In: Economics
Traditional “Mirror Image” Rule
The traditional contract law rule is that an acceptance must be the
mirror image of the offer. Attempts by offerees to change the terms
of the offer or to add new terms to it are treated
as counteroffers because they impliedly indicated
an intent by the offeree to reject the offer instead of being bound
by its terms. However, recent years have witnessed a judicial
tendency to apply the mirror image rule in more liberal fashion by
holding that only material (important) variances between an offer
and a purported acceptance result in
an implied rejection of the offer.
Even under the mirror image rule, no rejection is implied if an
offereee merely asks about the terms of the offer without
indicating its rejection (an inquiry regarding terms), or accepts
the offer’s terms while complaining about them (a grumbling
acceptance). Distinguishing among a counteroffer, an inquiry
regarding terms, and a grumbling acceptance is often a difficult
task.