New York Merchant's Objection to Additional Term

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US-02465BG
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Unless it is expressly specified that an offer to buy or sell goods must be accepted just as made, the offeree may accept an offer and at the same time propose an additional term. This is contrary to general contract law. Under general contract law, the proposed additional term would be considered a counteroffer and the original offer would be rejected. Under Article 2 of the UCC, the new term does not reject the original offer. A contract arises on the terms of the original offer, and the new term is a counteroffer. The new term does not become binding until accepted by the original offeror. If, however, the offer states that it must be accepted exactly as made, the ordinary contract law rules apply.

In a transaction between merchants, the additional term becomes part of the contract if that term does not materially alter the offer and no objection is made to it. However, if such an additional term from the seller operates solely to the seller’s advantage, it is a material term and must be accepted by the buyer to be effective. A buyer may expressly or by conduct agree to a term added by the seller to the acceptance of the buyer‘s offer. The buyer may agree orally or in writing to the additional term. There is an acceptance by conduct if the buyer accepts the goods with knowledge that the term has been added by the seller.

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FAQ

Additional terms (new terms in the acceptance that do not contradict a term in the offer) become part of the agreement unless (1) the offer expressly limits acceptance to the terms of the offer; (2) the additional terms materially alter the agreement; or (3) the party making the offer has already given notice of ...

If both parties are merchants, the additional terms become a part of the contract, unless: they materially alter the contract, acceptance is conditioned on the specific terms of the offer, or. the offeror specifically rejects the additional or different terms.

(1) A definite and seasonable expression of acceptance or a written conformation which is sent within a reasonable time operates as an acceptance even though it states terms additional to or different from those offered or agreed upon, unless acceptance is expressly made conditional on assent to the additional or ...

The goal of Section 2-207 is to allow the parties to enforce their agreement, whatever it may be, despite discrepancies that may exist between an oral agreement and a written confirmation, and despite discrepancies between a written offer and a written acceptance, if the acceptance can be effectuated without requiring ...

A conditional or qualified acceptance is an acceptance that adds to, or changes, the terms of the original offer. This is essentially a counteroffer.

The ?Mirror Image Rule? is the requirement that the offeree must accept all of the offer's original terms. The offeree may not modify or add any terms to the offer. If acceptance alters any terms or adds additional terms, no contract is formed. [38] Therefore, it is said that acceptance must ?mirror? the offer.

' Any variance in the terms of the acceptance is considered a rejection of the offer and a counteroffer which must be accepted by the original offeror before a valid contract arises.

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New York Merchant's Objection to Additional Term