Firm Offer Rule
Under common law, an offer to purchase can be revoked at anytime before acceptance. However, dealing between merchants, an offer can be made 'firm' or irrevocable for a certain period of time. In order for a merchant to create a 'firm offer' it must satisfy the Statute of Frauds. When dealing between merchants, the Statute of Frauds will be satisfied so long as it satisfies an authentication under the UCC Section 2-205 (a signature/mark will do). This is called the firm offer rule. Provided this occurs, the offer will stay 'firm' for a period of 90 days. If the offer is for a longer period courts will limit the offer period to 90 days.
Read more about this topic: Merchant, Significance in Law
Famous quotes containing the words firm, offer and/or rule:
“What is a firm hand to me, of what use to me is this astonishing power if I cannot change the order of things, if I cannot make the sun set in the east, that suffering diminish and that beings no longer die?”
—Albert Camus (1913–1960)
“I don’t know the man I admire more than [Charles Evans] Hughes. If ever I have the chance I shall offer him the Chief Justiceship.”
—William Howard Taft (1857–1930)
“Great statesmen seem to direct and rule by a sort of power to put themselves in the place of the nation over which they are set, and may thus be said to possess the souls of poets at the same time they display the coarser sense and the more vulgar sagacity of practical men of business.”
—Woodrow Wilson (1856–1924)