1)Advise Hotel Double Extravaganza (HDE) whether there was a contract with Bunga Furniture Enteprise (BFE)Instantaneous Communication is an acceptance must be communicated where the general rule is When the mode of acceptance is instantaneous communication, the general rule of lawis that the contract will be formed when acceptance of the offer is communicated to the offeror and that communication is received. It must be known that telephone conversations and telex messages are all considered forms of instantaneous communication. In Appeal's decision in Entores Ltd v Miles Far East Corporation where in this case, the plaintiffs were an English company and the defendants was an American corporation with agents all over theworld, including a Dutch company in Amsterdam. The plaintiffs wished to make a contract with the defendants' Dutch agents for the purchase of copper cathodes from the defendants. Aseries of communications passed by telex between the plaintiffs and the Dutch company, the material one being a counter-offer made by the plaintiffs on September 8, 1954, and an acceptance of that offer by the Dutch agents on behalf of the defendants received by the plaintiffs in London by telex on September 10, 1954. The plaintiffs later alleged that there had been a breach of contract by the defendants. They applied for leave to serve notice of a writ on the defendants in New York on the ground that the contract was made in England and, therefore, fell within the Rules of the Supreme Court. The defendants contended that thecontract was made in Holland. The Court ruled that the communication through telex in this case was instantaneous and the contract was made at the place where acceptance was received, in this case, in London.
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instantaneous communication, Bunga Furniture Enterpise, Bunga Furniture