After an offer is made, the next step in the formation of a contract is Acceptance. If an offer is not accepted, all parties go back to the negotiating table.At Hendershot Cowart P.C., our Texas contract attorneys specialize in business agreements and contract disputes, handling thousands of such matters each year. An offer must be accepted to create a valid contract. An offer is a proposal from one party to another intending to create a legal obligation upon acceptance. Yes, generally there must be an offer and acceptance in order for a contract to be formed necessarily "binding" pursuant to China Contract Law. An offer is a clear intention to enter into a legally binding agreement. It marks the first step in creating that agreement.