Lapse of time offer terminates by law when the period

Info icon This preview shows pages 4–8. Sign up to view the full content.

View Full Document Right Arrow Icon
Lapse of Time-  offer terminates by law when the period of time specified in the offer  has passed. If not time period acceptance is specified, the offer terminates at the end of  a reasonable period of time
Image of page 4

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Destruction of the Subject Matter-  before acceptance of offer, terminates the offer Death or incompetence of the offeror or offeree-  automatically terminates unless  irrevocable offer Supervening illegality of the proposes contract-  legislation or court decision  automatically terminates offer or  renders contract unenforceable What is Acceptance? Voluntary act (ecpresses or implied) By the offeree  Shows assent (agreement) To the terms of the offer When does it Occur? Unequivocal Acceptance : the “Mirror Image” rule Silence as Acceptance: General Rule:  offeree should not be legally obligated to affirmatively reject an offer When Offeree Has Duty to Speak:  He takes benefit of service with opportunity to  reject Prior dealings with offeror Communication as Acceptance Bilateral Contract:  communication of acceptance in necessary because of mutual  exchange of promises. Not necessary if offer does not require Unilateral Contract:  acceptance is evident, notification not necessary Mode and Timeliness as Acceptance
Image of page 5
General Rule:  acceptance is timely if made before offer is terminated What is the Mailbox Rule? Mailbox-  acceptance is effective when offeree uses authorized means of acceptance.  If  U.S. Mail, acceptance upon dispatch.  Does not apply to instantaneous communications Timing– “E-Mailbox” Rules- Dispatched when leaves control of sender Received when enters recipient’s processing system (even if unaware) Exceptions to Mailbox Rule- If acceptance is not properly dispatched by the offeree If offeree specifies that acceptance will not be effective until it is received If acceptance is sent after rejection, whichever is received first given effect When is an Acceptance Effective? Authorized means of acceptance-  offer specifies (expressly or impliedly) how  acceptance should be made. No acceptance if authorized means is not used Substitute method of acceptance- Effective if the substitute serves the same purpose (Fed-Ex vs. UPS) Not effective on dispatch Effective when received by the Offeror Consideration What is Consideration? Legal Sufficient Value Promise Performance OR Forbearance
Image of page 6

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Bargained-for-Exchange Must provide basis for the bargain Something of legal value (a promise or performance) must be exchanged between the  parties The promise must be either : Legally detrimental to the promise Legally beneficial to the promisor What Contracts May Lack Consideration?
Image of page 7
Image of page 8
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern