Offer and Acceptance

In: Social Issues

Submitted By rdbajwa
Words 3140
Pages 13
OFFER AND ACCEPTANCE

OFFER When one party expresses interest to buy or sell an asset from another party. The offering price is often the highest the buyer will pay to purchase an asset, and the lowest that the seller will accept. The person that makes offer is called "offeror or promiser".The person to whom offer is made is called "offeree". Offer can also be called a "Proposal".
EXAMPLE:
1) Ali offers to sell his watch to Ashraf , here Ali is making an offer to Ashraf. 2) When purchasing a house, prospective buyers will make an offer to the seller, and will often list the highest price he or she is willing to pay. However, if another prospective buyer enters the scene and a bidding war ensues, each buyer will continue to bid until his or her maximum price level is attained
OFFER and its types :
Express Offer: An offer may be made by express words, spoken or written. Suchan offer is known as an express offer.
Implied Offer: An offer may also be implied from the conduct of the parties or thecircumstances of the case. This is known as implied offer.For example, An offer by the Transport Co. to carry passengers for a certain fare.
Specific Offer: When an offer is made to a definite person, it is called specific offer.
General Offer: When an offer is made to the world at large, it is called as generaloffer.

A mere making of an offer does not become a contract. Ordinarily it is theacceptance of the offer and intimation of that acceptance which results in a contract.
Breif Introduction Of "OFFER"
Offer is an important element of "Contract"
Whether two parties have an agreement or a valid offer is an issue which is determined by the court using the Objective test (Smith v. Hughes). Therefore the "intention" referred to in the…...

Similar Documents

Acceptance

...Acceptance Lindsay Reid LS 311 Kaplan University Professor James Starcher July 29, 2012 Acceptance In the case of Carrie, Antonio and Norvel, Carrie offers to sell Antonio a set of legal encyclopedias for $300.00. Antonio says he has to think about it and will let Carrie know the next day. Norvel, who overheard the offer to Antonio, tells Carrie he accepts her offer. Carrie gives Norvel the encyclopedias in return for $300.00. The next day, Antonio, unaware of the transaction between Norvel and Carrie, accepts Carrie’s offer. Technically Carrie has not breached a valid contract with Antonio, as he had not accepted the terms of the agreement. There was also no contract between Norvel and Carrie formed since Norvel accepted an offer that was originally made for Antonio. The first requirement of a valid contract is agreement. Because Antonio never agreed to Carrie’s offer there was never a contract created between them. This leaves Carrie free to do as she wishes with the encyclopedias. On the other hand, Carrie is not obligated to sell the encyclopedias to Norvel, as there is no contract between them since Carrie’s offer was originally made to Antonio. According to Miller, “generally, a third person can-not substitute for the offeree and effectively accept the offer” (Miller, 2008, p. 173). The offer is conditional to the identity of the offeree, so except in special situations, only the person to whom the offer is actually made can accept it and create a binding......

Words: 635 - Pages: 3

Acceptance Award

...and working on building and developing the campground in the spring. Once he graduated from OSU, he was a business teacher at Western High School for a few years, until he realized this “small” project he had started on the side was going to require full-time attention. What started with about 10 campsites, a concession stand and an area of water to swim in, has grown into one of the largest tourist attractions in Southern Ohio, and #1 in Pike County, with almost 500 acres, 80 seasonal employees and visitors from 40 states. From Memorial Day through Labor Day, we bring in approximately 50,000 people through our gates each week. On any given weekend in June, July or August, we become our own large city within the small town of Latham. We offer camping, cabins, swimming, waterslides, go karts, mini golf, a rock climbing wall, carousel, and more. You can come visit for the day, a few nights or all week. If I kind of sound like I’m bragging, well, I guess I am. And to be honest, I feel like I should brag a little bit. (this is the part where my dad would probably tell me to hush up and sit down) But all of our success has come from hard work, and long hours, and sleepless nights, and many headaches, and gray hairs (dad’s, not mine!) My dad was, and still is, the first one in our office every morning and the last one to leave at night. And from May through September, we’re talking 8 am to 11 pm. He deals with so much each day, and does it all with a smile. One minute he......

