Exam 10: Mutual Assent

Under the common law, the __________ must be the mirror image of the __________.

An acceptance that contains terms different from or additional to those in the offer receives the same treatment under the common law and under the UCC.

An offer can only be communicated by words; conduct cannot constitute an offer.

Wes, who is an art collector, offered to buy a print from Le Monde Gallery. Le Monde balked at the price, sending Wes a letter of rejection. That day it discovered that the print was not as highly valued as originally thought. Le Monde immediately telephoned Wes to accept his offer. Is there a contract?

The UCC and the Restatement make no provision for supplying terms omitted by the parties' contract.

Carlissa hears about a reward being offered by the local sheriff's office for information leading to the arrest and conviction of a local rapist. She supplies the requested information and the suspect is then arrested and convicted. In this case:

A counteroffer operates as a rejection of the original offer.

Martha puts an ad in her company's newsletter saying she would pay $5,000 for a first-issue Grace Kelly stamp to the first person who accepted her offer. Martha decides she would rather go on a European vacation and changes her mind about investing in the stamp. Martha posts a sign at the executive water fountain saying the offer is no longer valid. A foreman from a branch plant takes a flight to the Chicago main office to see Martha and accept her offer. Martha does not owe him any money to pay for a breach of contract.

When does acceptance of an offer to enter into a unilateral contract generally occur?

A defective acceptance does not create a contract, but does constitute a new offer.

An agreement of a seller to supply a buyer with all of the buyer's requirements for certain goods is known as:

An offer is an indefinite proposal made by one person to another.

Jeb submits a bid to construct a student union building for the local community college. He realizes after submitting the final bid that he forgot to include the cost of the window casings for the entire building. He may:

An ad in a newspaper or a circular describing goods and stating prices would generally be considered:

Discuss how parties show mutual assent and what standard is used to determine agreement.

If an offer states that a reply must be received by a certain date, receipt is presumed in those situations when acceptance is mailed.

Jack has been in the business of selling carpeting for 20 years. He calls Bob, who is opening another branch of his furniture stores, and offers to sell him 100 square yards of carpet at $20 per square yard. Bob agrees and sends back the following letter confirming the deal: Dear Jack: As we discussed on the phone January 3, we accept your offer of 100 square yards of Saxony "heather blue" carpeting at the rate of $20 per square yard. We also reserve the right to purchase any additional yardage we need to carpet our other showroom facilities at the same rate for one year from that date. Very truly yours, Bob Which of the following is true?

Ronald receives an unordered three-book set in the mail accompanied by the statement, "This book set can be purchased for the special price of $19.95. If the books are not returned within two weeks they will be deemed accepted and the payment is due within 30 days of receipt of the books." Ronald  must either return the books or pay for them as this is a valid offer.

Nadira mails an offer to Cade on March 15. Cade receives the offer on March 16. Nadira mails a revocation of the offer on March 17. Cade mails a letter of acceptance on March 18. Cade receives the revocation on March 19. Nadira receives the letter of acceptance on March 20. Was a contract formed?

It is a fundamental policy that if the parties do not provide definite enough terms in their contracts, the courts will complete the contract in the court's best judgment.