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Question: In the light of modern technology, critically assess the significance today of the postal rule of acceptance to the formation of valid contracts. (Mark 18/25)
(2014, A-level, A2 level Law)
Answer: Before the 18th century, the means of communication was limited. The postal system was used as a way of communication between the offeror and the offeree. It is stated that when the ordinary postal system is used, anticipated or agreed means of accepting, then the contract is formed at the time the letter of acceptance is posted, not when it is received. This was developed in Adams v Lindsell (1818), where there are injustices caused by postal system in the early days. As the rule of offer includes that the offer must be communicated to the offeree, in postal system, the offeree had already made the acceptance at the moment the letter was posted. Even the offeror never received the letter or the letter was delayed, the acceptance is argued that it had already been made. In Household Fire Insurance v Grant (1879), Grant made a written offer to purchase shares, Grant claimed that he was no...(short extract)
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- Subject: Law
- Course: Law
- Level: A-Level
- Year: Not applicable
- Mark: Not available
- Words: 992
- Date submitted: August 02, 2015
- Date written: April, 2014
- References: No
- Document type: Essay*
- Essay ID: 6722
