Section I Introduction

After negotiations, both buyers and sellers agree with each other the terms and conditions they discussed. The buyer will write a letter to the seller to express his acceptance and readiness to place and order, thus the transaction is concluded.

1．Confirmation of Acceptance

Acceptance or confirmation is in fact an unreserved assent of buyers or sellers who, after mutual negotiations, are willing to enter into a contract in accordance with the terms and conditions agreed upon. A deal is concluded when a seller's firm offer is accepted by buyers. In cases where buyers have made counter-offers, or taken the initiative by placing a firm order or a firm bid with sellers, containing all necessary terms and conditions, sellers'acceptance concludes the deal.

Generally, it is only after the exchange of a number of letters, cables or telexes or faxes that the two parties come entirely to terms. In such a case, buyers, when finally placing a formal order, would confirm the terms and conditions, agreed upon for sellers' acceptance.

2．Conditions of Acceptance

An effective acceptance must have the following qualities or prerequisites;

(1)Made by Offerees

An acceptance is effective only when the offer is between the offeror (seller) and the offeree (buyer). The acceptance of the offer by any third party is not binding upon the offeror.

(2)Made on Any Condition

An effective acceptance is based upon the buyer's complete acceptance of the firm offer, or the seller's confirmation of the buyer's acceptance of a non-firm offer, or the seller's acceptance of the buyer's counter-offer or the buyer's firm order or firm bid with the seller.

(3)Made within Validity of Offers

An acceptance is effective only when the acceptance is made within the validity of the offer or within a reasonable time period. After an acceptance and a confirmation, a contract or a sales confirmation is made generally by the seller and signed by both parties.

3．Orders

When buyers and sellers agree with each other the terms and conditions they discussed, the buyer will write a letter to the seller to express his acceptance to place an order, thus the transaction is concluded. An order means an oral or written buying promise. Thus, an order may be given by letter, telegram or telex, or orally at a meeting.

(1)Identification of an Order

Since an order may be given by letter or memorandum, by telex or telegraphic message, or orally at a meeting, usually there is no correspondence at all; instead, buyers use printed order forms and sellers use printed acknowledgements.

(2)Content of an Order

As to the content of an order, it should cover the details of the buyer and seller as well as the business, such as payment terms, shipping date and so on. Generally speaking, an order should contain three main points:

● names and addresses of both parties, even their telex number;

● details of business including price term, payment, shipment, delivery, port of delivery and destination, date of order etc;

● details of purchased goods such as article numbers, quantity, package, unit price, amount.

(3)The Obligations of the Buyer and the Seller

➢The Buyer's Obligations

When a binding agreement comes into force, the buyer is required by law to:

● accept the goods supplied, provided they comply with the terms of the order;

● pay for them according to the terms agreed upon;

● check the goods as soon as possible ( failure to give prompt notice of faults to the seller will be taken as acceptance of the goods).

➢The Seller's Obligations

As a seller, it is a pleasure to receive an order. If the seller agrees to the specifications and can fulfill all the terms and conditions the buyer requested, he should send a letter of confirmation to the buyer as soon as possible. The letter should:

● express your thanks for the order and make an acknowledgement about the order;

● add a favorable comment on the goods ordered;

● give your reference number;

● restate the contents of the order;

● additional information to the other products likely to be interesting to the buyer;

● assure the buyer of your prompt and careful execution of the order and express your desire for future orders;

● enclose your Sales Confirmation in duplicate for counter-signature.

4．Requirements for Order Writing

All the orders, no matter they are in a letter form, a printed order form, or a fax message or any other way, must be written specifically, clearly and completely. They should state definitely the name of the commodity, the Art Nos. or the type and all the detailed information about the commodity. Any ambiguous or unclear words in the order may cause a misunderstanding and waste of time. So accuracy is important as well.

The following details are the reference to write an order letter or make an order list.

(1)Thank the seller for his or her quotation and confirm the offer you have received.

(2)Express that you are preparing to place an order with the seller.

(3) Require an accurate and full description of goods, such as:

● the name of the commodity, specification, Art Nos., color and size, etc;

● quantity;

● prices, including unit price and total value;

● packing, detailed instruction on packing and shipping marks;

● date and method of shipping;

● terms of payment.

(4)The buyer's name and the seller's name should be clearly written in the order.

(5)An order number must be included.

(6)Express your desire for future business.