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BL Chapter 6 Terms

Business Law

QuestionAnswer
Contracts an agreement between two parties (or people) that creates an obligation
Offeror A person who makes an offer to form a contract
Offeree Person to whom an offer is made
Revocation Withdrawing (or taking away) an offer before it is accepted
Counteroffer Response to an offer, original offer is changed
Option separate contract arising when the offeree gives the offeror something of value in return for a promise to leave an offer open. (In this situation the offer cannot be withdrawn)
Firm Offer Merchant stating how long an offer will stay open, done in writing
Acceptance Occurs when a person to whom an offer has been made agrees to the proposal.
Mirror Image Rule Acceptance much exactly match the terms contained in the offer.
Bilateral Contracts Require that the offeree accept by communicating the requested promise to the offeror
Unilateral Contracts Offeror requires that the offeree indicate acceptance by performing his or her obligation under the contract
Created by: deshanelson
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