LAW 3220 Clemson Exam 2

LAW 3220 Clemson Exam 2 Offeror - Answer ️️ -the party making the offer Offeree - Answer ️️ -the party to whom the offer is made Elements needed to form a contract - Answer ️️ -1. Mutual Assent (offer and acceptance) 2. Consideration 3. Capacity 4. Legality Mutual Assent - Answer ️️ -The broad underlying requirement that the parties must reach an agreement using a combination of offer and acceptance and that the assent must be genuine. Offer - Answer ️️ -A promise or commitment to perform or refrain from performing some specified activity. In contract law, the expression of a willingness to enter into a contract by the offeror's promising an offeree that she will perform certain obligations in exchange for the offeree's counterpromise to perform. Acceptance - Answer ️️ -The offeree's expression of agreement to the terms of the offer. The power of acceptance is created by a valid offer. Three criteria for an offer: - Answer ️️ -1. Clear 2. Serious 3. Communicated Objective Intent - Answer ️️ -For an offer to have legal effect, the requirement that, generally, the offeror must have a serious intention to become bound by the offer and that the terms of the offer must be reasonably certain. Termination of an Offer - Answer ️️ -1. Revocation 2. Rejection 3. Counteroffer 4. Operation of Law Revocation - Answer ️️ -Offeror decides to withdraw the offer by expressly communicating the revocation to the offeree prior to acceptance. Rejection - Answer ️️ -The offeree rejects the offer outright prior to acceptance. Counteroffer - Answer ️️ -The offeree rejects the original offer and proposes a new offer with different terms. Operation of Law - Answer ️️ -Termination of an offer by the occurrence of certain happenings or events, which generally include lapse of time, death or incapacity of the offeror or offeree, destruction of the subject matter of the contract prior to acceptance, and supervening illegality. Mirror Image Rule - Answer ️️ -Principle stating that the offeree's response operates as an acceptance only if it is the precise mirror image of the offer. Mailbox Rule - Answer ️️ -Principle stating that the acceptance of an offer is effective upon dispatch of the acceptance via a commercially reasonable means and not when the acceptance is received by the offeree; governs common law contracts. Silence as an Acceptance - Answer ️️ -An exception that the parties agree upon beforehand. Ex.: Restaurant has a delivery coming weekly, if they don'y cancel by set day/time, the delivery will still be made. Consideration - Answer ️️ -The mutual exchange of benefits and detriments; for the formation of a valid contract, the requirement that each party receives something of value from the other and each party gives up something of value to the other, resulting in a bargained-for-exchange. Nominal Consideration - Answer ️️ -consideratio