Final answer:
An offer can be terminated through revocation by the offeror, after a reasonable amount of time has passed, or if the offeree makes a counteroffer. Each action closes the possibility of acceptance of the original terms proposed in the offer.
Step-by-step explanation:
An offer may be terminated in several ways in a contract law context. Here are three such possibilities:
Revocation by the Offeror: The person making the offer, known as the offeror, may withdraw the offer before it is accepted by the offeree. This revocation must be communicated to the offeree before acceptance.
Passage of Time: An offer can also lapse after a reasonable amount of time. What constitutes a reasonable time can vary based on the context of the offer and any specific terms the offer may contain.
Counteroffer by the Offeree: If the offeree responds to an offer with a counteroffer, this effectively terminates the original offer. A counteroffer is considered a rejection of the initial offer and puts forward new terms for negotiation.
These mechanisms ensure that both parties have a clear understanding of when negotiation terms are open for acceptance or when they have become void.