...1 Postal rule is the rule that a contractual offer may be accepted by post and will be deemed accepted at the time the letter is posted. However, some old English cases say that this rule will not apply where one is using almost instantaneous forms of communication. For example, at the time fax and telex were contemplated, but this all was before email. Acceptance by email of a contractual offer will occur when the message is received as that is when it is communicated. However, the competing argument is that email is often delayed between servers, so the argument occur, if email is not almost instantaneous, the rule should apply as long as it was expected that email was a method by which acceptance could be communicated. Acceptance by email of a contractual offer will occur only where and when the message is sent from and when it is communicated. The Singapore High Court in a case of Chwee Kin Keong v Digilandmall.com Pte Ltd gave some thought to this argument in 2004 and concluded that, at least in Singapore, the postal acceptance rule should not apply. Legislation that stated by Australian federal about electronic transactions which sets out some rules about when electronic messages are deemed, have been sent and received, but the better view is, there are no intention to apply or deny the postal rule but would rather simplify and clarify the time and place of recipient for certain communications. However, Federal Court judge on 20 May 2009 in a case of Olivaylle Pty...
Words: 410 - Pages: 2
...to write an assignment on the 'Rationale & relevance of the postal rule of acceptance in the 21st century' by analyzing the possibility of acceptance by post according to the current practice. (You can supply your reasoning for the rule, cite the relevant case laws, search for articles written on this & conclude with your opinion as to whether it need to be abolished or not & why?) CONTENT | | Pages | I | Questions | 2 | II | Content | 3 | III | Introduction | 4-5 | IV | Traditional View | 5-6 | V | Modern View | 6-8 | VI | Conclusion | 8-9 | VII | Bibliography | 10 | Introduction of Postal Rule To form a contract, it usually requires offer and acceptance. Acceptance is an expression by words or conduct of assent to the terms of the offer. It shall be clear, unequivocal and unconditional as prescribed by the offeror. It is a moment when contract exist (that there is consensus ad idem). The general rule of acceptance is been stated in the case of Entores Ltd v Miles Far East Corporation, Lord Denning claims that an acceptance does not usually valid until it is reached to the knowledge of the offeror. This principal also applies to others modes of communications which are (a) Instantaneous means of communication, (b) Postal rule and (c) Others mode of communication. 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...
Words: 1745 - Pages: 7
...The postal rule is a historical ruling, which came about in a time where the main and quickest form of business communication was by post. Through the decades other forms of communication have been invented which are now much speedier – telex, phone , fax and now instant messaging and email. Central requisites to the forming of a contract are those of offer and acceptance. The general rule in law states that acceptance is communicated, and has been received by the offeror . The ruling applies where the means of communication are deemed instantaneous Entores Ltd v Miles Far East Corpn (1955). The exception to this rule is the Postal Rule. Where post is the requested form of communication between parties or where it is an appropriate and accepted means of communication between parties, acceptance is complete as soon as the letter is posted. Even if the letter was mislaid or lost and does not reach the offeror. It is a requirement that the letter of acceptance has been properly posted London and Northern Bank (1900). It is found telegrams also fall under the postal rule. An issue that rises from the Postal rule is that there is a period of time, where person(s) are in the dark as to whether a contract is in existence or not. Courts have decided that the offeror assumes all the risk, as the offer is still open during the time the letter of acceptance is in the post Adams v Lindsell(1818). The decision was based on the fact that an acceptance of an offer could go on ad...
Words: 449 - Pages: 2
...Cork Online Law Review 2007 13 O’Brien, Analysis of the Postal Rule ANALYSIS OF THE POSTAL RULE The Postal Rule Revisited Ronan O’Brien In The Law of Contract,1 Treitel refers to the postal rule as being an arbitrary (based on random choice or personal whim)2 rule. As there are differing views on where acceptance by post should be deemed complete, serious problems can arise for the parties to the contract when a breakdown of postal communication occurs. Three possible solutions to this problem exist. The acceptance is complete either when the letter of acceptance is placed in the letterbox; when it is delivered to the offeror’s address; or when the letter of acceptance is brought to the attention of the offeror.3 In Adams v. Lindsell4 a solution was laid down. It was held was that the contract had been accepted when the letter was placed in the letterbox. This is taken to be the understood postal rule. More modern forms of communication such as e–mail, telephones with answering machines and faxes do not follow this rule. The ruling in Adams v. Lindsell is often seen as one of convenience.5 Without a definite ruling on postal agreement, no contract could be completed by post, as “[t]he [offerees] ought not to be bound till after they had received the notification that the [offerors] had received their answer … and so it might go on ad infinitum.”6 Although the two latter possible solutions would seem more representative of the idea that acceptance must be communicated, the...
