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Part One
3. Firm Offer and Non-firm Offer
(1) A firm offer is a promise to sell at a stated price and condition within a stated period of time (a certain time limit). It usually contains such expressions as “for acceptance within... days”, “firm offer”, “be valid before...”, etc. The firm offer creates a power of acceptance permitting the offeree by accepting the offer to transform the offeror’s promise into a contractual obligation. Thus, once it has been accepted it cannot be withdrawn.
(2) A quotation is not an “offer” in the legal sense. A quotation is merely a notice of the price of certain goods at which the sellers are willing to sell. It is not legally binding as a firm offer if the sellers later decide not to sell. The price is subject to change without previous notice. However, if a quotation is made together with all necessary terms and conditions of sales, it amounts to an offer. So, these two words are sometimes confusing in use.