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Multiple Choice

What creates the power of acceptance in contract formation?

The power to accept arises from the offeree’s outward, objective manifestation of assent to the offer. In contract formation, what matters is how a reasonable person would interpret the offeree’s words or conduct, not the offeree’s private intent. Acceptance occurs only when the offeree communicates or acts in the manner the offer invites; the offer itself dictates the accepted method, and meeting that standard forms a binding contract. Written signatures or consideration may affect enforceability, but they do not create the power to accept.

The power to accept arises from the offeree’s outward, objective manifestation of assent to the offer. In contract formation, what matters is how a reasonable person would interpret the offeree’s words or conduct, not the offeree’s private intent. Acceptance occurs only when the offeree communicates or acts in the manner the offer invites; the offer itself dictates the accepted method, and meeting that standard forms a binding contract. Written signatures or consideration may affect enforceability, but they do not create the power to accept.