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Naiker Wants to Purchase a Second Hand Piano and Ahmad Posted an Offer on Monday 2 June by Letter to Naiker but His Offer Was Delayed by Postal Strike. Upon Receiving Ahmad’s Offer on Thursday 5 June, Naiker Wants to

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Submitted By lynnloqh
Words 614
Pages 3
[Introduction]
Naiker wants to purchase a second hand piano and Ahmad posted an offer on Monday 2 June by letter to Naiker but his offer was delayed by postal strike. Upon receiving Ahmad’s offer on Thursday 5 June, Naiker wants to seize the opportunity and wrote back an immediate letter of acceptance to Ahmad on Friday 6 June. However, Naiker’s letter of acceptance was delayed again and only reaches Ahmad on Monday 9 June. In the meantime, when Ahmad did not receive any replies from Naiker and believed that he is not interested in purchasing the piano anymore, and hence sold the piano to Janice, the third party in this case.

[Issues]
The issue is whether there is an enforceable contract even though Ahmad has no control over the postal strike that delayed the arrival of both the letter of offer and acceptance. At the same time, whether Ahmad is responsible for Naiker's loss of piano since he was unaware of the acceptance letter that was posted on Friday 6 June and only till it arrived on Monday 9 June and hence, Ahmad did not post any revocation of offer to Naiker. These can be supported by Agreement, Postal Rule and Revocation of Offer by Offeror.

[Relevant Law and Application]
Agreement is one of the essentials needed to form a contract. In terms of making an agreement, there must be an offer and an acceptance in return. In this case, it was clear that Ahmad has posted an offer by letter to Naiker and Naiker has also returned an immediate letter of acceptance back to Ahmad. Despite having delays for the letter of acceptance to reach Ahmad, it was still within a reasonable period of time frame and the contract was formed on the date of the postage of acceptance letter. (McGraw-Hill Education, 2009)
Postal rule is a rule of contract law, which is exclusion to the common regulations that states an acceptance is only formed when it is get across directly to

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