Words: 707 - Pages: 3

Agreement and Offer

...an invitation to treat and each tender submitted amounts to an offer unless the request specifies that it will accept the lowest or highest tender or other condition. If the request contains such a condition this will amount to an offer of a unilateral contract where acceptance takes place on performing the condition: Spencer v. Harding Law Rep. 5 C. P. 561 Case summary Auctions Where an auction takes place with reserve, each bid is an offer which is then accepted by the auctioneer. Where the auction takes place without reserve, the auctioneer makes a unilateral offer which is accepted by the placing of the highest bid: Heathcote Ball v Barry [2000] EWCA Civ 235 Case summary Machines The machine represents the offer, the acceptance is inserting the money: Thornton v Shoe Lane Parking [1971] 2 WLR 585 Case summary Termination of offers An offer may be terminated by: 1. Death of offeror or offeree 2. Lapse of time An offer will terminate after a reasonable lapse of time. What amounts to a reasonable period will depend on the circumstances. Ramsgate Victoria Hotel v Montefiore (1866) LR 1 Ex 109 Case summary 3. Revocation An offeror may revoke an offer at any time before acceptance takes place: Dickinson v Dodds (1876) 2 Ch. D. 463 Case summary This may not apply in unilateral offers where acceptance requires full performance: Errington v Errington Wood......

Words: 531 - Pages: 3

Offer

... Offer to Purchase Real Estate I, Ying Hua Wang , referred to herein as BUYER, offers to purchase the following described real estate: Street Address : ________3460 A du Parc_____________ Property Description : ___________________________________________________________ From __Julio_ _________ , referred to herein as SELLER , upon the terms and conditions stated herein. The gross purchase price shall be $ __360,000____(dollars). This offer is conditioned upon BUYER obtaining loan approval at least __ days prior to closing of this transaction, BUYER shall make a mortgage loan application within 10 working days of the acceptance of this offer, and should the BUYER's loan application be denied, the BUYER shall have the option, within 2 business days to rescind this transaction. If BUYER elects to rescind the transaction, BUYER shall receive any deposits made from SELLER. The closing will be held within 30 days of the acceptance of this offer to the SELLER, but in no event in less than 20 days from the notice. The SELLER shall convey to the owner by warranty deed the property herein, and the title thereto shall be merchantable. Within 30 days of acceptance, the SELLER shall provide a binder for title insurance in the principal amount of the purchase price. The title shall be free and clear of any encumbrances other than those, if any, to be assumed by the BUYER at closing. Should any defects be in the title, the SELLER shall have...

Words: 709 - Pages: 3

Rules of Offer and Acceptance in a Contract

...Rules of offer and acceptance in a contract Offer and acceptance are elements required for the formation of a legally binding contract: the expression of an offer to contract on certain terms by one person (the "offeror") to another person (the "offeree"), and an indication by the offeree of its acceptance of those terms. The other elements traditionally required for a legally binding contract are (i) consideration and (ii) an intention to create legal relations. Offer and acceptance analysis is a traditional approach in contract law. The offer and acceptance formula, developed in the 19th century, identifies a moment of formation when the parties are of one mind. ------------------------------------------------- Offer[edit] Treitel defines an offer as "an expression of willingness to contract on certain terms, made with the intention that it shall become binding as soon as it is accepted by the person to whom it is addressed", the "offeree".[1] An offer is a statement of the terms on which the offeror is willing to be bound. It is the present contractual intent to be bound by a contract with definite and certain terms communicated to the offeree. The expression of an offer may take different forms, such as a letter, newspaper advertisement, fax, email and even conduct, as long as it communicates the basis on which the offeror is prepared to contract. Whether the two parties have reached agreement on the terms or whether a valid offer has been made is an issue......

