KRCS increasing price after order had been confirmed and paid for

Okell

https://forums.moneysavingexpert.com/discussion/comment/82050258#Comment_82050258

Does it matter if it's a b2b contract?

Is this a consumer rights issue or a simple breach of contract (by the seller) issue?

born_again

custom-built Mac solutions (which cannot be cancelled with Apple once ordered).

So what date did they place the order with Apple & what date was the price increase by Apple?

Seems odd that they will allow a cancelation now that the price has gone up, but would not previously🤷‍♀️

SiliconChip

Some background reading on device and component price rises. Whether any of this affects the OP's ability to get what he's paid for may have to be tested in court if KRCS play hardball.

Tech firms are blaming AI for mega device and console price rises

Grumpy_chap

https://forums.moneysavingexpert.com/discussion/comment/82050565#Comment_82050565

I was merely making sure, where you had referenced "why should the consumer…" that this was not a consumer contract.

As you mention, it might be a breach of contract issue.

We remain reliant on a set of terms and conditions that have been located online but which may not apply to the OP who has not shared the actual agreement relating to their purchase, nor has the OP confirmed the terms linked are the correct ones applicable.

Okell

https://forums.moneysavingexpert.com/discussion/comment/82050780#Comment_82050780

I presume they can't afford to supply the kit at the price they agreed to.

So they are asking the OP either to agree to an increased price or to cancel.

I'd want them to supply at the price they agreed

Reptilion

https://forums.moneysavingexpert.com/discussion/comment/82050780#Comment_82050780

In my case, I placed the order to KRCS on 5th May, they contacted me and explained that there are significant delays (I agreed), and on 6th May confirmed they placed the order to Apple. Apple increased the prices on 25th June, and on 26th June, KRCS asked me to accept the price increase or cancel, giving me a deadline for Monday, 29th June.

Alderbank

https://forums.moneysavingexpert.com/discussion/comment/82050967#Comment_82050967

In English contract law, KRCS's website advertising Apple Macbooks is an invitation to treat. It's not part of a contract as such, KRCS are just saying, 'Does anyone want to buy one of these computers?

You started the contract process by making an offer on 5 May to buy a Mac Studio M4 Max at an agreed fixed price (there is no contract term saying you would pay a different price if certain things came to pass) and you paid consideration in the form of a deposit.

KRCS confirmed your offer. That's usual and good to know but it forms no part of the contract process. No contract is in place yet.

KRCS now have a number of options available:

(1) They could accept your offer. They would do this either by simply sending the goods or by an email saying they accept your offer. That would set the contract - they must supply the M4 at your offer price and you must pay the agreed balance. If either party breach the contract after that point they are liable for damages. For that reason, sellers like to delay for as long as possible before accepting, but they must take the risk that if the other party (you) revokes their offer before they have accepted it that they will have no comeback on you.

(2) They could decline your offer and return your deposit. In that case there has never been a contract.

(3) They can make a counter offer. That means that the pending deal (where you agreed to pay £xxx) has now gone. You have the choice to either accept the counter offer on the new terms they offer or to decline, in which case your deposit is returned and there is no contract.

They have chosen option (3). If you don't accept their new counter offer by Monday night, no contract has been agreed and they must return your deposit.

As far as I can see, any deal with Apple is a B2B contract between Apple and KRCS. You are not party to that contract and Apple are not party to your proposed contract with KRCS. In English contract law there are only two parties to any contract, offeror and acceptor.

In a different scenario, KRCS could be acting as an agent for Apple. In that case your contract would be with Apple, but you have said that is not the case here.

Grumpy_chap

https://forums.moneysavingexpert.com/discussion/comment/82051044#Comment_82051044

What is your basis for saying that a contract has not been formed between the OP and KRCS?

The question of "when is a contract formed?" has been mentioned earlier in this thread and no-one else found a definitive answer.

I am not sure that the "confirmed the order has been placed with Apple" is evidence that a contract has not been formed. I think that could juts as easily be considered as evidence of acceptance. The contract requires offer + acceptance + consideration. Offer and Consideration are not in doubt. Where Acceptance is not explicit, that could still be achieved by KRCS having acted upon the Offer - placing the order with Apple exposes KRCS to costs and risks that were not present had the contract not been formed.

Alderbank

Simply confirming receipt of an offer generally does not constitute acceptance. Under standard contract law, acknowledging receipt simply verifies that you have received the proposal, but it does not express the final, unqualified agreement required to form a legally binding contract.

There is however a lot of case law about exactly what precise wording might or might not mean acceptance.

What you refer to is implied acceptance by conduct which is where starting work or fulfilling the obligations outlined in the offer can be interpreted as acceptance, even if that party did not formally use the words "I accept".

I confess I don't have enough experience with contract law to know whether "confirmed the order has been placed with Apple" meets the threshold of implied acceptance by conduct but it's an excellent point.

Thanks for raising it.

GDB2222

https://forums.moneysavingexpert.com/discussion/comment/82051154#Comment_82051154

To form a view, you need sight of the exact words used in any correspondence.