Your client is a laundry company. It wants to enter into a contract with a new detergent supplier. The client gets in touch with the supplier and sends them a contract offer – to buy 3 loads of detergent for £250 on their standard terms. The detergent company replies with another offer – 4 loads for £600 on their standard terms. Your client then goes back with a new offer - £260 for 5 on their standard terms. The detergent company replies by saying they would accept £360 for 3 on the laundry company’s standard terms. They then ring the client and say that they accept the client’s offer of £260 for 5 on the laundry company’s standard terms. The client doesn’t want to enter into the contract anymore.

Is the client bound by their acceptance?

A.     Yes, as it was accepted by the detergent company.

B.     Yes, as the detergent company rang to accept, which overrides previous offers.

C.     No. The detergent company made a counteroffer that terminated the client’s offer.

D.    Yes. The detergent company was only requesting further information.

E.     Yes. The detergent company’s £360 for 3 statement was a statement of price, not an offer. 

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