Question
Jamie is interested in buying a new phone. He goes into the store Mobiles-R-US and sees the model he is after with a sign marked
- Jamie is interested in buying a new phone. He goes into the storeMobiles-R-USand sees the model he is after with a sign marked as "128GB smartphone only $58.00". He knows this is a great deal and finds a phone and takes it to the checkout. The assistant scans the phone and the price that comes up is $580.
Jamie complains, saying the price is $58. The assistant states, "Look, I'm sorry but that was an obvious printing error. I can't sell it to you for $58." Jamie has now complained the manager, saying that the store is contractually bound to sell him the phone for $58.
The manager has asked you to write a memooutlining if they are contractually boundto sell for $58. You canignoreany consumer lawin your response.
To: Mobiles-R-US Manager
From: Naveena Sharma
Date: 8 November, 2020
Re: 128GB smartphone advertised for $58.00
Issue: You have asked whether we legally required to sell the 128GB smartphone at the displayed price of $58.00. This requires a contract of sale to be in place, a component of which is agreement (offer and acceptance).
Law: Goods on display are an invitation to treat, not an offer (Boots Chemist)
Application: In this case, the smartphone on display is an invitation to treat not an offer to sell at the price of $58.00. Therefore, the customers offer to buy the smartphone at $58.00 - and this offer is rejected by the sales assistant. Therefore, under contract law, there is no agreement.
Conclusion: We are not compelled to sell the smartphone for $58.00 as there[JB1] was no agreement and so no contract.
Question:
- In the conclusion, how do you mention invitation to treat?
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