Postal Rule Flashcards
Adams v Lindsell (1818)
Contract concluded when letter of acceptance was posted.
Household Fire Insurance v Grant (1879)
Irrelevant that the letter never arrived – offer was complete when letter was posted.
When does the Postal Rule NOT apply?
Does not apply where it would lead to absurdity, e.g. posting during a strike or if there were no stamp on it. Not effective where offeror stipulates they require receipt of acceptance first.
Withdrawal by post
Byrne v Van Tienhoven (1888) 5 CPD 344 – Here acceptance occurred despite a delay and withdrawal. The withdrawal of an offer is only effectively in place when it is communicated.
The Brimnes [1975] - Communication withdrawing an offer via telex received within working office hours but not seen. Held that the part did the right thing in sending it during working hours, not their fault the other party did not see it.
