Asked by Simran Nijjar on Jun 18, 2024
Verified
Nadira mails an offer to Cade on March 15. Cade receives the offer on March 16. Nadira mails a revocation of the offer on March 17. Cade mails a letter of acceptance on March 18. Cade receives the revocation on March 19. Nadira receives the letter of acceptance on March 20. Was a contract formed?
A) Yes, on March 16.
B) Yes, on March 18.
C) Yes, on March 20.
D) No, the offer was revoked before acceptance.
Revocation
The act of withdrawing, canceling, or repealing a statement, offer, or privilege, which can pertain to legal contracts, licenses, or wills.
Acceptance
In contract law, the agreement by a party to the terms of an offer, forming a contract.
- Understand the conditions under which offers can be terminated, encompassing revocation and changes in law that affect the offer.
Verified Answer
NN
nurul nadhirahJun 19, 2024
Final Answer :
B
Explanation :
A contract was formed on March 18 when Cade mailed the letter of acceptance. According to the mailbox rule, an acceptance becomes effective when it is dispatched, not when it is received by the offeror. Since Cade mailed his acceptance on March 18, before receiving the revocation on March 19, the acceptance is valid and a contract was formed on March 18.
Learning Objectives
- Understand the conditions under which offers can be terminated, encompassing revocation and changes in law that affect the offer.