Relevance of the postal rule of acceptance
Where post (or possibly other non-instantaneous methods of acceptance) is used a special rule applies (the postal rule): provided post is contemplated by the parties (expressly or by implication) acceptance occurs when and where the letter is posted. Postal rule provides assurance for acceptor, he knows there is a binding contract as soon as he posts letter of acceptance offeror can create certainty for himself by insists on he must receive acceptance before it is binding, he can get rid of the rule but if he chooses not to then he is subject to limitations of postal communication. Of particular uncertainty is whether the “postal acceptance rule” established in the 1818 case adams v lindsell 1 (which held that, when anoffer was accepted by post, the contract was deemed. The postal rule states that where a letter is properly addressed and stamped the acceptance takes place when the letter is placed in the post box: adams v lindsell (1818) 106 er 250 case summary it is relatively easy for the parties to exclude the postal rule.
Postal rule of acceptance four main justifications of postal acceptance rule i ‘ad infinitum’ justification postal rule had existed almost for 200 years and the post had been creating problems for people which the courts are obliged to solve them logically. No revocation is allowed 3 30 postal rule according to section 4(2)(b) of the contracts act 1950 (malaysia), acceptance by post takes effect when the offeree posts the letter and not when the letter reaches the offeror. The acceptance rule is the rule which is used for the communication purpose and it is used in unilateral contracts which makes an offer and will be accepted by some act this rule also determines whether the agreement is from both sides or not the offer may only be accepted if the offerer is the person for whom the offer is made.
Postal rule 3212 words | 13 pages detail of postal rule the brief definition of postal rule is a rule of contract law that makes an exception to the general rule that an acceptance is only created when communicated directly to the offeror (duhaimeorg nd. Held: • postal rule did not apply: post was suitable method of acceptance but language of offer implied d required receipt of written acceptance • lawton lj: ' and is inconsistent with the theory that acceptance can be constituted by the act of posting' • if postal rule does not apply: acceptance only effective on communication. For those of you who, like me, fondly remember their contract law lectures on the postal acceptance rule, it’s time to update our notes the law has caught up with the digital age. For this purpose, its uses the offer and acceptance principle as its basis, paying close regard to one of its key and oft-discussed doctrines: the postal rule the offer and acceptance principle one of the most fundamental concepts of the law of contract is that of offer and acceptance. The posting rule (or mailbox rule in the united states, also known as the postal rule or deposited acceptance rule) is an exception to the general rule of contract law in common law countries that acceptance of an offer takes place when communicated.
Offer and acceptance, postal rule adams v lindsell (1818) 1 b & ald 681 , is an english contract case regarded as the first case towards the establishment of the postal rule for acceptance of an offer. The postal rule applied, meaning that it was irrelevant that the letter of acceptance was lost in the post because a binding contract is formed once the letter was actually posted. That default rule critics do not undermine the relevance of the argument herein is that this article (a) involves a theoretical comparison of one particular and famously important default rule, the ―mailbox‖ rule, and its counterpart, the receipt rule, as opposed to a macro-analysis of default rule. The general rule is that a postal acceptance takes effect when the letter of acceptance is posted 5 (even if the letter may be lost, delayed or destroyed 6 . The rules of offer and acceptance and in particular the postal rule are old because they are products of the 19 th century despite that fact, most of the rules are still relevant to the modern commercial world, and perhaps the only rule that needs reform is the postal rule.
Relevance of the postal rule of acceptance
20 the explanation of postal rule of acceptance offer and acceptance is the most fundamental part in contract law which determined the existence and operation of contract among parties postal rules were created as an exception to the general offer and acceptance rules. The legal definition of postal rule is a rule of contract law that makes an exception to the general rule that an acceptance is only created when communicated directly to the offeror. However, the postal rule is an exception towards general rule for the acceptance the traditional postal rule stated that the acceptance is valid once it is posted rather than it reaches the knowledge of the offeror. The postal rule had stated â€˜where the circumstances are such that it must have been within the contemplation of the parties that, according to the ordinary usage of mandkind the post might be used as a means of communicating the acceptance of an offer, the acceptance is complete as it is postedâ€™ the postal acceptance rule was.
- Recognize the elements of contract acceptance: an offer, acceptance, consideration (money or services), remember that acceptance can be written or through a purchase order recall the mailbox rule.
- The postal rule in contract law 15 feb, 2013 | general this rule was first established in the case of the court of adams v lindsell ( 1 bthe court had to decide the exact moment of contract formation by postit was found that parties were not sure when acceptance was communicated by post.
- The postal rule  where the acceptance is expected to be sent by post, the acceptance is effective as soon as it is posted this was decided in adams v lindsell  and henthorn v fraser  , and is an exception to the general rule.
Since the inception of the postal acceptance rule in 1818, numerous alternative methods of communication have been developed, including the telephone, telex, telegraph, facsimile and e-mail. In short, the postal acceptance rule deems a contract to be complete and binding at the time the acceptance is posted, rather than at the time the acceptance is actually received the rationale for the rule is thus : the nature of postal communication denotes a separation of parties by time and distance. The postal acceptance rule, also called the mailbox rule, is a contract law regarding the mailing of acceptance or offer letters through the postal system the postal acceptance rule states that a contract is made when a person mails a letter from the person's mailbox or a general mailing centre. Offer and acceptance analysis is a traditional approach in contract law used to determine whether an agreement exists between two parties an offer is an indication by one person to another of their willingness to contract on certain terms without further negotiations.