An offeror signs a written offer to keep an offer open until August, with no consideration. Under the firm-offer rule, what is the maximum period of irrevocability if no time is stated?

• A. No longer than three months, even if August is stated
• B. Three months, until July 15
• C. Six months, because August is stated
• D. Three months only if the offeree provides consideration

Answer: (B)

The key idea is the firm-offer rule under the UCC. When a merchant makes a signed, written promise to keep an offer open, that offer cannot be revoked for the time stated—and if no time is stated, it cannot be revoked for more than three months. Importantly, no consideration is needed to secure that three-month irrevocability.

So, with no consideration and no longer time stated, the maximum period is three months from the date the offer was made. The exact end date depends on when the offer was made, but it will be three months later (for example, if the offer went out in mid-April, the irrevocability would run until around mid-July). Longer open periods aren’t enforceable without consideration.