PA Bar Practice Questions - Pennsylvania Bar Examination Exam

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A buyer and seller are both merchants. The buyer sends a purchase order, and the seller responds with an acknowledgment that adds a clause requiring arbitration of disputes. Neither form is expressly conditional. Under UCC § 2-207, is the arbitration clause part of the contract?

Yes, automatically, because the seller's form controls Yes, because any response operates as a counteroffer that the buyer accepted No, because additional terms are never included between merchants It becomes part of the contract unless it materially alters the agreement, the offer limited acceptance to its terms, or timely objection is made

Correct Answer:

It becomes part of the contract unless it materially alters the agreement, the offer limited acceptance to its terms, or timely objection is made

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