Mirror image rule

Mirror image rule

In the law of contracts, the mirror image rule, also referred to as an unequivocal and absolute acceptance requirement states that an offer must be accepted exactly without modifications. The offeror is the master of his own offer. An attempt to accept the offer on different terms instead creates a counter-offer, and this constitutes a rejection of the original offer. (Restatement(2d) Contracts §59).

Australia

This position is adhered to in Australia (New South Wales). If a person were to accept an offer, but make a modification, then they are actually rejecting the offer presented to them and are proposing a counter-offer [Masters v Cameron (1954) 91 CLR 353]. That modifying party is then the one making a new offer, and the original offeror is now the one who has to accept.

United States

In the United States, this rule still exists at common law. However, the Uniform Commercial Code ("UCC") dispenses with it in § 2-207. Therefore, its applicability depends upon what law governs. Most states have adopted the UCC, which governs transactions in goods. Contracts for services or land, for example, would not be governed by the UCC.

The 2-207 statute is a confusing and controversial one. To read more about it, see United States contract law, UCC, or Offer and acceptance.


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