Contact Law and the Internet

stephen812

I purchased a HTC mobile phone this morning from a leading mobile provider via their online store. The phone cost €40 and the purchase went through without a problem. I recieved an Order Confirmation email and the charge was made to bank account.

However, at 5 o'clock this evening I received an e-mail from a Sales Manager of the company that went like this:

"Unfortunately due to a pricing error on our Online Store this morning we mistakenly advertised the HTC Hero at a reduced price. We realise you have ordered this phone, however we regret we cannot fulfil this order at this price. Your order has been cancelled but should you wish to purchase the phone at its correct price of €319.99, as a goodwill gesture we will offer you €100 Free Credit to your Meteor account."

Their terms and conditions state that an offer constitutes "invitations to treat and they are not an offer from us to you", but surely the fact that the order was confirmed and they money withdrawn from my account constitutes them accepting the offer??

I would appreciate anyones help or opinion on the matter.

Thanks.

Pacing Mule

You don't have any leg to stand on at all. They haven't taken your money (I know you think they have but they haven't they have reserved it as such - it won't have been captured by them in that short a timeframe)

Cabaal

If they've not taken any payment then hard luck, even if they did take payment you'll likely find their sales T&C's cover them

Welease

I believe contract law also states the contract is invalid in the case of a mistake (whereby it's fairly obvious that the phone in question would not cost 40 Euro normally)

mayordenis

Aye nothing you can do and €100 euro free credit is a pretty nice gesture in fairness

Tim M-U

stephen812 wrote: »

I purchased a HTC mobile phone this morning from a leading mobile provider via their online store. The phone cost €40 and the purchase went through without a problem. I recieved an Order Confirmation email and the charge was made to bank account.

However, at 5 o'clock this evening I received an e-mail from a Sales Manager of the company that went like this:

"Unfortunately due to a pricing error on our Online Store this morning we mistakenly advertised the HTC Hero at a reduced price. We realise you have ordered this phone, however we regret we cannot fulfil this order at this price. Your order has been cancelled but should you wish to purchase the phone at its correct price of €319.99, as a goodwill gesture we will offer you €100 Free Credit to your Meteor account."

Their terms and conditions state that an offer constitutes "invitations to treat and they are not an offer from us to you", but surely the fact that the order was confirmed and they money withdrawn from my account constitutes them accepting the offer??

I would appreciate anyones help or opinion on the matter.

Thanks.

There's nothing you can do really, It was an utter mistake on meteor's side, The consumer information act 1978, Section 7 might have something to do with it: (I duno:()

7.—(1) If a person offering to supply goods of any description or provide any services or accommodation gives by any means a false or misleading indication of—
[GA]
( a ) the price or charge for the goods, services or accommodation,
[GA]
( b ) the price or charge at or for which the goods or goods of the same description or the services or accommodation were or was previously offered,
[GA]
( c ) a recommended price for the goods, or
[GA]
( d ) any charge for installation of or servicing of the goods or any price for ancillary equipment reasonably required for the purpose of the use or enjoyment of the goods.
[GA]
he shall be guilty of an offence.
[GA]
(2) For the purposes of this section—
[GA]
( a ) an indication that goods, services or accommodation were or was previously offered at a different price or charge or at a particular price or charge shall be treated, unless the contrary is expressed, as an indication that they were so offered openly at the same place within the preceding 3 months for not less than 28 successive days;
[GA]
( b ) an indication as to a recommended price—
[GA]
(i) shall be treated, unless the contrary is expressed, as an indication that it is a price recommended by the manufacturer, producer or other supplier, and
[GA]
(ii) shall be treated, unless the contrary is expressed, as an indication that it is a price recommended generally for supply by retail in the area where the goods are offered,
[GA]
( c ) anything likely to be taken as an indication as to a recommended price or as to the price or charge at or for which goods, services or accommodation were or was previously offered shall be treated as such an indication,
[GA]
( d ) a person advertising goods, services or accommodation as available for supply or provision shall be taken as offering to supply or provide them or it; and
[GA]
( e ) an indication of the price or charge at or to which any goods, services or accommodation are or is offered by a person shall be treated, unless the contrary is expressed, as an indication that those goods, services or accommodation are or is offered at or for that price or charge in every place in the State where those goods, services or accommodation are or is offered by the person:
[GA]
Provided that, where such an indication is given at the place where the goods, services or accommodation are offered, the indication shall be treated, unless the contrary is expressed, as relating only to the goods, services or accommodation offered at that place.

Source: irishstatutebook.ie

Meteor obiously must have a good policy when it comes to "unhappy" customers, giveing €100 worth of Meteor credit, not bad, however if you read:

should you wish to purchase the phone at its correct price of €319.99, as a goodwill gesture we will offer you €100 Free Credit to your Meteor account."

Is this if you buy the phone or not, i.e. if you dont buy it do you still get refunds or credit?

hmmmm:o

noodler

mayordenis wrote: »

Aye nothing you can do and €100 euro free credit is a pretty nice gesture in fairness

To say the least.

the_syco

Cabaal wrote: »

If they've not taken any payment then hard luck, even if they did take payment you'll likely find their sales T&C's cover them

stephen812 wrote: »

I recieved an Order Confirmation email and the charge was made to bank account.

It seems they did, but as you say, their T&C's may cover them.

dudara

Contract law allows for the case of genuine error - in which case, a contract, even a formed contract, can voided.

Look - Meteor haven't left you out of pocket, and they've made a good gesture. It's more than other businesses have done in the past.

Pacing Mule

the_syco wrote: »

It seems they did, but as you say, their T&C's may cover them.

As I said earlier it's highly unlikely they fully charged it in that short a time frame. The funds would have been reserved. I'd say the OP has a laser card and the reserving of funds on some banks laser cards shows up as a purchase immediately even though it has not been settled to the retailer.