This case established “the postal rule” in English contract law.
Facts
- The offeror sent an offer by post, which was misdirected
- The offeree replied in good time after receiving the offer
- The offeror ‘received the reply too late’ and said a contract was not made
Issue
- When is a postal contract made
Decision
- At the time of posting
Reasoning
- As an exception to the general rule of acceptance in contracts, contracts accepted by post are formed when the letter of acceptance is posted
