Contracts, 12% of the examination
Counteroffer
A response that rejects the original offer and proposes different terms as a new offer.
Acceptance must mirror the material terms of the offer. Changing price, financing, property, closing, or another material term creates a counteroffer and terminates the offeree's power to accept the original unless the original offeror renews it.
Test the distinction
A relevant question from Contracts, selected because its facts or explanation use this concept.
A seller receives an offer and returns it signed, having changed the closing date. What has the seller legally done?
Written to DRE's published topic list. Not a real examination question, since reproducing those is a misdemeanor under B&P Code section 123.
Primary sources
Use these authorities when a course summary, forum answer, or older flashcard conflicts with the current California rule.