- Published on
KembaraXtra – Legal Terms – Payment by Post
Payment by post refers to payment of a debt through posting cash, cheques, or negotiable instruments.
Generally, a debt is not discharged if the payment is lost in the post.
However, if the creditor expressly or impliedly authorized payment by post, the risk of loss passes to the creditor once the debtor properly posts the payment.
The debtor must ensure that the letter is correctly addressed and properly sent.
This rule reflects principles relating to agency and allocation of risk in contractual performance.
Payment by post refers to payment of a debt through posting cash, cheques, or negotiable instruments.
Generally, a debt is not discharged if the payment is lost in the post.
However, if the creditor expressly or impliedly authorized payment by post, the risk of loss passes to the creditor once the debtor properly posts the payment.
The debtor must ensure that the letter is correctly addressed and properly sent.
This rule reflects principles relating to agency and allocation of risk in contractual performance.
0 Comments