Words: 2902 - Pages: 12

Acceptance of My Penis

...B. Acceptance Introduction S 2(b) - when a person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted, a proposal when accepted becomes a promise. The person accepting the proposal is called the ‘promisee’ or the ‘acceptor’. * A proposal when accepted becomes a promise. * The person accepting the proposal is called the promisee. * When an acceptance of any promise is made in words, the acceptance is said to be expressed. * If the acceptance is made in words, the acceptance is said to be expressed. * If the acceptance is made other than in words, the acceptance is said to be implied. * For a proposal to be converted into a promise, the acceptance of that proposal must be absolute and unqualified (S 7(a) ) (1) Negotiation If the parties are still negotiating, an agreement is not yet formed Lau Brothers & Co v China Pacific Navigation Co. -negotiations for the delivery of logs were conducted through series of telegrams and letters. Whilst still in the negotiating stage, the D withdrew. - was there a binding contract between the two parties? The court held: - the parties were still in a state of negotiation and no agreement was formed. Therefore, the D was justified in withdrawing. (2) Counter offer Hyde v Wrench (1840) * The D offered to sell his estate to the P on June for 6 1000pound * On 8june in reply the P made a counterproposal to purchase at 950pound. * When the D......

Words: 2508 - Pages: 11

Offer and Acceptance

...(offeree) for acceptance, and which becomes legally enforceable if accepted by the offeree. A explicit proposal to contract which, if accepted, completes the contract and binds both the person that made the offer and the person accepting the offer to the terms of the contract. http://www.duhaime.org/LegalDictionary/O/Offer.aspx Terms and conditions under which an offer is made, such as quantity, price, discounts, delivery date, shipping costs http://www.businessdictionary.com/definition/offer.html Acceptance of an offer is the final and unequivocal expression of assent to another's offer to contract. http://www.duhaime.org/LegalDictionary/A/Acceptance.aspx "Acceptance means the signification by the offeree of his willingness to enter into a contract with the offeror on the terms offered to him by the latter. Without an acceptance there can be no contract ...." "In the ordinary case ... there is a manifestation of willingness to be bound by one party followed by a manifestation of an assent by the other by words or conduct, generally and usefully called offer and acceptance." "Each of (these) definitions contemplates a willingness, either in words or by conduct, to be bound by the terms of the offer. But each definition also entails a manifestation, or a signification, or an indication of such willingness." Book 9(1) of Halsbury's Laws of England, 4th Edition (2007) “termination of offer”, and can happen in a number of ways, for a variety of reasons. Termination of offer......

Words: 1181 - Pages: 5

The Open Offer

...The Open Offer Miller and Hollowell states, in general contract law the moment a definite offer is met by an unqualified acceptance, a binding contract is formed. The common law rule is that an offeror can specify a particular means of acceptance, making that means the only one effective for contract formation. Nevertheless, unauthorized means are effective as long as the acceptance is received by the specified deadline (acceptance). A sale is officially defined as “the passing of title from the seller to the buyer for a price, “where the title refers to formal rights of ownership of property. The price may be payable in cash or in other goods or services. I am outlining these terms to show what rules apply in this assignment. The example states, Jimmy, an art dealer and merchant, is running out of funds. Luckily, he owns a priceless Van Gogh painting. He writes his friend Tommy. The letter says “Tommy you remember that Van Gogh painting you were interested in buying? I will offer it to you for $500,000. I will give you one month to accept this offer.” Jimmy signs the letter. Tommy receives the letter, and he is very excited. He writes back two weeks later saying that he accepts, and Tommy encloses a check for $500,000. Unfortunately, Jimmy received a better offer for the painting, and Jimmy accepts that one. Is there a breach of contract? If so, what remedies may Tommy get specific performance? In Jimmy’s case, the contract is in written form that he will give Tommy......

Words: 507 - Pages: 3

Acceptance Is the Key

...ACCEPTANCE IS THE KEY -RoMae The third sex was and still is an issue in today’s society. They aren’t accepted by the people around them and sometimes they aren’t even accepted by their own families. They are discriminated, bullied physically and emotionally and these things lead them to fear other people which cause self-torture, self-pity and sometimes even suicide. But why aren’t they accepted in our society? Is it because they’re different—that they don’t belong to the norms because God only made men and women not gays and lesbians nor bisexuals and transgenders? But aren’t they human too so why can’t they be treated equally as how we, men and women, are treated? I know a lot of people who belongs to the third sex. Take for example one of my friends and former classmate in high school, Ronel, a fine-looking young man who is a part of the LGBT community. When I asked him what the reasons behind him being gay were, he answered that it had always been in him, that he had always thought of himself as a girl trapped in a boy’s body. The same goes with another friend and former classmate, Jonas, who despite having a strict father turned out to be gay which he said that it was the effect of him playing with girls when he was still very young. Hanging out with girls and other gays was also the reason why Mark and Christian, two of my friends since elementary, turned out to be bisexuals. On the other hand, I don’t know much about the Lesbians. But I do know some people like......

