Distance Selling Law & Cancellation

Justiceforme

Several consumers recently ordered goods from a well known online catalogue. Some people received their order whilst others did not. An email was sent to customers stating the following:


We’re contacting you regarding your order for item XXXXX.

On 21st January, this item was incorrectly priced on our website due to an inputting error. Whilst it is our intention to keep our website up to date and error free, pricing errors may occasionally occur.

In this instance, as we have not despatched the goods to you no contract has been formed to supply the item at the incorrect price and we have therefore cancelled your order.

In recognition of this error, we would like to offer you £10 credit when you place your next order of £10 or more. To take advantage of this, please quote xxxxxxxxxx at the checkout. The code will be live from tomorrow and expires 31st January 2016.

Any payments that have been taken will be refunded back to your original method of payment (card payments will be refunded to the card provider within their usual timeframes).

Mistakes like this are most unusual and we apologise for any inconvenience caused by this error.


Is it lawful for a company to do this because they have admitted it was their mistake.


Does anyone know the law regarding this topic?


Many thanks

naedanger

Justiceforme wrote: »

Is it lawful for a company to do this because they have admitted it was their mistake.

Does anyone know the law regarding this topic?

Yes it is lawful, provided the company's terms and conditions make clear a contract is only formed when the item is delivered. (And it is common practice for online companies to word their terms and conditions this way.)

http://www.telegraph.co.uk/finance/personalfinance/money-saving-tips/10602641/Price-glitches-Do-retailers-have-to-honour-pricing-mistakes.html

wealdroam

OP, no need to go as far as The Telegraph - the answer to your question is on this very site:

Do shops have to sell at the advertised price?

and

When is an on line contract formed?

naedanger

wealdroam wrote: »

OP, no need to go as far as The Telegraph - the answer to your question is on this very site:

Do shops have to sell at the advertised price?

and

When is an on line contract formed?

I just went with Google. The Telegraph beat MSE, at least for the terms I used (which I can't now remember).