Words: 1793 - Pages: 8
...1(2007) The Postal Acceptance Rule in the Digital Age∗ Dr. Marwan Al Ibrahim Asst. Professor in commercial and Company law, Amman Arab University for graduate studies – Jordan Dr.Ala’eldin Ababneh Assistant Professor in Private Law at Amman Arab University for Graduate Studies-Jordan. Mr. Hisham Tahat PHD student, University of Aberdeen Abstract: This article examines the application of the postal acceptance rule to email acceptances. Different views have been argued against the application of traditional rule like the postal acceptance rule, which was established in 1818 as a legal norm in contract formation to modern communications like the email. The paper presents the arguments and rationale behind the application of this rule and contends its applicability to the modern communication via e-mail. The paper posits that email is not an instantaneous method of communication, but can be viewed as a digital version of the normal post and thus the postal acceptance rule should apply to this kind of contracting. Keywords: E-commerce, Email, Contract law, Conclusion of Contract, Postal Acceptance Rule. 1. Introduction The conclusion of distance contracts has been one of the controversial issues in the law of contract formation. It raises some question marks, especially with regard to the type of rules that should govern the timing of contract formation. More specifically, a strong debate has been emerged recently as to whether the postal acceptance rule may apply in...
Words: 5565 - Pages: 23
...SHOULD THE POSTAL RULE BE DISCARDED? The “Postal Rule”, commonly known as the “Mailbox Rule” is a principle of contract law. This rule is different from the others, though, as it forms an exception to the general principles of the communication of acceptance. It originated in the English case of Adams v. Lindsell, in the year 1818. The postal rule in England states that a contractual offer, when sent by post, is considered accepted when it is sent-as opposed to when it is received by the receiving party. In India, though, the specifications of this rule are different. This rule has recently been at the heart of a lot of controversy, as it is believed that its applicability in today’s scenario is questionable and that the rule is archaic in nature. Writing this paper is of importance is because it is essential to understand whether such an exception is still applicable in a scenario wherein the technological advancements complicate our communication systems much more than the law-makers of those times would have deemed possible. Furthermore, this paper is written in the light of a comparative analysis between the contract laws of England and India. England, like India, is a common law country. Since India borrowed a large part of its systems from Britain, the foundations of legal functions in both the nations are very similar, making it is interesting to analyze how and why certain differences came up. In this essay, we first understand the basics of the rule in England, as...
Words: 497 - Pages: 2
...The postal rule (of acceptance) is the fifth and last of the relevant sub-rules affecting communication of acceptance. It can be summarized as, “If, and only if, the postal service is an acceptable method of communication between offeror and offeree, a letter of acceptance takes effect immediately upon posting, rather than upon receipt, and acceptance is therefore taken to have been communicated (to the offeror) at the time of posting the letter.” The rule itself was established in the 19th Century when the only communication between mutable parties was to deal wit each other via mail. There was none of the types of communication that we have today. Thus contracts were created face-to-face or by correspondence. The rationale for the creation of the postal law came form the case Adams v Lindsell which involved the sale of wool between two parties, the defendant wrote to the plaintiff about the selling of some fleeces and required an answer via the post. The response letter was misdirected and not received till three days later and the plaintiff posted there letter on the same day but was not received until four days latter. On the day before it arrived the defendants not having received a reply by the date they expected sold all of the wool. The defendant agued that there could not be a contract until the letter was received. The judgment of this was that if contracts were not created until the acceptance letter was received then...
