Contracts and Sales Multistate Bar Practice Exam

Which of the following conditions would make silence a valid acceptance?

1. In situations where silence is deemed disrespectful

2. If the offeree has engaged in prior dealings confirming this interpretation

3. When the offeror has made an oral statement urging response

4. In any casual conversation about an offer

The correct answer is: If the offeree has engaged in prior dealings confirming this interpretation

Silence can generally be deemed acceptance in circumstances where the offeree has engaged in prior dealings that establish a mutual understanding of how silence will be interpreted in the context of their transactions. When parties have a history of conduct where the offeree's silence has previously indicated acceptance, this creates a reasonable expectation for the offeror that silence in response to a subsequent offer will likewise be treated as acceptance. This principle relies on the concept of implied acceptance formed through consistent patterns of behavior between the parties. For instance, if two businesses typically proceed to enter contracts based on the offeree’s silence following an offer, the offeror may reasonably expect that similar future offers will be accepted in the same way, thus validating silence as acceptance in those specific circumstances. This context highlights the importance of prior dealings in establishing the norms of communication between the parties. The other options do not address valid circumstances under which silence can conclusively act as an acceptance. Silence being considered disrespectful does not imply acceptance and does not affect contractual obligations. An oral statement from the offeror urging a response does not automatically create a binding acceptance through silence. In casual conversations, the nature of the communication often lacks the mutual assent necessary for any binding agreement, making silence irrelevant in that context.