Also known as:chaffers · chaffered · chaffering · bargain · haggle
Written by attorneys · grounded in primary & secondary sources — see below
To bargain or negotiate over proposed terms for an agreement by exchanging offers that may produce acceptance, rejection, or a counter-offer.
Sources & Authorities
How it applies
Common Examples
6
Counter-Offer During Equipment Sale
Catherine Carter offered to sell her warehouse equipment to Coastal Shipping for a fixed price. Coastal Shipping responded by chaffering a lower amount and different payment schedule. The response constituted a counter-offer that terminated Catherine's power to accept the original terms.
Seller Affirmation Creates Warranty
Corinne Cho sold industrial drills to Crystal Dynamics and chaffered that each drill would operate continuously for at least 500 hours. The statement became part of the basis of the bargain and created an express warranty that the drills would conform to the affirmation.
Select any source to read its text and confirm it supports the definition.
Cases
Statutes
Uniform Acts
Restatements
Dictionaries
Carmen Choi chaffered replacement parts as meeting a precise tolerance specification in the sales documents provided to Cascade Manufacturing. The description formed part of the basis of the bargain and created an express warranty that the parts would conform to the stated specification.
Sample Creates Conformity Warranty
Caitlin Crowley chaffered a sample valve to Citadel Security and the parties agreed the bulk order would match the sample. The sample became part of the basis of the bargain and created an express warranty that the delivered valves would conform to the sample.
Bargaining Over Labor Terms
Cody Callahan chaffered employment terms with a steel manufacturer while the parties discussed wages and working conditions. The ongoing bargaining process allowed the parties to exchange proposals without immediate formation of a binding agreement.
N.L.R.B. v. Jones & Laughlin Steel Corp.301 U.S. 1 (1937)
Collective Bargaining Agreement
Christian Coleman chaffered with a textile mill over wages and grievance procedures during extended negotiations. The bargaining culminated in a written agreement enforceable under federal labor law.
Textile Workers Union of Am. v. Lincoln Mills of Ala.353 U.S. 448 (1957)
Common questions
Frequently Asked
3
Does chaffering always create a binding contract?+
No. Chaffering consists of bargaining through proposals that may result in acceptance, rejection, or a counter-offer. A counter-offer terminates the offeree's power to accept the original offer unless the offeror has manifested a contrary intention.
Supporting sources
How does chaffering relate to express warranties under the UCC?+
During chaffering a seller's affirmation of fact, promise, description, or sample can become part of the basis of the bargain and thereby create an express warranty that the goods will conform to the affirmation, description, or sample.
Supporting sources
Can chaffering occur through conduct rather than words?+
Yes. Mutual assent during bargaining can be manifested by conduct such as beginning performance when the offer invites acceptance by that means, provided the conduct is intentional and the actor knows or has reason to know the other party may infer assent.
Supporting sources
495 U.S. 604, 618, 110 S.Ct. 2105, 109 L.Ed.2d 631 (1990)Conflict of Laws
…Colombia v. Hall, 466 U. S., at 414-416. In other words, even if one agreed with JUSTICE BRENNAN's conception of an equitable bargain, the "benefits" we have been discussing would explain why it is "fair" to assert general jurisdiction over Burnham-returned-to-New-Jersey-after-service only at the expense of proving that…
TortsIntentional torts · Harms to the person and property interests (assault, battery, false imprisonment, infliction of mental distress, trespass to land and chattels, conversion)UBEFoundational