In simple language about complex things
This is a seller’s call, in one of the forms (written, rarely oral) to individuals or legal entities with an offer to purchase goods, works, services.
A letter of cooperation from one specific person (offeror) to others, with a proposal to place an order for a certain quantity of goods, at a certain price, with a certain delivery and pre-agreed wages, will also be called an offer. Acceptance, in turn, will be a response letter, call, response with confirmation (or refusal) of this initiative.
To simplify even further, this is your proposal to your wife to wash the dishes every other day. If the agreement is received (acceptance), then your offer, and therefore its activity, has ended in the best possible way due to the emergence of an oral agreement between you.
https://youtu.be/yz1ywIDKX9M
Offer or offer agreement: essence
It is a written or oral offer from an offeror to an acceptor demanding a contract.
Simply put, this is a letter from the seller to the buyer with an offer to sell products, which can set out both the name of the goods and their price, as well as additional terms of the agreement.
It must be guided by certain requirements:
- Targeting – targeting a specific person.
- Certainty – clearly structured information without various nuances.
- Direction – the intentions to enter into an agreement must be clearly stated.
- The offer must contain all aspects of the transaction that must be described in the document and recognized by law.
Its main principle is irrevocability. Those. You cannot withdraw your offer until the agreed period has passed. In a situation where a document with a review came along with an offer, such an offer is considered not received.
Thus, the process of implementing a contract is as follows: the offeror sends documents, and the opponent, in case of agreement, confirms it by sending an acceptance.
It turns out that in order for the transaction to become official, absolute acceptance is required, only then the contract is concluded.
Public offer agreement, video:
https://youtu.be/3TX5-HJUyxY
Definition of offer
In very simple terms, this is an offer from the addressee to certain persons with different conditions.
Please note that the offer, acceptance and offer agreement must be equal in terms of the provisions contained. If the acceptor's counter-response has other conditions or slightly different from those stipulated in the offer, then this begins to be considered a counter-offer.
Here's what Wikipedia says about it
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What is an offer
A business proposal made by one party to another is an offer
At its core, it is a business offer made by a seller to a buyer.
It is as follows:
- It is offered to purchase goods under certain conditions.
- Purchasing times are limited.
- In this case, both parties comply with the terms of the agreement.
The simplest example is the price tag that a person sees in a store. Here is the offer from the seller, which the buyer accepts or rejects. If a person gives money to a seller to purchase a product, it means he accepts his terms and agrees with them. When he leaves the store for another, he rejects it.
You can give another example, which will also be clear. This is a sale of shares. shares on the securities market, inviting the co-founders to purchase them. If the co-founder agrees, he accepts the terms.
Types of offers
- Public offer;
- Closed offer;
- Free offer;
- Firm offer;
- Irrevocable offer;
- Advertising offer.
Public offer
The formal definition is the following: this is an offer from a certain circle of people to conclude an agreement on their own terms with all those who respond. In turn, those who agree to such a proposal can contact the offeror with claims regarding the performance of their duties.
The most important condition of a public offer ! Everyone has the right to take advantage of the offeror's offer.
Specific actions of the offeror can also be a pretext for making a public offer. For example, at a time when a merchant does not indicate the price on the product label on the shelves in a shopping center or on the cafe menu opposite the dish, these actions will still be interpreted as an offer, and therefore, any person who has confirmed his consent to purchase may demand compliance with all points from the public offer agreement.
To understand the above, there is a simple example - indicating the price in any supermarket. If you want to purchase this product, then you give the seller money (acceptance), and the store, its director and cashier cannot prohibit you from purchasing the product.
There is also such a term as an invoice offer
. It is used only in relation to goods, which indicates the name, price and composition of the goods, as well as the conditions negotiated with the supplier regarding payment and shipment of goods.
Remember!
If the advertising booklet, Internet sources, newspapers and other information sent out indicate that this invitation is valid only for a certain segment, then the public offer is invalid for this offer (Article 437 of the Civil Code of the Russian Federation)
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a public offer plan in Russia in 2017?
Why a public offer? Because it is the most common species throughout the world.
Why compose it? Because this is a form of contract, which means a guarantee of well-coordinated work and no obligations between the partners.
The most important rule . The text should be simple and understandable. For this purpose, the main points for constructing a public offer have long been invented. The main provision of such an agreement is the essence of the transaction being made. For example, the start of construction of an object, the purchase or sale of goods, the desire to start cooperation.
The plan for writing an offer is very similar to a short fax or letter that one party sends to the other:
- FULL NAME;
- Name of the organization (in full) - the offeror;
- The date the letter was written, its individual number;
- Title;
- Appeal (if the message goes to a certain circle of people);
- The main text of the offer;
- Directly the essence of the proposal;
- Conditions and requirements.
- Personal signature of the offeror.
Closed offer
If a company or enterprise offers to purchase its goods for some reason (for example, strictly confidential information) to a limited number of people, then such an offer begins to be considered closed.
Example of a closed offer:
a receipt for groceries, a bill for a hotel room.
