Acceptance 2
Definition
Agreement to accept the terms of an offer; for example, the agreement of an insurance company to provide a specified insurance cover or of a trader to accept a specified parcel of goods at the offer price.
Example
Example 1:
After Ngozi submits her application for health insurance, her insurer reviews her medical history and formally agrees to cover her, that agreement is an acceptance of her insurance offer.
Example 2:
A Chicago commodities trader makes an offer to buy a large consignment of wheat at a fixed price,when the seller formally agrees to those terms, that confirmation is an acceptance, making the deal legally binding.