Binding Offer

A binding offer is a formal proposal made by one party to another, indicating a willingness to enter into a contract under specific terms. Once the offer is accepted by the other party, it becomes a legally enforceable agreement. The key elements include clarity of terms, intent to create a legal obligation, and mutual agreement. For example, if someone offers to sell their car for a certain price and the buyer agrees, both parties are bound by that agreement. If either party fails to fulfill their obligations, the other may seek legal remedy.