Can a company charge "full price" if I already paid a refundable deposit?

starson79

I hired an item. Paid a hire fee and a refundable deposit on top.
Decided I liked the item and would rather keep it and forfeit the deposit.
Total price paid comes to retail price of item.
Company later threatened to charge me "full price" for the item (which they say is vastly greater than the retail price) if I do not return it by an agreed deadline.
It's not the correct and usual way for me to go about acquiring things. But if I've paid a deposit, isn't that the point of it? That it covers for damage or loss of the item to the company?
And can they legally decide to charge me again?
Thanks very much.

Sandtree

By failing to return the item it'd be breach of contract and they'd be entitled to recover from you their losses caused by the breach. That amount could well exceed the value of the item as presumably they have loss of revenue etc whilst trying to get it back from you plus the cost of buying its replacement after etc etc.

The contract should advise of any caps to liability and any fees involved in late return of the item.

Seems an expensive and inconvenient way to acquire an item and will come with no statutory rights as you haven't legitimately bought it etc.

user1977

If you don't return the item then you'd be obliged to reimburse the hirer for its full value. How much (if anything) they asked for as a deposit is irrelevant (other than they'd have to deduct that from their claim). The deposit is just a measure to help mitigate any loss (and encourage you to return the item!).

starson79

Ah now I understand. I will be returning it promptly and buy my own one. Thanks very much for clarifying so quickly! An icky mistake I shall put down to experience.

TELLIT01

The item was hired for a  period, and must be returned at the end of the hire period,  it was not a hire purchase agreement.  They are two totally separate things.