When is an acceptance effective under the mailbox rule?

When is an acceptance effective under the mailbox rule?

• A. When mailed.
• B. When received.
• C. When the offer states acceptance must be received.
• D. When performance is completed.

Answer: (A)

Acceptance is effective when mailed. Under the mailbox rule, once the offeree properly deposits the acceptance in the mail (addressed correctly, with postage, and using an allowed method), the contract is formed at that moment, even if the offeror hasn’t yet received it. This arrangement protects the offeree from mail delays and shifts the risk of postal issues to the offeror. If the offer specifically says acceptance must be received to be effective, that clause overrides the mailbox rule. Completion of performance isn’t the trigger for forming a contract in this context.

Acceptance is effective when mailed. Under the mailbox rule, once the offeree properly deposits the acceptance in the mail (addressed correctly, with postage, and using an allowed method), the contract is formed at that moment, even if the offeror hasn’t yet received it. This arrangement protects the offeree from mail delays and shifts the risk of postal issues to the offeror. If the offer specifically says acceptance must be received to be effective, that clause overrides the mailbox rule. Completion of performance isn’t the trigger for forming a contract in this context.