Laws relating to price quotes

Bradden

Could someone help settle a discussion at work.

Are there any laws relating to price quotes?

If a company quotes a price in writing can they be held to it?

If so under what circumstances can the quoting company withdraw or amend the offer?

Thanks

Equaliser123

IF it constitutes an offer (and this will depend very much on its terms), it can be withdrawn or amended at any time up to a valid acceptance.

Generally, quotations are classed as invitations to treat. In other words, an indication of the price at which a company is prepared to contract. It is not valid until such time as there is a valid offer (usually by the party receiving the quote) and an acceptance.

bris

Quotes can fluctuate offers can't, once an offer is accepted then it's a contract.

unholyangel

If they guaranteed the validity of a quote for x days, you may be able to report them to Trading Standards but actually getting them to honour it may be next to impossible.

Is it a big company? What was the quote for?

McKneff

From what I understand Quotes cannot fluctuate once they have been accepted. Whether yu call them a quote or a contract. They are normally 2 separate entities on two separate pieces of paper.

But Estimates can fluctuate.

Bradden

Thanks for the replies.. it's not as black and white as I expected.

The quotes my company sends out state they are valid for 30 days - but also that they are subject to change.

We were discussing whether we would be legally bound to sell at a quoted price... I guess not!

unholyangel

Bradden wrote: »

Thanks for the replies.. it's not as black and white as I expected.

The quotes my company sends out state they are valid for 30 days - but also that they are subject to change.

We were discussing whether we would be legally bound to sell at a quoted price... I guess not!

No but you'll likely get in trouble stating a quote is valid for 30 days and then changing it Take out the bit about it being valid for 30 days and you should be fine.

What you also need to watch out for is that you're not being dishonest (ie falsely telling them the price is due to increase in order to illicit an immediate response/deprive them of their right to make an informed decision).

peachyprice

Bradden wrote: »

Thanks for the replies.. it's not as black and white as I expected.

The quotes my company sends out state they are valid for 30 days - but also that they are subject to change.

We were discussing whether we would be legally bound to sell at a quoted price... I guess not!

Do they have E&OE on them?

Hintza

Bradden wrote: »

Thanks for the replies.. it's not as black and white as I expected.

The quotes my company sends out state they are valid for 30 days - but also that they are subject to change.

We were discussing whether we would be legally bound to sell at a quoted price... I guess not!

If you are a gold gilding company and between giving the quote and acceptance the gold price doubles, you will need the ability to adjust prices for reasons out with your control.

Of course do it too often or without good reason your customers will soon go elsewhere.