• FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
    By continuing to use this site, you are consenting to our Terms of Service and use of cookies.

Can I successfully sue eBay seller for "Benefit of the Bargain" after they cancel?

Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills   Please click a topic or scroll down for more.

BoundByLaw

Junior Member
Can I successfully sue eBay seller for "Benefit of the Bargain" after they cancel?

What is the name of your state (only U.S. law)? Connecticut

I purchased several of the same item in a fixed price auction.

The seller listed a new, unopened item for a price of $10.99.

The ACTUAL retail price of said item is $139.99. I purchased 100 of the item from seller (they had 200 listed) and paid them immediately through Paypal (which their listing required) the $1099.00.

I received an e-mail the next day from the seller saying that they were sorry the item was listed at the wrong price, but they would refund my money and re-list the item for me to bid upon again. I replied that I do not want a refund and want the agreed upon items at the agreed upon price. I then blocked them from my Paypal account, so that they couldn't send me any money and then say "transaction undone, no harm no foul" or some such thing.

I'm guessing there is a whole slew of laws that pertain to this situation (and probably contradict each other), but can I sue for the "Benefit of the Bargain" and actually win? The amount of dollars here is no small affair for me ($12,900.00) and I realize that this is well beyond a small claims case, but if I have a shot at winning, I would definitely pursue this.

I have bought and sold on eBay for years (I'm one of their first 100 users) and I know eBay will do nothing but have them refund my purchase price. I have myself mistakenly listed something in the past, and saw it as my legal responsibility to sell the item for the price that I listed it for to the buyer. Unfortunately, many sellers on eBay now believe they can simply cancel a completed auction and then simply refund the money and re-list for a higher amount. This has mostly happened with Buy It Now or Fixed Price items, but I really feel some sort of precedent needs to be set (or reestablished as most likely is the case) to stop this behavior from continuing. I will spend some time at this, if I have a decent shot of winning my case, but would truly appreciate a point in the right direction to begin.

My thanks to everyone who can help.

-BBL
 


LdiJ

Senior Member
What is the name of your state (only U.S. law)? Connecticut

I purchased several of the same item in a fixed price auction.

The seller listed a new, unopened item for a price of $10.99.

The ACTUAL retail price of said item is $139.99. I purchased 100 of the item from seller (they had 200 listed) and paid them immediately through Paypal (which their listing required) the $1099.00.

I received an e-mail the next day from the seller saying that they were sorry the item was listed at the wrong price, but they would refund my money and re-list the item for me to bid upon again. I replied that I do not want a refund and want the agreed upon items at the agreed upon price. I then blocked them from my Paypal account, so that they couldn't send me any money and then say "transaction undone, no harm no foul" or some such thing.

I'm guessing there is a whole slew of laws that pertain to this situation (and probably contradict each other), but can I sue for the "Benefit of the Bargain" and actually win? The amount of dollars here is no small affair for me ($12,900.00) and I realize that this is well beyond a small claims case, but if I have a shot at winning, I would definitely pursue this.

I have bought and sold on eBay for years (I'm one of their first 100 users) and I know eBay will do nothing but have them refund my purchase price. I have myself mistakenly listed something in the past, and saw it as my legal responsibility to sell the item for the price that I listed it for to the buyer. Unfortunately, many sellers on eBay now believe they can simply cancel a completed auction and then simply refund the money and re-list for a higher amount. This has mostly happened with Buy It Now or Fixed Price items, but I really feel some sort of precedent needs to be set (or reestablished as most likely is the case) to stop this behavior from continuing. I will spend some time at this, if I have a decent shot of winning my case, but would truly appreciate a point in the right direction to begin.

My thanks to everyone who can help.

-BBL
I suspect that the seller can even less afford to take the hit than you can...and I am not sure that a court case would go in your favor since the items were not yet delivered to you.
 

OHRoadwarrior

Senior Member
Actually, Paypal will do the same thing. Sucks when you agree to be bound by their terms to buy and sell there doesn't it? Further, Paypal may even not make them pay you back since you are actively refusing a refund.:rolleyes:
 

justalayman

Senior Member
I have bought and sold on eBay for years (I'm one of their first 100 users) and I know eBay will do nothing but have them refund my purchase price. I have myself mistakenly listed something in the past, and saw it as my legal responsibility to sell the item for the price that I listed it for to the buyer. Unfortunately, many sellers on eBay now believe they can simply cancel a completed auction and then simply refund the money and re-list for a higher amount. This has mostly happened with Buy It Now or Fixed Price items, but I really feel some sort of precedent needs to be set (or reestablished as most likely is the case) to stop this behavior from continuing. I will spend some time at this, if I have a decent shot of winning my case, but would truly appreciate a point in the right direction to begin.
You are first bound by the terms of eBay. If eBay does not address this, you can sue the seller. You cannot sue them for the benefit of the bargain though. You would have to sue them for specific performance which simply means, he has to give you the items contracted for at the price had agreed upon.

was this an auction or a "buy now" sale with a fixed, predetermined price?
 

tranquility

Senior Member
Even in the non-electronic world, you can't enforce a contract with a clearly erroneous term. It seems there was an error in listing if the amount purchased new amount is less than 10% of the actual retail value. When there is a clear error in the "advertisement" there is not a meeting of the minds and no contract.

Old law guides new law. While I accept the representation of the others relating to ebay, I know there will be no relief in relying on the benefit of the bargain measure of damages in the common law.
 

BoundByLaw

Junior Member
Thanks for the replies everyone.

justalayman: It was a Buy It Now auction with a fixed price.

tranquility: I believe that you hit the nail on the head. I think it's a Unilateral Mistake on behalf of the seller that would undue the contract.

I did contact the seller again and through some... um... negotiations, I convinced them to sell me the aforementioned product and quantities for what was their cost ($49.99).

Still a super bargain for me, because I do not posses their buying power.

Thanks again all,

-BBL
 

Find the Right Lawyer for Your Legal Issue!

Fast, Free, and Confidential
data-ad-format="auto">
Top