OFFER AND ACCEPTANCE

What is an offer in contract law?

• A proposal made with the intention to create legal relations

• An invitation to negotiate

• A final agreement between two parties

• A counterproposal from the other party

Which of the following is a valid way to communicate acceptance?

• By remaining silent

• By performance of the act specified in the offer

• By counter-offering

• By sending a letter after rejecting the offer

What happens if the offer is not accepted within the time limit?

• The offer is automatically accepted

• The offer lapses and becomes void

• The offer is still valid until the offeror cancels it

• The offer turns into a counteroffer

Which of the following is NOT considered a valid acceptance?

• Conditional acceptance

• Acceptance by post

• Acceptance by performance

• Verbal acceptance during a meeting

When does an offer become effective?

• When it is made

• When it reaches the offeree

• When the offeree accepts it

• When the offeror decides to act on it

Which of the following is an example of a counteroffer?

• Rejecting the offer completely

• Asking for more information

• Changing the terms of the original offer before accepting

• Agreeing to the offer as presented

An invitation to treat can be best described as:

• A binding legal offer

• A preliminary step to invite offers

• An acceptance of a proposal

• A rejection of an offer

Which of the following is an example of an invitation to treat?

• A displayed price tag in a store

• A signed contract

• An offer letter from an employer

• A firm agreement between parties

In the postal rule of acceptance, when is acceptance deemed effective?

• When the letter of acceptance is written

• When the letter is received by the offeror

• When the letter is posted

• When the offeror reads the letter

What is the effect of a counteroffer on the original offer?

• It confirms the original offer

• It rejects the original offer

• It strengthens the original offer

• It has no effect on the original offer