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Mr. Beck went to David Jones and grabbed a sweater which costs $99. However, when he wants to pay for it at the counter, the cashier said that the actual price of the sweater is $199, and said there could be some typographical error, which caused the price tag attached to the sweater to be marked $99. In addition, the sweater was the last available stock in the retail store. Can Mr. Beck insists that he wants to buy the sweater at a price of $99 rather than $199? Does David Jones/the cashier have the right not to sell to Mr. Beck? Why and why not?

2007-08-26 02:42:32 · 3 answers · asked by Fabian 2 in Politics & Government Law & Ethics

Answers must be provided in accordance to Australian law.

2007-08-26 03:26:01 · update #1

3 answers

The main issue is when a contract has been formed, if at all. Once a conctract is formed, rights and liabilities surface which could possibly entitle a party to damages. This situation, without getting to technical, requires both an offer and acceptance to validate the contract. (No other validating devices apply)

US common law indicates that a tagged item in a store is not an offer, but a mere invitation for an offer. Therefore, whenever Mr. Beck went to the counter and wanted to pay $99, he was making an offer to the store to buy it for $99. When the store insisted the price was $199, they were rejecting the offer and making a counter-offer. Mr. Beck never accepted, therefore, no contract. Without a contract, no rights or duties arose.

There are organizations and associations which require its members to sell items at tagged prices, but this is not a legal requirement.

2007-08-26 03:24:13 · answer #1 · answered by jkersman01 3 · 0 1

It is possible that the sweater was mismarked. It would not be up to the cashier to resolve this dilemna. Mr. Beck should seek a manager. It is possible that Mr. Beck could file a claim against the store to sell the sweater to him for the tagged price, but that would end up costing him more than the "actual" price of the sweater.

2007-08-26 02:52:32 · answer #2 · answered by fangtaiyang 7 · 0 0

From the ACCC:

a consumer is entitled to assume that a product is available for purchase at the price advertised on its label or shelf, not at a higher price. Some supermarkets follow the guidelines in the Australian Retailers Association's Supermarket scanning code-ie that they must gve it to you at the price written on the label. However, this will only apply if they are a participating store.

I would suggest to check out: http://www.accc.gov.au

Cheers

2007-08-26 02:55:29 · answer #3 · answered by Polifia? 4 · 0 0

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