“What can be more palpably absurd than the prospect held out of locomotives travelling twice as fast as stagecoaches? Just as well, people could fire themselves with a firework.”
In the early 19th century people believed the technological progress has arrived its maximum, but their predictions were wrong. Locomotives became high-speed trains and the stagecoaches disappeared from the post system. The post, which used to take several weeks, arrives after a few days and modern communication systems like fax, telephone and email were established. Yet the contract laws of this times and a rule such as the postal rule are still legally binding and therefore the modern systems and especially email have to be integrated into the legal system.
The purpose of this term paper is to critically discuss the arguments for and against the question, does the postal rule apply to email?
In the first chapter the general formation of a contract is noted as well as the history and application of the postal rule are explained. Accordingly in the second chapter the process of communication by email is described and the different arguments for and against the main question are critically discussed. Finally the conclusion of the term paper is collectively assessed.
Because there exist modern communication systems like fax, telephone and email, the connection between the postal rule and these modern communication systems is frequently discussed in many scientific publications. The textbooks from Mindy Chen-Wishart (2012), Contract Law, and Richard Stone (2008), The modern Law of Contract, give a good overview of the topic. For the discussion i.a. the articles from Valerie Watnick (2004), The Electronic Formation of Contracts and the Common Law “Mailbox Rule”, and Sharon Christensen (2001), Formation of Contracts by Email – Is it Just the Same as the Post?, are significant.
Table of Contents
1. Introduction
2. Formation of a Contract
2.1 General Rule
2.2 Postal Rule
3. Email
3.1 Communications by Email
3.2 Discussion
4. Conclusion
Research Objectives and Themes
This paper explores the legal applicability of the "postal rule"—an established common law principle—to modern email communication, investigating whether contract formation via email should be governed by this rule or by the general rule of communication.
- The historical evolution and legal logic of the postal rule.
- Technical distinctions between internet-based email and Electronic Data Interchange (EDI).
- Critical analysis of arguments regarding instantaneous vs. non-instantaneous communication.
- Examination of international commercial law perspectives, including UNCITRAL and UCITA.
- Risk allocation and economic efficiency in digital contract formation.
Excerpt from the Book
3.2 Discussion
There are several reasons why the postal rule should apply and why the postal rule should not apply to email communication via the internet.
The first reason is the type of communication. Email via internet is a non-instantaneous type of communication as shown above and can be described as the digital equivalent of the postal system. Except the speed of communication is similar to the instantaneous communication systems like telex.
In the cases involving telex the courts came to the conclusion that telex is not really instantaneous, but “should be treated as if it were an instantaneous communication between principles, like a telephone conversation”. The same conclusion could also be applied to email, even if the technologies are not the same.
The second reason is the determination of communicating. A great number of commentators raise the question, if the general rule is applied to email, at which moment is the acceptance received? At the moment at which the email is received by the offeror`s ISP, the email is downloaded to the computer or the email is finally read? There are numerous moments and this leads to uncertainty and confusion for both parties. Compared with that the moment of sending the acceptance is easily to determine, at the moment at which the offeree pushes the send button. So the easiest factual determination is made by applying the postal rule to email.
Summary of Chapters
1. Introduction: This chapter introduces the historical shift in communication technologies and sets the research goal of determining whether the traditional postal rule remains legally suitable for email.
2. Formation of a Contract: This section defines the general rule of contract formation and the specific historical context and legal application of the postal rule as an exception to that requirement.
3. Email: This chapter differentiates between various email transmission technologies and critically debates the legal arguments for and against applying the postal rule to online correspondence.
4. Conclusion: The author summarizes the ongoing debate and suggests that a flexible approach is necessary, favoring the general rule while acknowledging the need for explicit party agreements.
Keywords
Postal rule, Email, Contract formation, Common law, General rule, Instantaneous communication, EDI, Internet, UNCITRAL, UCITA, Acceptance, Risk allocation, Digital law, Commercial law, Legal theory.
Frequently Asked Questions
What is the central focus of this paper?
The paper critically examines the applicability of the common law "postal rule" to electronic mail in the context of contract formation.
What are the primary themes discussed?
The themes include the definition of contract formation, the distinction between instantaneous and non-instantaneous communication, and the balance between traditional legal precedents and modern technology.
What is the research question addressed?
The study explores whether the postal rule, which allows for acceptance upon dispatch, should be applied to email or if the general rule (acceptance upon receipt) is more appropriate.
Which research methodology is employed?
The author uses a qualitative legal analysis, reviewing established case law, academic commentary, and international commercial frameworks like the UNCITRAL and UCITA.
What is covered in the main body?
The body explains the mechanics of the postal rule, defines technical aspects of email communication, and evaluates six key arguments regarding the appropriateness of applying the rule to digital messages.
Which keywords define the work?
Key terms include postal rule, contract formation, digital communication, common law, and electronic acceptance.
How does the author define the difference between internet email and EDI?
The author defines EDI as a system with a direct link between parties resulting in instantaneous communication, whereas standard internet email is viewed as a non-instantaneous process similar to the traditional postal system.
What is the author's final recommendation?
The author suggests that the general rule of acceptance should be preferred, but emphasizes that parties should clarify their communication rules beforehand to avoid legal ambiguity.
- Citar trabajo
- Anonym (Autor), 2015, Contract Law. Does the postal rule apply to email?, Múnich, GRIN Verlag, https://www.grin.com/document/302312