agency
meeting of the minds
Meeting of the minds, also called mutual assent, means that the parties to a contract share the same understanding of its essential terms and agree to them. It is shown through a valid offer and an unconditional acceptance that is communicated to the offeror. If the acceptance changes any term, it is a counteroffer, and there is no meeting of the minds yet.
- Exam tip
- A changed acceptance is not an acceptance. Exams test that a counteroffer rejects the original offer and must itself be accepted to form a contract.
- Example
- A buyer offers $300,000 and the seller signs the offer without changes and notifies the buyer. There is a meeting of the minds and a binding contract.
Related terms & state variants
Sources
Source verification pending. Confirm current requirements with your state regulator.
Last verified: 2026-10-23