Contracts & ExecutionQuestion 797 of 1605

A supplier offers to sell a contractor 500 sheets of drywall at a stated price, promising in a signed writing to hold the offer open for 10 days. Before accepting, what is the general rule about an ordinary (non-option) offer?

a.Every offer must remain open for a reasonable time no matter what
b.An offer can never be revoked once communicated
c.Only written offers can be revoked
d.An ordinary offer can generally be revoked any time before acceptance unless supported by consideration or made irrevocable by law

Explanation

As a general rule, an offeror may revoke an ordinary offer any time before it is accepted, even if the offeror promised to keep it open, unless the promise is supported by separate consideration (an option contract) or made irrevocable by statute. Communicating an offer does not lock it in. The revocability rule applies to both oral and written offers alike.

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Reviewed by Abraham Chen Licensed California General Contractor (CSLB License #1101856 verify)
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