Words: 825 - Pages: 4

Law(Acceptance)

...3.0 Acceptance 3.1 Definition of acceptance Acceptance is an express actor implication by conduct that manifests assent to the terms of an offer in a manner invited or required by the offer so that a binding contract is formed. The exercise of power conferred by an offer by performance of some act. The act of a person to whom something is offered or tendered by another, whereby the offered demonstrates through an act invited by the offer an intention of retaining the subject of the offer. According to law of contracts, acceptance is one person’s compliance with the terms of an offer made by another. Acceptance occurs in the law of insurance when an insurer agrees to receive a person’s application for insurance and to issue a policy protecting the person against certain risks, such as theft. 3.2 Requirement of acceptance 3.2.1 Absolute and unconditional Acceptance must be absolute and unconditional. An acceptance must be unconditional and unqualified. Accepting an offer with conditions, varitions and reservations amounts to counter offer and rejection of gthe origional offer. A variations or alteration, howeer, small of the offer, will make the acceptance invalid. According to case Hyde v Wrench [1840] EWHC Ch J90 is a leading English contract law case on the issue of counter-offers and their relation to initial offers. In it Lord Langdale that any counter-offer cancels the original offer. 3.2.2 Normal and reasonable Acceptance must be normal and reasonable.......

Words: 397 - Pages: 2

Offer & Acceptance

...for any price is a valid offer. One of the requirements of a valid offer is that the offer must be clear in meaning. Section 30 of the Contracts Act 1950 also provides that agreements are void if there is uncertainty in the meaning or when the meaning is capable of being made certain. In Ahmed Meah & Anor v Nacodah Merican, the defendant promised to build a ‘suitable house’ upon the marriage between plaintiff and the defendant’s daughter as a gift to them. The plaintiff sought for specific performance of the agreement but it was held that the agreement cannot be enforced as the promise is void for uncertainty. This is because the ‘suitability of the house’ was uncertain to the nature as well as the value of the house to be built. In the present case, Shaggy’s statement that he is willing to pay any price for the display case is too vague to be constituted as an offer. What is the range of value represented by the term ‘any price’? Would RM 1.00 suffice? What if the price is beyond his financial capability? An offer has to be unequivocal and clear. It could then be deduced that his statement was to induce Freddie to offer him the display case as well as to show Shaggy’s mere expression of willingness to enter into negotiations. Subsequently, Freddie was the one who actually offered to sell to Shaggy the display case at the price of RM 160,000.00. The second issue in this case is whether Shaggy’s silence can amount to an acceptance of Freddie’s offer of the display case,......

Words: 1160 - Pages: 5

Termination of Offer

...Offers may be terminated in any one of the following ways: Revocation of the offer by the offeror; counteroffer by offeree; rejection of offer by offeree; lapse of time; death or disability of either party; or performance of the contract becomes illegal after the offer is made. The general rule is that the revocation is effective only when it is made known to the offeree. Until it is communicated to the offeree, directly or indirectly, the offeree has reason to believe that there still is an offer that may be accepted. The offeree may rely on this belief. If the offeror seeks to revoke the offer, but the offeree accepts the offer before notice of the revocation, a valid contract is created. A conditional acceptance is a counteroffer. For example, if Jones accepts the $10,000.00 price, but adds a term by stating that new tires must be put on the car, this is a conditional acceptance and therefore a counteroffer. A rejection terminates an offer. A rejection is an offeree’s communication that an offer is unacceptable. When an offer states that it will be open until a particular date, the offer terminates on that date if it has not yet been accepted. This is particularly clear when the offeror declares that the offer shall be void after the expiration of a specific time. If the time passes, and the offeree attempts to accept the offer, this is in effect a counteroffer from the offeree and can be accepted or rejected by the offeror. If the offer does not......

