189. Methods of exchange.

There are a number of methods of exchange of contracts. They are considered in turn below.

Exchange of contracts by telephone is the most common method and legal recognition of the practice has been given by the Court of Appeal1. Where exchange is effected by telephone, the contract between the parties becomes effective as soon as the parties' solicitors agree in the course of a telephone conversation that exchange has taken place. The telephone conversation is usually followed by a physical exchange of documents through the post in the normal way, but the existence of the contract is not dependent on this physical exchange; the contract already exists by virtue of the telepho