An Explanation Of The Postal Rule

989 WordsOct 27, 20154 Pages
(1) The purpose of this essay is to provide an explanation of the postal rule while dealing with acceptance of an offer, as well as evaluating how effective the postal rule is today. The main body of this essay will look at what the postal rule while dealing with acceptance of an offer is, as well as the circumstances surrounding the creation of the postal rule. There will also be an evaluation of the effectiveness of the postal rule today. This will be summarised with a conclusion. In most circumstances, the acceptance speaks only once it is received by the offeror. However, as seen in the case of Adams v Lindsell in 1818, before the rule regarding the communication of acceptance existed, the postal rule creates a problem as to when the acceptance becomes binding. In this particular case the Court of King’s Bench concluded the contract was formed when the letter of acceptance was posted on September 5th (Furmston, 2012, p.70). The decision in Adams v Lindsell did not instantly command uncritical acceptance. In 1880, in Byrne v Van Tienhoven, Lindley J said ‘It may be taken as now settled that, where an offer is made and accepted by letters sent through the post, the contract is completed the moment the letter accepting the offer is posted, even though it never reaches its destination.’ (Furmston, 2012, p.70). The postal rule presents a number of questions within the law; such as can acceptance be recalled before it reaches the offeror? In England, this question has no

More about An Explanation Of The Postal Rule

Open Document