TN Bar Practice Questions - Tennessee Bar Examination Exam

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An offeror mails an offer stating it 'must be accepted by return mail.' The offeree mails an acceptance, which is properly addressed and stamped, but it is lost and never arrives. Under the mailbox rule, when is the acceptance effective?

Upon dispatch (when the acceptance is mailed), forming the contract Never, because it was never received Only when the offeror actually reads it Only if the offeree sends a duplicate

Correct Answer:

Upon dispatch (when the acceptance is mailed), forming the contract

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