In a law of contract, a counter offer operates as?

A. an acceptance
B. a consensus
C. a rejection
D. a contract

Correct Answer: Option C

C. a rejection

Explanation

counter offer is an offer made in response to a previous offer by the other party during negotiations for a final contract. Making a counter offer automatically rejects the prior offer, and requires an acceptance under the terms of the counter offer or there is no contract.

A counteroffer is a proposal made as a result of an undesirable offer. A counteroffer revises the initial offer and makes it more desirable for the person making the new offer.