I cant believe this still gets brought up no matter how many years past. Its simply the other team that is being gracious for offering their alliance spot to you. Therefore one would say:
"Team XXXX accepts your gracious offer."
or
"Thank you for the gracious offer however team XXXX declines."
So once and for all pick one and use it, and lets make SURE this thread isn't repeated again next year.
You know what actually i'd like to see FIRST members to pick up a thesaursus and look up gracious, or go to
http://thesaurus.reference.com/browse/gracious and pick a different word and use it in Atlanta.
See you all there, and remember ill be listening!!!