Contracts and Sales Multistate Bar Practice Exam

How does UCC differ from the traditional mirror image rule during acceptance?

1. UCC requires identical terms to form a contract

2. UCC allows for acceptance with reasonable expressions even with new terms

3. UCC does not recognize any acceptance without written confirmation

4. UCC strictly prohibits any modification of terms during acceptance

The correct answer is: UCC allows for acceptance with reasonable expressions even with new terms

The correct answer highlights a key difference between the Uniform Commercial Code (UCC) and traditional contract law regarding the acceptance of offers. Under the traditional mirror image rule, any acceptance must exactly match the terms of the offer for a contract to be formed. If the acceptance varies in any way, it is considered a counteroffer, not an acceptance. In contrast, the UCC, which governs commercial transactions, allows for a more flexible approach. Specifically, the UCC permits acceptance even if the acceptance includes terms that differ from those in the original offer, as long as the acceptance reflects a reasonable expression of agreement. This means that new or additional terms can be proposed and still result in a binding contract, provided that the parties intend to create an agreement. This flexibility is particularly useful in commercial settings where negotiations may include various adjustments to terms. The incorrect options reflect misunderstandings of the UCC's acceptance rules. For example, stating that the UCC requires identical terms to form a contract misrepresents UCC principles, which embrace differing terms. The assertion that the UCC does not recognize any acceptance without written confirmation conflicts with the UCC’s allowance for verbal agreements in appropriate circumstances. Lastly, the claim that the UCC strictly prohibits any modification of terms