Contracts - Acceptance Chapter 11

Front 1

What are the three factors of acceptance?

Back 1

1. the offeree intended to enter into the contract
2. the offeree accepted on the terms proposed by the offeror
3. the offeree communicated acceptance to offeror

Front 2

What is the objective standard of intent to accept?

Back 2

Must indicate present intent to contract like offeror. In addition, must indicate intent to contract according to the terms of the offer. If offer described how offeree must accept, offeree must comply with all the terms of the offer before contract results.

Front 3

What is the "mirror image" rule? How rigidly is it applied?

Back 3

Acceptance must mirror the offer. Attempts to change the terms are treated as counteroffers.
In recent years, courts hold that only MATERIAL differences result in an implied rejection of the offer.

Front 4

What do we need to know about the Battle of the Forms?

Back 4

It's the UCC's way of dealing with invoices and purchase orders to figure out what consistutes acceptance and what consistutes a counteroffer. UCC2-207 allows for differences to be present between offer and acceptance in the formation of a contract.

Front 5

Communication of acceptance: what is the difference in communicating acceptance between unilateral and bilateral contracts?

Back 5

Bilateral: offeree must make the promise requested by the offer.
Unilateral: offeree must perform the act requested by the offer.

Front 6

Non-instantaneous communication of acceptance: what is the mailbox rule?

Back 6

Properly addressed and dispatched acceptances can become effective when they are dispatched, even if they are lost and never received by the offeror. Mailbox rule protects reasonable belief that a binding contract was created when acceptance was dispatched. Offeror can minimize risk of being bound by undelivered acceptance by stipulating that they must receive the acceptance for it to be effective.

Front 7

Acceptance: problem area: silence as acceptance

Back 7

The general rule is that silence is not acceptance. An offeror generally cannot impose on the offeree a duty to respond to the offer.

Customary trade practice or prior dealings can sometimes indicate silence as acceptance. Or, if offeree indicates that silence will indicate acceptance (if you don't hear from me in 3 days I accept)