Words: 2068 - Pages: 9
...Postal Rule Definition: 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. The postal rule is a concept of contract law that is commonly referred to as the mailbox rule. It was formed at a time when contracting parties did much of their bargaining from a distance. Bargaining at a distance, typically through the mail, created a problem, because the parties could not know at the same time whether they had formed a contract. As a result, a general rule dictating the time of an effective acceptance was necessary. Thus, the postal rule was created and stands for the proposition that acceptance is effective on dispatch. The postal rule is an exception to the general rule, which dictates that acceptance is effective on receipt. The rationale behind the postal rule is that it encourages contracting by parties at a distance by making the person in the position of giving an acceptance just as secure as if the contract was being made face to face. From a policy standpoint, it also fosters the creation of contracts at the earliest possible moment. The postal rule is easily understood by describing how it operates. For example, a person — known as an offeror — sends an offer to a second person — known as an offeree — via mail. According to the rules of contract formation, the offeror can revoke the offer at any time before acceptance; this makes the offeror the "master of the bargain." At a time...
Words: 411 - Pages: 2
...BSAD 341: BUSINESS LAW Semester: Fall 2011 Assignment # 2 - Case Study - Contract Law The Postal rule is an exception to the general rule of contract law in regard to the acceptance, which states that “acceptance in not effective until communicated to and received by the offeror”. The postal rule states that, by contrast, that acceptance takes effect when a letter is posted. The rationale given for the rule is that both parties nominates the post office as implied agent and therefore receipt of the acceptance by the post office is regarded as that of the offeree. The main drawback of the postal rule is that the risk of the acceptance being delivered late or lost in the post is placed upon the offeror. Thus acceptance is effective even when the letter is lost in the post. However, if the letter is lost or delayed in the post because the offeree has addressed it incorrectly the “postal rule” will not apply. To minimize the risk, the offeror can require actual receipt as a condition before being legally bound. The postal rule applies only to acceptance. Revocation is ineffective until communicated to the offeree, hence revocation by post is ineffective until the letter is actually received by the offeree. The implication of this is that it is possible for a letter of acceptance to be posted after a letter of revocation of the offer has been posted but before it is delivered, and acceptance will be complete at the time that the letter of acceptance was posted – which would...
Words: 763 - Pages: 4
...In this world, it is almost impossible if people live without rule. Rules are made to stop anarchy and to provide order. People need to be accountable for their actions so rules are needed. However in reality, some people still do not follow the rules or even they don’t care about the rules at all. This action of breaking rules or laws is called crime. Nowadays, the reported cases of crime all over the world are alarmingly increasing. It is believed that the main reason behind this is the rise in population which will lead to unemployment. The crime can be reduced with the involvement of the government to the society. Firstly, I would like to state that the population of a country will be the first and foremost reason behind this increase in crime. Take Indonesia for instance, it is a developing country and in the prevailing scenario its population is sharply increasing, which creates a significant number of problems. With respects to that, unemployment is the major one, because of that, educated and sophisticated people survive without jobs and result in indulge in the crime to bear their expenses. To combat this grave problem, governments can arrange educational classes and programs to increase public awareness about the adverse effects of the increase in population. If the increase rate of population decrease, there will be less unemployment which will of course decrease the number of crimes. Eventually, after analyzing all the views, I would like to conclude that...
Words: 293 - Pages: 2
... found the history of St. Francis to be interesting and inspiring. His resolve to glorify one master, God, was remarkable. The new order rules of St. Francis were concise and strict. His rules seem to be dependent on one another. Obedience to God was carried out in his daily work, consisting of prayer and worship, which are two more new order rules. Prayer was so important that St. Francis and his followers would bind themselves with rope while they slept so not to disturb others in prayer. I can’t imagine doing this or taking a vow of poverty. The rule of poverty is extreme to me. He wore rags and owned nothing. He underwent a severe change from that of a party person to one that follows such strict and extreme rules. He had a love for only God, which is shown in his chastity rule. He would not let himself or his followers be tempted by the opposite sex. All the rules put forth by St. Francis seem unimaginable to me. However, the sacrifices made by him caused others to take notice and listen. A positive aspect of the new order rules is no responsibility of possessions. Owning items itself is a responsibility. The rule of poverty would remove this responsibility allowing focus on worship and prayer. Today, we put too much value on material things. The new order rules value only God. Simplicity of daily life would be another positive aspect. No other obligations or thoughts except obedience, prayer, and worship...
