MBE Rules · Contracts
Mailbox rule
The rule
Acceptance by a properly addressed, properly stamped mail is effective on dispatch, not receipt. Exceptions: (1) option contracts (acceptance effective on receipt), (2) if the offer specifies otherwise, (3) if the offeree sends both an acceptance and rejection — whichever the offeror receives FIRST controls.
In plain English
When you accept an offer by mail, it's official as soon as you send it, not when the other person gets it. But there are some exceptions to this rule.
Worked example
The buyer mails an acceptance letter on Monday. The seller receives it on Wednesday. The deal is sealed on Monday, when the buyer sent the letter, not Wednesday.
Memory hook
Mailbox = Mailed, Not Received. Acceptance effective when mailed, not when it lands. Watch for exceptions!
The trap
Students think: Any mailed acceptance counts immediately. Wrong, because exceptions exist like option contracts or specific terms. The actual test is if it's properly mailed and not an exception.
How examiners test it
The MBE loves: offeree sends both acceptance and rejection. Trap: students forget first received controls unless offer specifies otherwise. Check sequence of mail arrival.
Drill this rule until it can't fail you.
Vrenberg generates unlimited questions on this exact rule, tracks your mastery of it, and brings it back until it sticks.