B SUMMARY Because a contract arises when an offer is accepted it is necessary to find that there was an offer and thar it was accepted. If either element is missing, there is no contract. An offer does not exist unless the offeror has con- tractual intent. This intent is lacking if the statement of the person is merely an invitation to negotiate, a statement of intention, or an agreement to agree at a later date. Newspaper ads, price quotations, and cata- log prices are ordinarily merely invitations to negotiate and cannot be accepted. An offer must be definite. If an offer is indefinite, its acceptance will not create a contract because it will be held that the resulting agreement is too vague to enforce. In some cases, an offer that is by itself too indefinite is made definite because some writing or standard is incorporated by reference and made part of the offer. In some cases, the offer is made definite by - implying terms that were not stated. In other cases, the indefinite part of the offer is ignored when that part can be divided or separated from the balance of the offer. In other cases, the requirement of definiteness is 1gnored either because the matter that is not definite is unimportant or because there is an exception to the rule requiring definiteness. Assuming that there is in fact an offer thar is made with contractual intent and that it is sufficiently defi- nite, it still does not have the legal effect of an offer unless it is communicated to the offeree by or at the direction of the offeror. In some cases, no contract arises because there is no offer that satisfies the requirements just stated. In other cases, there was an offer, but it was terminated before it was accepted. By definition, an attempted accept- ance made after the offer has been terminated has no effect. The ordinary offer may be revoked at any time by the offeror. All that is required is the showing of intent to revoke and the communication of that intent to the offeree The offerors power to revoke is barred by the existence of an option contract under common law or a firm offer under the Uniform Commercial Code or local non-Code statute and by the application of the doctrine of detrimental reliance by the offeree. An offer is also terminated by the express rejection of the offer or by the making of a counteroffer, by the lapse of the time stated in the offer or of a reasonable time when none is stated, by the death or disability of either party, or by a change of law that makes illegal a contract based on the particular offer. When the offer is accepted, a contract arises. Only the offeree can accept an offer, and the acceptance must be of the offer exactly as made without any qual- ification or change. Ordinarily, the offeree may accept or reject as the offeree chooses. Limitations on this freedom of action have been imposed by antidiscrimi- nation and consumer protection laws. The acceptance is any manifestation of intent to agree to the terms of the offer. Ordinarily, silence or failure to act does not constitute acceptance. The recipient of unordered goods and tickets may dispose of the goods or use the goods without such action con- stituting an acceptance. An acceptance does not exist until the words or conduct demonstrating assent to the offer is communicated to the offeror. Acceptance by mail takes effect at the time and place when and where the letter is mailed or the fax is transmitted. A tele- phoned acceptance is effective when and where dispatched. In an auction sale, the auctioneer asking for bids makes an invitation to negotiate. A person making a bid is making an offer, and the acceptance of the high- est bid by the auctioneer is an acceptance of that offer and gives rise to a contract. When the auction sale is without reserve, the auctioneer must accept the highest bid. If the auction is not expressly without reserve, the auctioneer may refuse to accept any of the bids