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16 Cards in this Set

  • Front
  • Back

What is acceptance

Once an offer is accepted there is an agreement

What must the acceptance be

Acceptance must be positive and unequivocal agreeing to the whole offer and all it's terms

How is an offer accepted

Any form providing its unequivocal and communicated to offeror


Doesn't have to be in the same form

Felthouse v Bindley

The acceptance cannot be by silence: must be a positive act

Carbolic Smoke Ball

There can be acceptance by positive conduct

Yates v Pulleyn

If offer requires a specific manner of acceptance then unless it is made clear that no other method will suffice, the acceptance must be sent in a way which is no less advantageous to the offeror

When does acceptance occur

When communicated to the offer. Can be accepted by conduct, post and electronic communication

Reveille v Anotech International

Sometimes performance will occur in accordance with the terms but without any written acceptance. If offeree performs knowing the terms then it will amount to acceptance

What are the postal rules

Apply to letters of acceptance not to offers or counter offers. If they can't be proven then acceptance exists when the letter is received

Countess of Dunmore

Once acceptance has been sent it can't be overtaken by revocation by faster means although there so persuasive precedent which suggests otherwise

Adam v Lindsell postal rules

Rules only apply if post is usual and expected means of communication



Letter must be properly addressed and stamped



The offeree must be able to prove the letter was posted

Holwell Securities v Hughes

The postal rule can be expressly or impliedly excluded

Getried v Contimar

Postal rules do not apply where a mistake in posting is the fault of the offeree

Household Insurance v Grant

If a letter is lost and never delivered it doesn't effect the validity of the acceptance

Entores v Miles Far East

Postal rules don't apply to instantaneous communication

Brinkibon v Stahag Stahl

Communication takes effect at the time and place it is received subject to sound business practice. Out of hours communication is effective the next business day