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Non-selling Seller. Breach of Contract?

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sccpu3d

Junior Member
What is the name of your state? California

What is the name of your seller's state? California

Okay, this is my first time posting, so forgive me if I screw something up.

Anyway, a couple days ago I bid on a Nokia E90 smartphone. Got a winning bid for $511 and with it shipped around $516. (Good price eh?) Anyway, I sent payment, everything and a couple days later I got a refund notice from paypal with a message saying that they did not want to sell it for $511.00 because it was under what they wanted at a minimum, $650. Now this auction had no reserve, and quite frankly I don't even know what the starting price was, but I imagine it was $0.99.

So, my question is, do I have a case against them in a small claims court for the difference between auction price and the price of a new phone if I bought MSRP from manufacturer, and the court filing fees? I found out I live only about 30 miles away from the seller, and the court I'll have to file in is probably my local one. Oh the convenience :p

Below is the ebay Seller Non-Performance Policy. It states "When a seller lists an item on eBay, and a buyer bids for and wins that item, the seller and buyer have entered into a contract that both members are expected to honor" Therefore breach of contract

http://pages.ebay.com/help/policies/seller-non-performance.html
 


seniorjudge

Senior Member
Q: So, my question is, do I have a case against them in a small claims court for the difference between auction price and the price of a new phone if I bought MSRP from manufacturer, and the court filing fees?

A: No. You have no damages. No damages, no case.
 

sccpu3d

Junior Member
Thanks for the quick response.

Yeah, I didn't think it was possible considering they didn't accept my money. Ebay needs a new system to deal with these non-selling sellers. They're crooks =/. Thanks for the help seniorjudge.
 

tranquility

Senior Member
I don't know why SJ continues to make this posting whenever online sales come up, but he's wrong. Basic auction rules apply. If there was not a reserve, if there was an acceptance by the terms of the auction, there was a contract. The damages are measured by the difference between what the phone sold for and what a like phone costs. Admittedly, this may not be worth it to go to court, but there are clearly damages.
 

sccpu3d

Junior Member
Thanks for the reply Tranquility.

I'd imagine the same rules applied to Ebay as with a real live auction. I probably wouldn't go through any lawsuit or anything, since I didn't really lose anything other than I guess the sleep waiting for the auction to end, but still it kinda sucks how nonpaying bidders are criticized and sued while nonpaying sellers don't really.

Think though a suit like mine would have a chance in a small claims court?
 

TheGeekess

Keeper of the Kraken
From eBay's Help section:
"What buyers can do if they feel a seller has violated the Seller Non-Performance policy

If a seller has refused to complete a sale, and payment has not been sent or payment has been refunded, report the seller. Make sure to include a copy of the email documenting the seller's refusal to complete the sale with the full message text and complete email headers when making your report.

If a buyer has paid for an item and has been unable to receive the item or a refund, or believes the item was significantly misrepresented, they should refer to the eBay Item Not Received or Significantly Not as Described process. Buyers will also find instructions that will allow them to contact eBay to report the seller on this page."

http://pages.ebay.com/help/policies/seller-non-performance.html

That's how eBay wants it handled. Good luck....
 

racer72

Senior Member
Basic auction rules apply. If there was not a reserve, if there was an acceptance by the terms of the auction, there was a contract. The damages are measured by the difference between what the phone sold for and what a like phone costs.
The caveat to this correct answer is you have to buy the same phone at the higher price before you can have any damages to sue over. This makes SJ's answer also correct, the OP has not yet suffered any damages.
 

sccpu3d

Junior Member
@TheGeekess

Yeah, I know their policy haha I actually posted that link in the original post. Doubt it'll work, but whatever I'll just give it a shot. Not like I can't afford the thing, but it's pretty principally wrong to put an auction for cheap to save some money and end up not selling to any of your winning bidders because they didn't pay your reserve that you were too cheap to set =/. Like seriously a reserve is only like.... $.50 more cents and considering its a 500 dollar item, it really pales in comparison lol.

@racer72

Ic... this is actually quite intriguing o_O...

So technically you'd have to buy something at its regular price before you have a case against them since there's only difference damages if you actually bought something at the higher price then. It's not enough just to prove the MSRP price set by the manufacturer?

I'm going on a tangent, but what if this item was extremely rare and the seller pulled it after a winning auction where it is impossible to get another in the case that there is only a couple or just a single exists. How could a breach of contract be calculated then? Thanks =P
 

racer72

Senior Member
I'm going on a tangent, but what if this item was extremely rare and the seller pulled it after a winning auction where it is impossible to get another in the case that there is only a couple or just a single exists.
Same thing, till the buyer suffers a loss, there is no claim. But in the case you brought up, there could be other factors that could be considered as damages. This would not apply in your case.
 

Ozark_Sophist

Senior Member
Same thing, till the buyer suffers a loss, there is no claim. But in the case you brought up, there could be other factors that could be considered as damages. This would not apply in your case.
Not that this even applies here, some seller in Australia got dinged for at least $80,000 in an internet auction because he failed to place a minimum on a plane he was selling. He refused to honor the contract, but the court enforced the contract. 'course it was down under so everything is upside down :p
 

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