Ch. 10: Mutual Assent Flashcards
(27 cards)
Offer
One party makes a proposal
Acceptance
The party who agrees by words or conduct to the proposal
Objective Standard
What a reasonable person under the circumstances would reasonably believe or do.
Offeror
The person making the proposal
Offeree
The person to whom the offer is made
Without Reserve
Auctioneer may not withdraw the goods from the auction.
Good Faith
Honesty in fact and the observance of reasonable commercial standards of fair dealing.
Other than by Acceptance
Other ways a contract is terminated
Good
All things (including specially manufactured goods) that are movable at the time of identification to a contract for sale other than the money in which the price is to be paid, investment securities, and things in action.
Merchant
A person who is a dealer in goods of a given kind, who by his occupation holds himself out as having knowledge or skill peculiar to the goods or practices involved, or who employs an agent or broker whom he holds out as having such knowledge or skill.
Rejection
The refusal to accept an offer
Counteroffer
A counterproposal from the offeree to the offeror that indicates a willingness to contract but upon terms or conditions different from those contained in the offer.
Conditional Acceptance
Purports to accept the offer but expressly makes the acceptance conditional upon the offeror’s assent to additional or different terms.
Dispatch
A message, letter, or order sent with speed on affairs
Mirror Image
An acceptance cannot deviate from the terms of the offer.
Positive
Definate
Lapse of Time
Offer remains open for the time period specified or, if no time is stated, for a reasonable period of time
Revocation
An offer may be terminated at any time before it is accepted
Death or Incompetency
Of either the offeror or the offeree terminates the offer
Destruction of Subject Matter
Of an offer terminates the offer
Subsequent Illegality
Of the purpose or subject matter of the offer terminates the offer
General Rule
Acceptance effective upon dispatch unless the offer specifically provides otherwise or the offeree uses an unauthorized means of communication
Stipulated Provisions
The communication of acceptance must conform to the specification in the offer
Authorized Means
The Restatement and the Code provide that unless the offer provides otherwise, acceptance is authorized to be in any reasonable manner