Words: 520 - Pages: 3
...The rules proposed by Robert B . Reich are all important in making one an invaluable employee able to sustain the organizational success over a prolonged time period in the age when change is sudden and quick . The company has to be able to manage change and at the same time provide continuity to its actions , keep its identity in all the time of its existence . To achieve this , the management and employees have to meet the needs of today 's rapidly changing society For the company as a whole perhaps the ninth rule is the most important : Just do it ' Indeed , many companies are losing their share of the market because they prefer to stay where they are and enjoy what they have done in the past , rather than grasp the moment and make changes that will update their products and services . Thus , Sony Corporation is in many ways losing ground to its previously more modest competitors such as Samsung because they are more proactive and are able to seize the day and put innovative stuff in the market People are perhaps the most important factor of business because in the long run it is people that generate all the benefits . That is why the first and second rules are so useful in creating an efficient workforce I they give supervisors a chance to look at the familiar things from a new perspective . Sometimes it helps to have someone fresh to assess what has been going for years without change simply because no one gave it a thought . At the same time the legacy of the...
Words: 499 - Pages: 2
...The Art of Love, written by Ovid, was a set of three books, the first being a guide or rule book on how to “pick-up” women and the second book a rule book on how to keep the woman you have or “caught” satisfied and interested in you. The third and final book that he wrote was written for women on what to do to catch and keep a man, since he felt it was only fair for women to also be “armed” when it comes to picking- up men. The rules that Ovid describes in The Art of Love are similar to the rules that most people follow in the “cruising and catching” game because they are effective and produce results, although not all the rules described in Ovid’s book are still used, a great majority of them are and have not changed after so many years. My overall perception for Ovid’s poem would be that of surprise. I would describe it as surprising because the “moves” that were implemented thousands of years ago are still very accurate and being used today. What Ovid’s poem tells me is that the “game” between men and women has not changed even though men and women have. Although most of the rules that Ovid writes about are now common sense in the dating world, such as choosing the best place to meet women just as fishermen know the best places to cast their nets to catch fish, and are followed by everyone. Ovid’s poem must have been written by experiences that he had and by the experiences that yielded the best results. In order for him to write a poem that describes what goes on today...
Words: 760 - Pages: 4
...on your blog. 2. Label your tolerance level for abusive comments. 3. Consider eliminating anonymous comments. 4. Don't feed the trolls. 5. Take the conversation offline, and talk directly, or find an intermediary who can do so. 6. If you know someone who is behaving badly, tell them so. 7. Don't say anything online that you wouldn't say in person. After reading the seven rules I have to agree with them and they should be followed because they are very down to earth things that all people can follow and they clean up messes if people follow them. If you follow step 1 you will stop all the baiting that happens in most online forums. Step two informs your viewers of potentially subjects that may arise to keep issues that might start from even occurring and this helps keep younger views away from said sites. I believe that rule three is the best one of them all because people typically say things they would not if they believe no one knows who they are that is a very normal human instinct. Step four keeps your users from leading on conversations that normally would not be happening. Rules five and seven are very similar in the mindset that you are talk straight to the person and not a group which gives you a much different aspect with the other user that really changes how a conversation is talked about. These steps are very compatible with Freedom of speech because it doesn’t stop you from posting it just giving you an outline of thing to not doing while posting...
Words: 322 - Pages: 2
... a. Consult the AICPA Code of Professional Conduct. What components might guide a CPA working in a corporate environment? The AICPA established a Code of Professional Conduct which guides a CPA working in a corporate environment. The AICPA Code of Professional Conduct includes two sections: principles of professional conduct and rules of conduct. The principles of professional conduct provide the framework for the rules of conduct. The framework for the Code of Professional Conduct includes six fundamental ethical principles. The first two principles mention about a CPA’s responsibilities to exercise professional and moral judgment in a manner that serves the public interest. The third and fourth principles require CPA maintain integrity and objectivity. According to the fifth principle, the CPA needs to perform his or her professional responsibilities with diligence and competence. Finally, the last principle requires that the CPA should observe the principles of code of professional conduct in determining the scope and nature of services. Rules of conduct are more specifically enforceable than principles of professional conduct. The rules are grouped in five categories: Section 100 - Independence, Integrity and Objectivity Section 200 - General Standards Accounting Principles Section 300 - Responsibilities to Clients Section 400 - Responsibilities to Colleagues Section 500 - Other Responsibilities and Practices b. Refer to the IMA Statement of Ethical Professional...
Words: 1309 - Pages: 6
