Mike, a trainee solicitor at ‘Bored, Weak & Lazy’, put the following message on the noticeboard in the firm’s refreshment area: ‘Laptop computer for sale. Samsung 4500X. One year old. £2000 or nearest offer. If you are interested, please put a note in my post tray or ring extension 6666. Mike B.’

On Tuesday, Derek from the accounts department saw the note and emailed Mike as follows: ‘Would like the laptop. Will pay £1800. Cheque OK? Please leave a message on the Accounts Department answering machine.’ Mike responded to Derek’s email saying he would consider Derek’s offer.
On Tuesday, Elizabeth from the print room saw Mike’s note and put a note in Mike’s post tray saying ‘Please keep the laptop for me. Here is a cheque for £2000.’ Unfortunately, when Mike’s secretary collected Mike’s post, unnoticed by her, Elizabeth’s note and cheque slipped out of the stack of post and lodged behind a filing cabinet. Early on Wednesday morning, Marcelle, the cleaner, found Elizabeth’s note and cheque and put them on Mike’s desk.
Later on Wednesday morning, Mike, who was working at a client’s offices, faxed Derek as follows: ‘I accept your offer. In view of the discount, can you pay cash? Reply as soon as possible.’ Mike felt unsure that he had reached the correct fax machine. He therefore also posted a postcard to Derek with the same message he had faxed. In fact, Mike had reached the fax machine in the accounts department, but it was out of ink at the time.
On Wednesday afternoon, when Mike called in to the firm, Mike’s secretary mentioned that she had found Elizabeth’s note and cheque on Mike’s desk. Mike immediately called Derek and left a message on his answering machine saying, ‘Ignore my previous fax and/or postcard. Sorry – have accepted another offer.’

Mike then rang Elizabeth, accepted her offer and arranged to give the laptop to her on Friday. Derek received Mike’s postcard on Thursday morning.
Advise Mike:

a. As to the nature of his message on the notice-board in regard to the law of contract.
(1 mark)
b. How would you characterise Derek’s email and Elizabeth’s note? (4 marks)
c. Now assume that Derek’s email and Elizabeth’s note and cheque are both valid offers.

Have they been effectively communicated? (3 marks)
d. Now consider the nature and effect of Mike’s fax and his postcard.

(3 marks)
e. Is Mike’s answering machine message effective to relieve him of contractual liability to Derek? Discuss rules as to when an acceptance can be withdrawn. (3 marks)