If a response to an offer includes a condition, what is the effect?

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Multiple Choice

If a response to an offer includes a condition, what is the effect?

Explanation:
When acceptance is unconditional and on the exact terms offered, a contract forms. If the offeree adds a condition, that response is not plain acceptance; it signals new terms are being proposed. Under the mirror image rule, this is treated as a rejection of the original offer and a counteroffer. The original offer lapses, and only if the offeror agrees to the new terms does a contract come into existence.

When acceptance is unconditional and on the exact terms offered, a contract forms. If the offeree adds a condition, that response is not plain acceptance; it signals new terms are being proposed. Under the mirror image rule, this is treated as a rejection of the original offer and a counteroffer. The original offer lapses, and only if the offeror agrees to the new terms does a contract come into existence.

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