BUS LAW Ch. 11-Agreement

Which act or statement is a valid offer?

A detailed advertisement

Which of the following statements is an offer?

I will sell you my house for $400,000.

Which of the following words, if added to an offer, will cause the offer to fail for definiteness? (Select two)

In the future, as in "I will sell you my boat sometime in the future for $1000" Might, as in "I might want to sell you my boat for $1000"

How may a revocable offer effectively be revoked? Choose 2 answers.

The offeror may withdraw the offer with a clear expression. The offeror may take an action that contradicts the offer and make that known to the offeree.

A counteroffer is _____ of the original offer and _____ have to be accepted. If an original offeror does accept the terms of the counteroffer, a valid contract _____ created. Nolan received the terms of the counteroffer, but _____ accept the terms of the counteroffer. When Nolan was informed that "[y]ou snooze, you lose; the property has been sold," Kapoor had _____ her counteroffer.

1. a rejection 2. does not 3. is 4. did not 5. revoked

In this case, Nolan would have _____ the counteroffer of Kapoor. Kapoor and Nolan would have entered into a _____ contract as a result. If Segal accepted Kapoor's offer after Kapoor and Nolan agreed upon contract terms, Segal and Kapoor _____have a valid contract because the contract between Kapoor and Nolan to sell the property _____ been formed.

1. accepted 2. valid 3. would not 4. had already

An offer _____ terminate automatically when the period of time specified in the offer has passed. In this case, _____ made an offer that automatically terminated at 5:00pm on August 5th. Before the offer automatically terminated, Kapoor replied to Nolan with changes in the terms of the offer. This constitutes a _____ of the original offer.

1. can 2. Nolan 3. counteroffer

When Segal was presented with the terms of the counteroffer made earlier to Nolan, Segal _____ accept the terms. Segal's acceptance of the terms offered by Kapoor causes _____ to be created.

1. did 2. a valid contract

Nolan's subsequent acceptance of Kapoor's counteroffer _____ create a valid contract. Therefore, Nolan is likely to _____ his lawsuit against Kapoor and _____ is likely the legitimate new owner of the property.

1. does not 2. lose 3. Segal

How may an offer be terminated? Choose 3 answers.

An offeror may terminate an offer by revocation. The offeree may make a counteroffer. A reasonable amount of time has passed.

Which of the following is a valid offer?

Eric offers to buy Arun's house for $775,000 with no contingencies because Eric's lease ends in two months. Arun wants to think about it and six days later has not yet responded.

What conditions must be met for an offer to be legally accepted? Choose 2 answers.

It may only be accepted by the intended offeree or the offeree's agent. Acceptance must be unequivocal with no requests for changes in the offer.

Must all terms of a deal be included in an offer?

No, but the terms required will depend on the type of contract.

What elements are required for an offer to be effective under the common law? Choose 3 answers.

The offeror must intend to be bound by the offer. The terms of the offer must be reasonably definite so that all parties understand them. The offer must be communicated to the offeree.

Under the UETA, if a party does not follow the security procedures and then fails to detect an error, what happens?

The party who followed the procedures can avoid the effect of the error.

You haven't used your professional camera in a while, so you offer to sell it to your friend who just started photography classes at the local college. Later in the day, you start having second thoughts. You call your friend and tell her that you changed your mind, and the camera is not for sale after all. What do you think would happen if your friend tried to enforce your offer and make you sell her the camera?

Your friend cannot force you to sell her the camera because you let her know you changed your mind before she accepted the offer.

If two parties have an on-going oral agreement that that one will ship and the other will accept 50 pounds of produce each week unless the buyer informs the seller one week before not to ship the next order, then the buyer's failure to speak up and tell the shipper not to send the produce:

qualifies as acceptance of that week's delivery offer.

In an auction, the bidder is:

the offeror.