This answer is written by AI. The information provided in this response is intended for general informational purposes only and should not be considered as legal advice. Do not rely solely on the information provided in this response for any legal decisions. Consult with a qualified legal professional before making any decisions.

Was a Legally Binding Contract Formed Between the Owner and the Individual?

Question from A, Was a Legally Binding Contract Formed Between the Owner and the Individual?

Answer from AI:

In the UK, the formation of a contract generally requires three elements: offer, acceptance, and consideration. In this scenario, it’s important to determine whether these elements were present and if a contract was indeed formed.

Offer and Acceptance

The owner’s statement that they could sell the camera for Rs. 11,500 could be seen as an offer. The individual’s email asking about paying in instalments could be interpreted as a counter-offer, which effectively rejects the original offer. The individual’s later letter agreeing to buy the camera for Rs. 11,500 cash on delivery could be seen as acceptance of the original offer. However, the timing of these communications is crucial.


Consideration is something of value exchanged between parties. In this case, the consideration would be the camera from the owner and the payment from the individual.

Communication of Acceptance

According to the postal rule, acceptance is generally effective when posted. However, this rule has exceptions and may not apply if the offeror stipulates a specific mode of acceptance or if it would lead to manifestly absurd results. In this case, the owner did not receive the letter of acceptance before they sold the camera to a third party.

Case Law

In the case of Entores Ltd v Miles Far East Corporation, it was held that if the method of acceptance is instantaneous (like a phone call or email), the contract is only formed when acceptance is received. This could potentially apply to the individual’s email.


Whether a contract was formed depends on the interpretation of these events. It’s a complex issue that could benefit from legal advice. If you find yourself in a similar situation, you should consult with a legal professional who can provide personalized advice based on all the facts and circumstances.

Please note: This information is intended to provide a general understanding of the law. It is not intended to provide legal advice. Please consult with a legal professional for specific legal advice.

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