thedefinitionofanofferandcounter-offer;thedifferencebetweenfirmoffersandnon-firmoffers;thelegalbindingeffectofafirmoffer;howtostructurealettertomakeanofferandacounter-offer;howtousethecommonexpressionsinthistypeofletter.Discussthefollowingquestions1)Whatisanoffer?2)Whatisacounteroffer?3)Whatisafirmoffer?4)Whatisanon-firmoffer?5)Whatisaquotation?6)Whatarethedifferencesbetweentheaboveterms?1OfferAnoffermeanssubmittingorfurnishingdetailsincludingprices,conditionsandotherrelateditemsneededforacontract.Or,accordingtotheUnitedNationsConventiononContractsfortheInternationalSalesofGoods,aproposalforconcludingacontractaddressedtooneormorespecificpersonsconstitutesanofferifitissufficientlydefiniteandindicatestheintentionoftheofferortobeboundincaseofacceptance.Example:anoffer/areplytoanenquiryDearMr.Brown,InreplytoyourletterofMay15th,wetakepleasureinmakingyouaspecialoffer,subjecttoourfinalconfirmation,asfollows:Art.No.81000PrintedShirtingDesignNo.72435-2ASpecifications:30x36x72x6035/6”x42ydsQuantity:18000ydsPacking:Inbalesorinwoodencases,atseller’soptionPrice:USD…peryardCIF3HamburgShipment:Tobemadeintwoequalmonthlyinstallments,beginningfromOctober,2009.Payment:Byconfirmed,irrevocableL/Cpayablebydraftatsighttobeopened30daysbeforethetimeofshipment.Wetrustthattheaboveofferwillbeacceptabletoyouandawaitwithkeeninterestyourfirstorder.Yourssincerely,WangHaoSalesManagerFirmoffer/non-firmoffer●periodofvalidity;●alltermsandconditionscomplete,clearanddefinite●non-firmofferscannotbeaccepted,justaninducementtobusiness,usuallymadebysendingcatalogues,pricelists,proformainvoiceandquotationsandsoon.Example:afirmofferDearSir,ShapingMachinesWewerepleasedtoreceiveyourenquiryof12Julyforourshapingmachines.Asrequested,weofferfirm,subjecttoyourreplyreachinghereby22July,asfollows:Nameofcommodity:OXbrandshapingmachineSL-035Quantity:50setsUnitprice:USD100000persetCIFLosAngelesDateofshipment:OnorbeforeOctober15,2009Termsofpayment:Byconfirmed,irrevocableL/CpayablebydraftatsightOurshapingmachinesarereasonableinpriceandexcellentinquality.Allthemachinescanbeguaranteedforoneyear,andwealsoprovidesparepartsandcomponentsandafter-saleservicestooverseascustomers.Wehopethisofferwillturnouttoyoursatisfactionandlookforwardtoreceivingyourinitialordersoon.Yoursfaithfully,FirmofferindicatorExample:anon-firmofferDearSirs,WeareinreceiptofyourletterofAugust5,2009,andwearewillingtoenterintodirectbusinessrelationswithyouonthebasisofequalityandmutualbenefit.Asrequested,weareenclosingourlatestillustratedcatalogueandquotationsheetcoveringallourproductsavailableforexport,subjecttoourfinalconfirmation.Havingspecializedinspicesbusinessforabout20years,wearewellconnectedwithleadingsuppliersinChinaandourcommoditiesareverymarketableinAmerica,Canada,Japan,KoreaandmostoftheEuropeancountries.Nowwearedesirousofopeningupthemarketinyourcountryandareseekinganexperiencedagentinthisfield.Ifyouareinterestedinanyofouritems,youmaycontactusdirectly.Wecanassureyouofourmostfavorablepricesandthefinestquality.Wearelookingforwardtoyourearlyreply.Yoursfaithfully,Non-firmofferindicatorQuotationApromisetosupplygoodsonthepriceandtradetermsagreeduponbybothparties.Note:priceandtradetermsonly,withoutothertermsorconditions.Brainstorm:aquotation?anoffer?ExpresspromisetosellDetailedelements:price,packing,shipment,paymentterms,etc.OurpriceisFOBShanghai$100M/T,subjecttoyourreplywithinoneweek.Pleaserefertothepricelistattachedforourprice.Imightbepreparedtosellmydogtoyoufor$10.IofferyouthisbutIdon’tintendtobeboundbyanythingifyouaccept.Acceptanceamirrormodel,whichmeans,unconditionalacceptance,withoutanydiscrepanciesbetweenwhatisofferedandwhatisaccepted,otherwiseitisacounteroffer.nonmaterialalterationsareallowednowadaysbylegalexperts.CounterOfferanalterationPartialrejectiontotheoriginalofferCounterproposalEndstheoriginalofferExample:acounter-offerDearSirs,Re:CowhideBeltsWehavereceivedyourofferdatedMay9forthecaptionedgoods.Whileweappreciatethefinequalityofyourproducts,weregrettoinformyouthatourclientsfindyourpricemuchtoohigh.ReliableinformationindicatesthatsomemanufacturesinChinacansupplythesimilarproductsandtheirspricesarefairlyreasonableandcompetitiveascomparedwithyours.Maywesuggestthatyoumakesomeallowance,say10%onyourquotedprices?Webelieveyourreductioninpriceswouldhelpustopushsalesofyourbeltsinourmarket.Wehavebeenengagedintheleatherproductsbusinessforover30yearsandenjoyhighprestigeinthisfield.Ifyoucangrantusthediscount,wetrustthiswillbethebeginningofourlongandstablecooperationpartnership.We’dhighlyappreciateyourpromptreply.Yoursfaithfully,WritingaQuotation◆Anexpressionofthanksfortheenquiry;◆Detailsofprices,discountsandtermsofpayment;◆Astatementorclearindicationofwhatthepricescover(tradeterms);◆Anundertakingastodateofdeliveryortimeofshipment;◆Theperiodforwhichthequotationisvalid,withanexpressionofhopethatthequotationwillbeaccepted.WritinganOfferAnexpressionofthanksfortheenquiry;Nameofcommodities,quality,quantityandspecifications;Detailsofprices,discountsandtermsofpayment;Astatementorclearindicationofwhat