Chapter 10 - The agreement: Offer. Explain the elements of an offer under both the UCC and common law, distinguish advertisements from mere invitations to negotiate, describe circumstances for termination of an offer. | Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin 3 Introduction to Contracts The Agreement: Offer The Agreement: Acceptance Consideration Reality of Consent Contracts P A R T 3 Capacity to Contract Illegality Writing Rights of Third Parties Performance and Remedies Contracts P A R T The Agreement: Offer P A E T R H C 10 There is nothing more likely to start disagreement among people or countries than an agreement. . White Learning Objectives Explain the elements of an offer under both the UCC and common law Distinguish advertisements from mere invitations to negotiate Describe circumstances for termination of an offer An offer is a promise conditional on an act, return promise, or forbearance (refraining from doing something) Parties to a contract must have intent to enter binding agreement, terms must be definite, and the offer must be communicated to the offeree by the offeror Requirements for an Offer An offeror must indicate . | Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin 3 Introduction to Contracts The Agreement: Offer The Agreement: Acceptance Consideration Reality of Consent Contracts P A R T 3 Capacity to Contract Illegality Writing Rights of Third Parties Performance and Remedies Contracts P A R T The Agreement: Offer P A E T R H C 10 There is nothing more likely to start disagreement among people or countries than an agreement. . White Learning Objectives Explain the elements of an offer under both the UCC and common law Distinguish advertisements from mere invitations to negotiate Describe circumstances for termination of an offer An offer is a promise conditional on an act, return promise, or forbearance (refraining from doing something) Parties to a contract must have intent to enter binding agreement, terms must be definite, and the offer must be communicated to the offeree by the offeror Requirements for an Offer An offeror must indicate present intent to contract, or the intent to meet the contract obligation upon acceptance Courts use the objective theory of contracts: Would a reasonable person judge the offeror’s words and acts in the context of the circumstances to signify intent? See Meram v. MacDonald Intent Offer and resulting contract must be definite and certain Offer cannot be vague about major points Example: “I’ll paint your house until I’m tired” is vague, but “I’ll finish painting your house in three days” is definite See Armstrong v. Rohm and Haas Company, Inc. Definiteness of Terms UCC often creates contractual liability where no contract would result under common law Article 2 sales contracts can be created “in any manner sufficient to show agreement, including conduct ” [2–204(1)] A price, quantity, delivery, and time for payment term left open in a contract can be filled by inserting a presumption found in the Code’s rules Definiteness Under the UCC See Jannusch v. Naffziger, a festival .