Free offer
This type is not done to increase sales, but is used by the seller for preliminary study of sales markets. It (the offer) proposes to study demand in individual parts of the market on the basis of consumers. That is, for example, this is a mailing sent from your communications provider to its subscribers, telling about changes in the cost of service, in order to understand what consumers of this group of goods want and identify their preferences.
Firm offer
An example explaining the effect of a firm offer is sending out (or issuing leaflets) to customers of a grocery store information about discounts and promotions on certain types of goods.
Consequently, this type of offer is addressed to a specific segment of buyers, with precisely specified terms of the contract. These offers are usually directed at certain citizens who have already become (or are about to become) clients of the seller-offerer.
The transaction is considered completed if the buyer’s consent follows within the specified period of the promotion, or if the seller’s obligations associated with the sale expire.
Irrevocable offer
Unlike others, an irrevocable offer cannot be canceled. The terms and conditions are not allowed to change, and previously executed provisions cannot be revoked. When drawing up a plan for this type of offer, you must think through every little detail, because it is impossible to add additional items or remove unnecessary ones. This type of offer is especially popular with issuing companies that offer shareholders to buy shares and securities.
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An example here would be if the company that issued the shares offers to buy them to its shareholders.
Advertising offer
In the modern world, judicial practice prohibits advertising from containing deceptive, incomplete or unreliable information; accordingly, the advertiser begins to bear responsibility immediately upon concluding an agreement and the conditions set out in it.
Advertising and public offer: difference between concepts
The advertisement does not stipulate all the conditions that must be in a public offer for concluding a contract. Its goal is to provide products to people with a more colorful presentation than that of competing companies.
Many advertising brochures have the inscription: “Not a public offer,” what does this mean? In fact, these are “empty words”, since we have already said that advertising and an offer are different concepts.
The same situation applies to advertising sites. They present us with a list of goods, their characteristics, call for purchase, but do not indicate the price or delivery time.
https://youtu.be/bFndvSq44UY
Legislative definition
There are several articles in the Civil Code of the Russian Federation that clearly define the use of an offer in business cooperation between persons.
- Art. 435. clause 1 Definition of an offer, which specifically states that the intentions of the offeror must be without any attempt to deceive.
- Art. 435. clause 2 The offeror and the acceptor become bound when the other party receives the offer.
- Art. 436, 439, 441. Determine the validity period of the offer.
- Art. 437. Tells us about advertising and its connection with the offer.
Interesting fact.
In judicial practice, namely in Anglo-American law, there is a funny “mailbox” rule: the very second the acceptor sends the letter to the mailbox, the contract begins to be considered concluded, regardless of the period of receipt of the letter. This rule is good (or not so good) because there is a possibility of overstaying the response time or losing documents.
Where does an offer occur in everyday life?
In addition to the price tag in the store and the offer to buy securities, in everyday life you can “encounter” an offer:
- Reviewing phone company and internet service plans. When a client is made an offer to purchase certain services, and his consent is considered as a reason for concluding and signing an agreement.
- In a beauty salon, when services are purchased for money, for example, nail extensions, eyelashes, and other cosmetic procedures.
Another example is that upon admission to a hospital, a person agrees to the conditions of hospitalization. As a result, he signs the contract.
Offer on the Internet
Any purchases that require the buyer’s consent and acceptance of the seller’s terms and conditions fall under this definition, regardless of where they are made.
As an example, it is worth citing offers that often come from providers. Having opened the page, you can see a form implying the purchase of a service or product that requires an agreement.
Difference between offer and contract
Many people often confuse an offer with a contract due to their apparent similarity. There is no need to do this. The offer and the contract certainly have common features, but also differences that do not allow us to completely identify them.
The similarity between these two concepts is only that they must reflect all the terms of the transaction, and acceptance, from a legal point of view, can be considered the signing of an agreement.
Differences:
- There are always at least two parties to a contract, and an offer only requires one subject.
- In the offer, the rights of the organization that issued it are much smaller than the responsibilities. This includes, for example, responsibilities for delivery, maintenance and operation. In turn, the obligations of the acceptors end, in most cases, with payment of the above.
- In a contract, rights and obligations are borne almost equally by both parties, something that an offer cannot boast of.
Mandatory clauses of the offer
Describing the offer in simple words, it is worth mentioning its mandatory points, without which it loses its meaning. They are listed in Art. 435-437 Civil Code of the Russian Federation.
- Conditions essential for concluding a contract are the subject of the contract, its term, price, terms of payment and performance in general.
- A specific proposal for a product or service indicating the type, model, qualifications, complexity and other precise parameters plus cost.
- The offeror's clearly stated intention to enter into a contract.
- Addressability. The offer must be addressed to a specific organization. The exception is a public offer, which can be used by anyone.
- Validity. Based on an offer valid until July 2017, it is impossible to conclude a contract in September - the conditions previously proposed by the offeror will no longer be valid.
An example would be an agreement with annexes that has already been drawn up and signed by the offeror. In the business environment, there are often cases when cooperation begins without official acceptance of the proposal.
