as acceptance.
What are the 4 Fundamental Rules related to Offer?
1) Must be distinguished from puffery & invitation to treat
2) Can be revoke at any time for acceptance
3) Offer must be communicated
How can a offer be terminated?
1) Death
2) Elapse of Time
3) Non-Occurance of Necessary Conditions
4) Revoked by Offere
What is the main exception to Offerer’s Absolution?
If the accepter that paid for the offer to be kept open or has paid in some manner.
What is Acceptance?
A final confirmation of satisfaction of the terms of contract.
What is the 4 Main Rules to Acceptance?
1) Must be in response to an offer
2) Counter-Offer is a rejection of initial offer
3) Must be communicated to the offeror
4) Offeror may prescribe methods of acceptance
What is a Postal Acceptance Rule?
Contract is formed moment & place letter is posted.
What the are 3 different Conditional Acceptance Contracts?
1) Contract is immediately binding, one of the terms is the formal documentation will be prepared.
2) Contract is immediately bindind, nothing can happen until formal documentation executed.
3) Nothing binding until formal contract is executed.
How is Conditional Acceptance determined?
By the objectives of the contract.