Question:
The rules of contract apply online as they would in ordinary offline transactions. Discuss this statement in relation to the following facts. Include in your answer, whether Harry should be entitled to enforce the contract or otherwise. Write a 3000 words report on this.
Facts:
Harry was surfing the web at Guys and Potters internet café late at night looking to purchase a 3D printer. Harry came across a website of a computer accessories distributor, Amazing.com advertising a 3D printer model 007 for $69. Harry having been on the hunt for 3D printers, knew that the price did not sound right. He checked the price of the same printer on other websites and found that it was actually selling for at least $699 each.
Amazing.com limited the purchase to 3 units of the printer, per customer only.
Harry quickly contacted as many of his friends about the printer and told them to make as many purchases as they could with their credit cards.
To purchase the printer, a buyer had to have a valid credit card. There was also a link to Amazing.com's terms and conditions where purchasers were required to click an "Accept" button. After each purchase, a message is sent to the purchaser stating as follows:
"Thank you for your purchase. Your order is subject to the terms and conditions of our service and will be accepted upon confirmation of the availability of the product you ordered. The delivery dates of your item will vary according to the level of demand for the model purchased.
Amazing.com thanks you for your order."
Amazing.com discovered the error the next day and sent out cancellations of all the orders made including those made by Harry and his friends. Amazing.com stated that a mistake was made in the advertisement and that full refunds will be made for the orders cancelled.
By the time the cancellation was received, Harry and his friends had already purchased 60 units and had been charged on their credit cards.
Harry and his friends sued Amazing.com demanding that the company fulfilled the orders paid for and rejected the refund.
[Note: Students are also provided the the case of Chwee Kin Keong and Others v Digilandmall.com Pte. Ltd. [2004] SGHC 71 for the purpose of this assignment.