BACHELOR OF BUSINESS ADMINISTRATION

BUSINESS ADMINISTRATION

BUSINESS LAW

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Under this rule, the acceptance must match the terms of the original offer.
A
counteroffer
B
mirror image
C
formalist theory
D
bilateral
Explanation: 

Detailed explanation-1: -In the law of contracts, the mirror image rule, also referred to as an unequivocal and absolute acceptance requirement, states that an offer must be accepted exactly with no modifications. The offeror is the master of their own offer.

Detailed explanation-2: -This rule states that the acceptance of an offer must be exactly as demanded by the offeror. That is, the acceptance must mirror the offer. If the offeree adds new terms to the acceptance, it is not really an acceptance. Acceptance with different or additional terms constitutes a counteroffer.

Detailed explanation-3: -Let’s say you want to sell your house. You put it on the market, and a buyer accepts it as-is. In this case, the mirror image rule applies. The buyer accepts your exact terms and you move forward with a contract for sale.

Detailed explanation-4: -For an acceptance to be valid, it generally must be identical to the offer. [11] This is commonly referred to as the mirror image rule. If the acceptance is not a mirror image of the offer, it is considered a rejection and a counteroffer that can be accepted by the original offeror.

Detailed explanation-5: -A mirror image rule is just a principle of contract law that states that in order for an offer to be accepted, the offeree must do so explicitly, unequivocally, and without any alterations. Whenever the “mirror image rule” is applicable, a contract comes into existence.

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