Which of the following is correct with regard to counteroffers?
A) A counteroffer operates as a rejection of the original offer.
B) A conditional acceptance is a common type of counteroffer.
C) The receipt of a counteroffer terminates the original offer.
D) All of these are correct.

Question

Quizplus · Accepted Answer

A counteroffer operates as a rejection of the original offer, as the offeree is proposing different terms than those included in the original offer. A conditional acceptance can also be a type of counteroffer if it includes additional or different terms. Finally, the receipt of a counteroffer terminates the original offer, as the parties are no longer bound by the terms of the original offer. Therefore, all three statements are correct.

Which of the Following Is Correct with Regard to Counteroffers