According to The Register, Dabs.com advertised an Xbox “Ultimate
Bundle” including the console, memory unit, controller and three
games for £249 exc. VAT. It should have been priced at £379 exc.
VAT. The Register reports that the company has contacted thirteen
customers who placed orders during the period before it corrected
its mistake. It has invited them to re-submit their orders at the
higher price.
With annual sales of around £100 million, Dabs is one of the 20
biggest computer dealers in the UK.
Struan Robertson, site editor of OUT-LAW.COM, commented:
“E-commerce sites are not immune to human
error when pricing their goods. But companies like Dabs can easily
protect themselves against such errors, although it’s difficult to
comment on the Dabs situation without having seen its terms and
conditions and the confirmation notice given to those who placed
orders.
“In general, for an e-commerce site to avoid
having to sell products at an incorrect price, they should
structure the order process such that, when the order is placed,
the customer is making an offer. They should tell the customer that
a contract will be formed if that offer is accepted. The
confirmation that is sent automatically to the customer immediately
following the order need only confirm that the order is being
processed – not that the offer is accepted.”
Argos once priced televisions for £2.99 instead of £299. It
refused to fulfil the orders, but its terms and conditions arguably
supported this refusal. However, more recently, Kodak offered
cameras at an incorrect price and eventually succumbed to customer
and media pressure to honour the sales, possibly because its
confirmation e-mail referred to a contract having been formed.
