What did the court decide in Entores Ltd v miles Far East Corp?

Held: In Entores Ltd v Miles Far East Corp, the Court of Appeal found that there was a distinction between the instantaneous and non-instantaneous forms of communication. The Court found that the postal rule only applied to non-instantaneous form of communication.

Does the postal rule apply to email UK?

The logic of the postal rule is that the parties have elected to use a common agent, the Royal Mail, to conduct their contractual communications. Such a claim cannot plausibly be made by parties using, for example, email to communicate with each other because they may well be using different internet service providers.

What is non-instantaneous communication?

Non-instantaneous communication is longer communication because it takes time to send and. receive by both parties like posting letter. Hence, the postal rule is applied to the non- instantaneous communication.

When acceptance of an offer is made by email when is it deemed to have been communicated?

5.3 Deemed receipt In contractual negotiations, acceptance would not occur until the offeror/recipient had actually read the email. This is an example of legislation requiring actual communication, and in effect upholding the general communication rule.

What is postal rule in law?

Quick Summary of Postal Rule 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.

What test is used to determine the formation of an agreement?

The court uses the Objective test (Smith v Hughes) to determine whether the parties have an agreement or valid offer, therefore the ‘intention” referred to in the definition is objectively judged by the courts.

What are the exceptions to the postal rule?

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.

Is postal rule still relevant today?

Conclusion. In summation, it seems the postal rule is not completely outdated; it can still apply to modern non-instantaneous methods of communication such as email.

Does email count as in writing legally?

This is a question of concern to many who frequently deal with contracts or imagine that they soon will be, and the answer to this question is yes, emails will generally be considered by courts to be legally binding, and although there may be some exceptions, to play it safe, one should always assume that a contract …

What is promissory estoppel?

Within contract law, promissory estoppel refers to the doctrine that a party may recover on the basis of a promise made when the party’s reliance on that promise was reasonable, and the party attempting to recover detrimentally relied on the promise.

Do emails count as written notice?

Generally, emailing does not constitute valid notice except where 1) the recipient acknowledges receipt and that he/she read it; 2) the parties have previously agreed to notice by email; and 3) state law provides email notice as equivalent to…

Does the postal rule still apply?

Can you exclude the postal rule?

Actual communication was required. Postal rule does NOT apply where the express terms of the offer ‘exclude the postal rule’, i.e. if the offer specifies that the acceptance must reach the offeror.

Do text messages hold up in court as a legally binding document?

Should you use a text message as a legal document? This ruling states that as long as text messages satisfy the necessary conditions required of a bilateral contract in offer, consideration, capacity, and acceptance, they can be considered legally enforceable.

Can a text message be used in court?

Text messaging leaves an electronic record of dialogue that can be entered as evidence in court. Like other forms of written evidence, text messages must be authenticated in order to be admitted (see this article on admissibility by Steve Good).

What are the three requirements for promissory estoppel?

The three main components needed for promissory estoppel are the promisor, the promisee, and the promise that wasn’t honored. The injustice happens when the promisee suffers a loss when he relied on the promise, and the promise wasn’t kept.

What was the outcome of Entores V miles Far East Corporation?

Entores Ltd v Miles Far East Corporation [1955] EWCA Civ 3 is a landmark English Court of Appeal decision in contract law on the moment of acceptance of a contract over telex. Denning LJ found that the regular postal rule did not apply for instantaneous means of communications such as a telex.

What was the Entores case about?

Entores was a London -based trading company that sent an offer by telex for the purchase of copper cathodes from a company based in Amsterdam. The Dutch company sent an acceptance by telex. The contract was not fulfilled and so Entores attempted to sue the owner of the Dutch company for damages.

Who were the plaintiffs and the defendants in the cathodes v Miles case?

The Plaintiffs (Entores) were an English Company and the Defendants (Miles Far East Co) were an American corporation with agents in various locations, including Amsterdam. An offer and acceptance in relation to a contract for Japanese cathodes was made between the companies in London and Amsterdam.

Who are the complainants Entores?

The complainants, Entores, were a company that was based in London. They had sent an offer to purchase 100 tons of copper cathodes to the defendants, Miles Far East Corp. Their company was based in Amsterdam and this offer was communicated by Telex, a form of instantaneous communication.