Words: 545 - Pages: 3

Contracts and Acceptance Offer

...Contracts: Offer and Acceptance Iris M. Rodriguez LAW 531 November 30, 2011 Jonathan Beyer Contracts: Offer and Acceptance Quick Tape Video is a television Production Company experiencing difficulties with the operation of outdated editing equipment. The editing equipment has been outdated for over 10 years. The post-production supervisor, Janet Mason, is advocating replacing the equipment with more up-to-date digital technology. Hal, the production company’s owner, made a promise to Janet that he will look into the possibility of acquiring the much needed upgrade to the editing equipment. In response to Janet’s request, Hal scheduled a meeting with a representative from Non-Linear Pro; the company responsible for the sales and distribution of editing equipment. Contract Formation According to Privette (1985), a contract is defined as a written or a verbal agreement. There are certain elements that need to be present for the formation of a contract. The elements of a contract are agreement, consideration, contractual capacity, and lawful object (Cheeseman, 2010). The essential elements of a contract are present in the scenario from Contracts: Offer and Acceptance Video. Therefore, there is a contract formation between Hal and Jack. The elements found in the video scenario, which formed the contract, are......

Words: 2080 - Pages: 9

Contractual Offer

...An offer is a show of willingness to enter into an agreement that involves another person’s acceptance. So an offer, that one accepts becomes an agreement. The offeror is the one who makes the offer and the offeree is the person to whom the offer is made. To be a valid offer (I.e., to constitute an offer), a manifestation of intent to enter into a bargain must have the “3 Cs.” First, the contract must embody a promise, or commitment as opposed to a statement of present intention or preliminary negotiation. Statements such as “I intend to sell you my car” or “come talk to me about buying my car” are not offers. Saying “if you pay me 100 dollars, I will sell you my car, is a valid offer. Whether a statement is an offer, depends on whether a reasonable person would believe it to be an offer regardless of the subjective belief, for example, given the trade customs of an industry, would a reasonable person think that an offer was made? The court faced with this situation would consider factors such as; 1) language, whereby the words “offer” or “promise” have been used. Courts also consider the definitiveness of the terms and language of the proposal to help decide whether it is an offer. “First come, first served may indicate an offer because it provides buyers with a clear means of accepting by buying first. 2) Communications made by mass media are usually held to be invitations for offers and not offer themselves. For example, a TV advertisement announcing that a dealer has...

Words: 1533 - Pages: 7

Contract Law, Offer and Acceptance

...Contract Law Notes Contracts ‘A’ Offer - Bilateral contracts - Unilateral contracts - Offers to the public at large What is an offer? - Mere puff - Supply of information - Invitation to treat Categorizing transactions - Advertisements a) Advertisements in a catalogue or a curricular b) Advertisements in newspapers or magazines c) Advertisements appearing on the internet d) Display of goods - Auctions a) Advertisement of auction b) Auctions with reserves c) Auctions without a reserve - Tendering - Standing offers ➢ Options Communication of an offer Termination of an offer - An offer may be terminated by a) Revocation by the offeror b) Rejected by the offeree c) Lapse of time d) Failure of a condition subject to which the offer was made e) Death Acceptance Requirements of acceptance Acceptance must correspond to offer - Offeree must have knowledge of and act in reliance to an offer Page 9 Page 9 Page 10 Page 12 Page 13 Page 14 Page14 Page14 - A counter offer is not acceptance - Acceptance must be unqualified - Mere enquiry does not constitute acceptance Notification to the offerer of the fact of acceptance - Method of acceptance a) Method of acceptance stipulated by offer b) Acceptance by silence c) Acceptance by conduct - Instantaneous communication: Acceptance must be communicated a) General rule b) Meaning of......

Words: 20962 - Pages: 84

Beyond Valkyrie: Dawn of the 4th Reich (2016) | Sbrinatore di carne elettrica | Batterie power battery decharge lente 12v 110ah 500 cycles de vie