counteroffer


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Counteroffer

A second or subsequent offer to purchase an asset. For example, if the asking price on a house is $150,000, a potential buyer may make an initial offer of $125,000. In such a case, the seller may make a counteroffer for $140,000. Counteroffers are only made if the price is subject to negotiation.

counteroffer

An offer that differs from the previous offer in some significant detail.A counteroffer rejects the prior offer by operation of law, and instead makes a new offer that must either be accepted or rejected by the other party.

Example: A seller offers to sell her home “as is” for $250,000.

• A buyer offers to buy the home for $240,000, but the seller must replace the roof and recar- pet the house (counteroffer).
• The seller replies that she will sell for $235,000 “as is” (another counteroffer).
• The buyer replies that he will pay $210,000 “as is” (another counteroffer).
• The seller sees things going downhill and says, “Wait, wait, I accept your first counteroffer of $240,000 and I will repair the roof and carpet.” However, the seller cannot do this, because that offer no longer exists and cannot be accepted.

References in periodicals archive ?
This is a counteroffer, and there is no contract unless the additional or different terms are accepted.
Third, accepting a counteroffer will likely mean you'll burn your bridges with the company you intended to join as well as any contact or recruiter who helped you secure the position.
Where the different or additional term in a response to an offer is a "dickered" term--a negotiated term or a term to which parties typically pay attention such as price, subject matter, or quantity--it is a counteroffer under the historic common law matching acceptance rule to which section 2-207 has no application.
With multistage bargaining, we aim to represent real-life bargaining which is typically characterized by a series of offers and counteroffers and step-by-step bilateral convergence.
Dell is expected to soon detail counteroffers to the one made by Michael Dell and Silver Lake, which was announced on February 5.
The counteroffer "raised expectations that budget talks would be concluded within 2012," said Minori Uchida, head of global market research at Bank of Tokyo-Mitsubishi UFJ.
It claimed that the video provider's withdrawal of the counteroffer constituted bad faith, and asked the commission to require that the video provider carry the broadcast station on terms that the provider had previously proposed.
Summary: Although some are concerned it will impact salary structure, counteroffers have rising this past six months as staff retention finally becomes a key priority.
Unfortunately, too many dynamics are already in play during a resignation and changing your mind and accepting a counteroffer is very dangerous and statistically not in your favor.
The seller's broker responded by email with a counteroffer for $52 million and a 30-day diligence period during which the prospective purchaser would have a right of first refusal on any higher offer.
3 billion counteroffer for the parent of the New York Stock Exchange.
ONGC has acted in a responsible manner when it did not put in a counteroffer," he added.