First Principles of Business Law

Question 5

On March 1 A sends a letter to B saying: “If you wish to buy my boat for $10,000 please indicate your acceptance by email to abcd@hotmail.com before 5:00 pm on March 10.  At 4:00 pm on March 10, B sends an email this address, accepting A’s offer.  Because he is out shopping that afternoon, A does not open and read his email until 5:30 pm.  In the light of these facts, which one of the answers below is the most accurate? 

(a)  A has given B his email address to reply to and acceptance by email takes place as soon as B’s email reaches A’s computer system and is available to be read, even if it is only actually read later. 

(b)  As a general rule, acceptance by email only takes place when the email in question is actually opened by the offeror.  Since the email sent by B to A was only opened and read at 5:30 pm, acceptance did not take place before 5:00 pm.

(c)   As in the case of a letter posted in the regular mail, acceptance by email takes place as soon as the email is successfully sent from the sender’s system.  Acceptance therefore took place at 4:00 pm on March 10.