Offeror

An offeror is an individual or entity that presents a proposal or offer to enter into a contract or agreement, expressing willingness to provide goods, services, or a specific course of action under pre-defined terms. The offeror's intention is to create a legal obligation upon acceptance by the offeree, thereby initiating a contractual relationship.

Offeror meaning with examples

• In real estate transactions, the offeror may be a buyer who submits a purchase proposal to the seller, detailing the price and conditions of the sale. This initiates negotiations, with the seller considering whether to accept, reject, or counter the offer presented by the offeror according to current market conditions.
• In a competitive bidding scenario, the offeror could be a construction company that submits a bid to provide building services for a new development project. The proposal outlines costs, timelines, and service quality, aiming to persuade the client to select them as the contractor, thereby shaping the project’s future.
• In the context of a job offer, the employer acts as the offeror who proposes employment terms to a potential employee. This offer includes salary, benefits, and work conditions, creating an opportunity for the candidate to accept or negotiate the terms before formally joining the organization.
• In legal matters, an offeror may present a settlement proposal to the opposing party during litigation. By outlining terms and conditions for resolving the dispute amicably, the offeror seeks to avoid the uncertainty and expense of trial, aiming for a mutually beneficial agreement.