J barbf r

APPROACH
CHART

CONTRACTS AND SALES CHARTS 1.

IS THERE AN ENFORCEABLE CONTRACT?

Offer (promise, undertaking, or

commitment with definite and certain
terms communicated to offeree)
and

Acceptance before termination by

revocation, rejection, or operation of law

E
L
E
M
E
N
T
S

Bargained-for exchange of something

of legal value

O
F

or

C
O
N
T
R
A
C
T

Substitute tor consideration, such as

promissory estoppel, detrimental
reliance, or good faith modification
under the U.C.C.

Mistake (mutual or, under certain

conditions, unilateral)
or

No Defenses

Lack of capacity (makes contract void

or voidable)
or
Illegality (usually renders contract void)

or
Statute of Frauds

^ barbn

2. CONTRACTS AND SALES CHARTS

CMR

EFFECT OF REJECTION OR REVOCATION ON OFFER

EXAMPLE
CHART

{:
{

OFFEREE SENDS ACCEPTANCE, THEN REJECTION

receives acceptance receives rejection

Offeror: sends offer

CASE
1

timeline

receives rejection and

detrimentally relies on it receives acceptance

timeline

1
Offeree: sends acceptance

{
{

T
sends rejection

receives rejection

timeline

T
Offeree: sends rejection

timeiine

receives acceptance

T
sends acceptance
receives acceptance

Offeror: sends offer

CASE
2

OFFEREE SENDS REJECTION,THEN ACCEPTANCE

Offeror: sends offer

CASE

T
Offeree: sends acceptance sends rejection

Offeror: sends offer

CASE
2

Offeree: sends rejection

receives rejection

sends acceptance

OFFEROR SENDS OFFER, THEN REVOCATION

{
{

Offeror: sends offer sends revocation

CASE
1

CASE
2

sends acceptance

sends offer
1

sends revocation
1
1
receives revocation

I
receives revocation

1
sends acceptance

CONTRACT
Mailbox Rule
applies

NO CONTRACT
Exception to
Mailbox Rule

NO CONTRACT
Mailbox Rule
does not apply;
whichever
received first
controls

CONTRACT
Mailbox Rule
does not apply;
whichever
received first
controls

CONTRACT
Mailbox Rule
applies;
revocation
effective only on
receipt

NO CONTRACT
Receipt of
revocation
terminates
power of
acceptance

^ barbn

CMR

APPROACH
CHART

CONTRACTS AND SALES CHARTS 3.

PERFORMANCE OF CONTRACT

4. CONTRACTS AND SALES CHARTS

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