BUSINESS ADMINISTRATION
BUSINESS LAW
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
one month.
|
|
|
60 days
|
|
|
three months.
|
|
|
180 days.
|
Detailed explanation-1: -If no specific time frame is stated in the offer, a merchant’s firm offer will remain open for a reasonable time (but in no event may such period exceed three months).
Detailed explanation-2: -Under Article 2 of the Uniform Commercial Code, in a sale of goods, if the seller is a merchant under the definition of a merchant in Article 2, and in a signed writing promises to keep an offer open, this creates a firm offer which is irrevocable.
Detailed explanation-3: -U.C.C. § 2-205 provides: An offer by a merchant to buy or sell goods in a signed writing which by its. terms gives assurance that it will be held open is not revocable, for lack of. consideration, during the time stated or if no time is stated for a reasonable.
Detailed explanation-4: -Uniform Commercial Code Article 2 governs the sale of goods. It was part of the original Uniform Commercial Code approved in 1951. Article 2 represented a revision and modernization of the Uniform Sales Act, which was originally approved by the National Conference of Commissioners on Uniform State Laws in 1906.