Contract law Q: Can a seller change price AFTER an item has been paid for?

[mikewb]

What is the name of your state? NY

Hello all,

I have a contract law question. In particular, I'm interested in a case when the seller changes the offer after it has been accepted by the buyer. Let's say a seller is advertising an item for $10 and I add it to my online shopping cart and I check it out. The seller then comes back and says that the item is actually $15 and says that the sale is void and that I would have to repurchase the item at that price. I have some Q's...

1) I understand that advertisement is not an offer but once I see the item for sale, and I select the quantity and I enter my CC info and I go through the sales process, have I accepted the offer?! Contractually, don't we have a contract as soon as I check out the item?! Is this specified in § 2-207 of UCC?

2) Can a seller cancel the offer trough UCC § 2-209 provisions?

Thank you!

Mike

 

[moburkes]

What is the name of your state? NY

Hello all,

I have a contract law question. In particular, I'm interested in a case when the seller changes the offer after it has been accepted by the buyer. Let's say a seller is advertising an item for $10 and I add it to my online shopping cart and I check it out. The seller then comes back and says that the item is actually $15 and says that the sale is void and that I would have to repurchase the item at that price. I have some Q's...

1) I understand that advertisement is not an offer but once I see the item for sale, and I select the quantity and I enter my CC info and I go through the sales process, have I accepted the offer?! Contractually, don't we have a contract as soon as I check out the item?! Is this specified in § 2-207 of UCC?

2) Can a seller cancel the offer trough UCC § 2-209 provisions?

Thank you!

Mike

Yes, the seller is allowed to correct the price mistake and refund your money.

 

[racer72]

A valid contract requires acceptance by both parties. In your case the seller's acceptance would have been shipment of the item purchased.

 

[mikewb]

A valid contract requires acceptance by both parties. In your case the seller's acceptance would have been shipment of the item purchased.

OK. I guess this is the part i have a problem with. Contract law says that once you make an offer, you have the right to revoke that offer before someone accepts it. If you have a brick and mortar store and you sell stuff, once I pay for the item the item is mine, correct? Can somene run after me after I leave the store and demand I return an item?!

There's also mailbox rule which says that you have accepted the offer as soon as you drop off the letter into a mailbox.

So, didn't I accept online store's offer as soon as I paid for it? I don't get this 'they accept when they ship' rule. They made an offer, I accepted and we have a contract. How does that work exactly when it's contrary to basic contract law that I've been able to grasp so far?

Thank you for any insight and I apologize for these questions that might be basic to someone who has studied law... I haven't so it's all new to me!

 

[JustAPal00]

OK. I guess this is the part i have a problem with. Contract law says that once you make an offer, you have the right to revoke that offer before someone accepts it. If you have a brick and mortar store and you sell stuff, once I pay for the item the item is mine, correct? Can somene run after me after I leave the store and demand I return an item?!

There's also mailbox rule which says that you have accepted the offer as soon as you drop off the letter into a mailbox.

So, didn't I accept online store's offer as soon as I paid for it? I don't get this 'they accept when they ship' rule. They made an offer, I accepted and we have a contract. How does that work exactly when it's contrary to basic contract law that I've been able to grasp so far?

Thank you for any insight and I apologize for these questions that might be basic to someone who has studied law... I haven't so it's all new to me!

As you stated above the seller did not accept your offer until he places the item in the mail box. That is when the transaction is complete. Until a transaction is complete either party can back out.

 

[moburkes]

No law requires someone to honor a legitimate price mistake.