{"id":4379,"date":"2016-04-04T10:47:30","date_gmt":"2016-04-04T15:47:30","guid":{"rendered":"https:\/\/content.findlaw-admin.com\/ability-law\/smallbusiness\/business-contracts-forms\/what-is-an-offer.html"},"modified":"2024-06-06T01:09:10","modified_gmt":"2024-06-06T06:09:10","slug":"what-is-an-offer","status":"publish","type":"page","link":"https:\/\/www.findlaw.com\/smallbusiness\/business-contracts-forms\/what-is-an-offer.html","title":{"rendered":"What Is an Offer?"},"content":{"rendered":"\n
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What Is an Offer?<\/h1>\n
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\n By Susan Buckner, J.D.<\/a> | Legally reviewed by Aviana Cooper, Esq.<\/a>\n | Last updated\n
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Editorial Note: We earn a commission from affiliate partner links on FindLaw. Commissions do not affect the editorial integrity of our legal content.<\/p>\n\n <\/div>\n \n

\n \n <\/i>\n Legally Reviewed\n <\/summary>\n\n
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The last updated date refers to the last time this article was reviewed by FindLaw or one of our contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please contact an attorney in your area<\/a>.<\/em><\/p>\n\n <\/div>\n <\/details>\n<\/section>\n

In contract law, the first thing one learns is that to form a valid contract, there must be an offer, an acceptance, and an exchange of consideration. What makes a valid offer is one of the most contentious aspects of a contract.<\/p>\r\n

An offer can be a single sentence or a detailed written statement. What matters is that the terms be clear and definite so that the person receiving the offer understands what they are agreeing to.<\/p>\r\n

Elements of a Contract<\/h2>\r\n

When forming a contract, the "offeror<\/a>" proposes the terms of the agreement or "makes an offer." The "offeree<\/a>" receives the offer and either accepts or rejects it. If the former, then both parties must agree on the consideration, which is the payment for the terms of the agreement.<\/p>\r\n

Offer<\/h3>\r\n

An offer is a statement of terms under which the offeror agrees to be bound. The offeror promises to do something or refrain from doing something in return for a promise from the offeree. There are some essential elements to an offer.<\/p>\r\n