An offeror is a person or entity that makes a proposal to enter into a contract with another party, known as the offeree. The offeror outlines the terms and conditions of the agreement, which can include price, quantity, and delivery details. This initial proposal is essential in the formation of a legally binding contract, as it sets the stage for negotiation and acceptance. Once the offeree accepts the offer, a contract is formed, and both parties are obligated to fulfill their respective duties. The role of the offeror is crucial in various contexts, including business transactions, real estate deals, and service agreements, ensuring clarity and mutual understanding in the agreement process.