Termination

Question 1

IF there was a valid offer(assuming a valid offer)…..issue is whether was legally terminated when….

Answer 1

party A such & such

Question 2

There are several ways an offeree’s acceptance may be terminated…

Answer 2

1) rejection or counteroffer by offeree
2)lapse of time
3)revocation by the offeror
4)death or incapacity of the offeror or offer
&
By nonoccurrence of any Condition Of Acceptance under the TERMS of the Offer

Question 3

several ways

Answer 3

• r o c
• l o t
• r b t o
• d o i o o o o
• n o a c o a u t t o t o

Question 4

Further….restatement 43 states-

Answer 4

an offeree’s power of acceptance is terminated when the offeror takes definite action inconsistent with an intention to enter into the proposed contract and the offer requires reliable information to that effect.

Question 5

restatment 43

Answer 5

a o p o a i t w t o t d a i w a i t e i t p c a t o r r i t t e

Question 6

analyze only the factors that are _______ in your analysis section

Answer 6

APPLICABLE

Question 7

lapse of time

Answer 7

offer may be terminated if has not been accepted w/in a reasonable time.

• issue….did passage of “place time period here” constitute a lapse of time sufficient to terminate offer
• If time not specified than offeree has reas. time- depends on past practice of parties, relevant industry customs, etc.

Question 8

revocation by offeror?

Answer 8

Direct or indirect

Question 9

direct revocation

Restatement 42

Answer 9

Revocation from offeror received by offeree:
-An offeree’s POA Terminated when the offeree receives form the offeror a manifestation of an intention NOT to enter into the proposed contract

Question 10

indirect revocation

Restatment 43

Answer 10

An offeree’s POA terminated when

• the offeror takes a Definite action inconsistent w/an intention to enter into a proposed contract AND
• Offerre acquires reliable info to that effect

Question 11

Dickenson v. Dodd rule

revocation

Answer 11

Rule: Offeror is master of offer. Offer can be terminated any time before the offeree accepts: Dickenson accepted too late, after offer was indirectly revoked {definite action inconsistent w/willingness to enter into a bargain}

i. -heard this from reliable source
ii. his acceptance would constitute a counter offer
iii. however, property was already sold

Question 12

Some Offers are NOT Revocable

Answer 12

-Option contracts: offerer promised to hold offer open for certain period of time, in return for payment (potential buyers are buying themselves time)
Ex) movie script, unique goods, real estate
-Promissory Estoppel
-Firm offer by a Merchant (UCC discussion)
1. Made by a merchant
2. Signed by a merchant
3. Open no more than 3 months

Question 13

Rejection

Answer 13

a. Now offeree switches spots***
i. Ex: “mow lawn?”, rejects then changes mind-“I will mow..” now he is offeror
b. Exception: where original offeror, revives the original offer by stating that offer remains open, even after counteroffer was made & extends POA

Question 14

Counter-Offer

Answer 14

a. COUNTER OFFER= REJECTION + RE-OFFER
b. Exception: where counter offer is NOT counter but rather a “mere inquiry” requesting a better offer. (inquiry is not a rejection)
i. Counteroffer req. acceptance dependent upon changed/added terms
c. *Mirror-Image Rule: (an offer & acceptance must match
exactly) (analysis INFRA)
i. Restatement 58 & 59
ii. “meaning a change in the terms is a rejection & counter-offer”
iii. Analysis—do carefully/2 columns of statements of each party