Difference Between Cross Offer And Counter Offer

What is the difference Between Cross Offer And Counter Offer?

Answer (1)

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Team Legistify

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Cross offers:  These are the offers that party make to each other in ignorance of each others offer. Cross offers are identical. In the case of cross offers, no binding contract will be created and the offer could not be said to have been accepted by any of the party.

Ex:  A writes a letter to B offering him his bike for Rs 100. At the same time B writes a letter to making a similar offer to buy his bike for Rs 100. Offers of both A and B cross each other. Such offers do not constitute to acceptance of one's offer by the other.

Counter Offer: On the other hand, in counter offer there is a rejection of the original offer and a new offer is made that needs acceptance by the original promisor before a contract can be made.

Ex:  X offers Y his bike for Rs 100. Y rejects the offer and offers A to buy his bike for Rs 80. Such an offer is known as the counter offer.

Answered on 28 Sep 2018

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