[For more current case annotated texts by this author, see Bernstein & Lookofsky, Understanding the CISG in Europe, 2d ed. (2003) and Lookofsky, Understanding the CISG in the USA, 2d ed. (2004).]
excerpt from
Joseph Lookofsky
110. In most domestic systems, a rejection serves to 'kill' the offer. Article 17 of the CISG provides a rule which accords with this idea: 'An offer, even if it is irrevocable, is terminated when a rejection reaches the offeror'.
Article 17 was designed for a simple, limited purpose: the protection of the reasonable expectations of the offeror. Having received a rejection from the offeree,[1] the offeror should be free to take his business elsewhere. Indeed, even if the offeror was originally bound by an irrevocable offer, the offer dies when the rejection is received.
Pace Law School
Institute of International Commercial Law - Last updated April 4, 2005