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Dabs fulfils Xbox orders despite pricing error

OUT-LAW News, 15/03/2002

UK retailer Dabs has, “as a gesture of goodwill,” said it will honour the orders placed for an Xbox bundle which was advertised on its web site, Dabs.com, at an incorrect price. It initially refused to fulfil the thirteen orders that were placed before the company spotted and corrected the mistake.

Dabs.com advertised the 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.

According to a statement from the company:

“As a gesture of goodwill, and to thank these customers for their patience, we have decided to honour the advertised price for the 13 orders placed and will ship the Xbox bundles as soon as stock is available.”

Two individuals who placed orders for the bundle have thanked Dabs in a notice on their company’s web site for dealing responsibly with the mistake. However, the notice also reveals that, in addition to the Xbox bundle, one of these employees placed an order for 40 memory units/controller packs that Dabs.com offered for £1 per package; a package that is valued to approximately £80. Dabs sent out an apology to the employee but apparently refused this part of the order.

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.

Editor's note: OUT-LAW.COM cannot comment on the likely legal position of Dabs.com had it refused to fulfil the orders because, at the time of writing, neither the terms of Dabs.com’s confirmation notice nor the terms and conditions to which customers agree when placing orders on the site, have been seen.

 

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