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Action of John on ABC Pte Ltd and Counter Offer of ABC

Question

John has always been an avid gamer and knows a good deal when he sees one. One fine day, John saw on ABC Pte Ltd’s website that they were selling a very popular Xbox game, “Borderlands”, for a very reasonable price of S$15.00. “Borderlands” usually retails for S$48.99. However, John knows that there are other gaming shops that do sell the game for as low as S$12.00. John decided to call ABC Pte Ltd and ask if he can purchase the game at S$12.00. The ABC Pte Ltd’s representative replied, “No. In fact, we are no longer selling the game at S$15.00, that promotion is over already. But we are now selling it at S$48.99, do you still want it?” John is obviously upset that he could no longer get his favourite game at a cheap price.

Discuss if John can take any action against ABC Pte Ltd.               

Points to consider:

Identify and discuss that ABC Pte Ltd’s website is an invitation to treat and not an offer for contract.

 Discuss that John was making an offer when he asked if he could purchase it at S$12.00.

Discuss how ABC Pte Ltd rejected the offer, but counter-offered it at S$48.99. John did not accept the offer when he hanged out the phone call. 

Provide appropriate cases example for each point.

Summary: This question belongs to business law and discusses about action of John against ABC Pte Ltd.

Total word count: 525

 

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