Chapter 11 Business Outline
Chapter 11
Agreement in Traditional and E-Contracts
I. Agreement- the parties must agree on the terms of the contract and manifest to each other their mutual assent to the same bargain. Evidenced by an offer and acceptance.
a. Requirements of the Offer –an offer is a promise or commitment to do or refrain from doing some specified action in the future.
i. Three elements are required: offeror must have serious intention to become bound by offer, the term of the offer must be reasonably certain or definite, and the offer must be communicated to the offeree.
ii. Intentions – excludes offers made in obvious anger/jest/excitement. Other examples that don’t count as intention are:
1. Expressions of Opionion- such as a doctor describing healing time
2. Statements of Future Intent – such as saying “I plan to…”
3. Preliminary Negotiations- a request to negotiate such as “will you sell Blythe estate?” or a contract bid
4. Advertisments- ads and price lists don’t count with the exception of a reward for the return of lost property
5. Auctions
a. With Reserve- seller may withdraw the goods at any time before the auctioneer closes the sale. Typical auction
b. Without Reserve-the goods cannot be withdrawn by the seller and must be sold to the highest bidder.
6. Agreements to Agree- agree to agree to the material terms of a contract at a future date. They can be enforceable contracts if it is clear that the parties intended to be bound and no disputed issues remain to be resolved.
iii. Definiteness of Term – identification of the parties, identification of the object or subject matter of the contract, consideration to be paid, time of payment/delivery/performance
iv. Communication-the offer must be communicated. This is important when returning a lost dog without bringing proof of the reward sign.
b. Termination of the Offer – can occur by action of the parties or operation of law
i.
Agreement in Traditional and E-Contracts
I. Agreement- the parties must agree on the terms of the contract and manifest to each other their mutual assent to the same bargain. Evidenced by an offer and acceptance.
a. Requirements of the Offer –an offer is a promise or commitment to do or refrain from doing some specified action in the future.
i. Three elements are required: offeror must have serious intention to become bound by offer, the term of the offer must be reasonably certain or definite, and the offer must be communicated to the offeree.
ii. Intentions – excludes offers made in obvious anger/jest/excitement. Other examples that don’t count as intention are:
1. Expressions of Opionion- such as a doctor describing healing time
2. Statements of Future Intent – such as saying “I plan to…”
3. Preliminary Negotiations- a request to negotiate such as “will you sell Blythe estate?” or a contract bid
4. Advertisments- ads and price lists don’t count with the exception of a reward for the return of lost property
5. Auctions
a. With Reserve- seller may withdraw the goods at any time before the auctioneer closes the sale. Typical auction
b. Without Reserve-the goods cannot be withdrawn by the seller and must be sold to the highest bidder.
6. Agreements to Agree- agree to agree to the material terms of a contract at a future date. They can be enforceable contracts if it is clear that the parties intended to be bound and no disputed issues remain to be resolved.
iii. Definiteness of Term – identification of the parties, identification of the object or subject matter of the contract, consideration to be paid, time of payment/delivery/performance
iv. Communication-the offer must be communicated. This is important when returning a lost dog without bringing proof of the reward sign.
b. Termination of the Offer – can occur by action of the parties or operation of law
i.