Dispute Identification (201503-0232) [2015] ZACGSO 4 (11 May 2015)

Dispute Identification (201503-0232) [2015] ZACGSO 4 (11 May 2015)

The supplier published an advertisement for the tool kit at R199.00 without any limitation on quantity, bringing the matter within section 30(1) of the Consumer Protection Act. However, the discrepancy between the advertised price and the actual price was so substantial that a reasonable consumer would have recognized it as an error and not been misled. The complainant's actions, including taking a screenshot in anticipation of a problem and being informed by friends, further indicate awareness of the error. Section 30(1) does not create an obligation to sell at the advertised price, but prohibits misleading advertising. Since the complainant was not misled, the supplier is not bound to...

Citation
[2015] ZACGSO 4
Parties
Applicant: Complainant; Respondent: Supplier
Court
Consumer Goods and Services Ombud
Jurisdiction
South Africa
Judgment Date
11 May 2015
Case Number
201503-0232
Procedural Posture
Consumer Complaint / Final Determination
Outcome
Complaint dismissed; supplier not obliged to sell at the incorrect price.
Judges
B Hughes
Legal Topics
Consumer Protection Act, Bait Marketing, Misleading Advertising, Strict Liability, Gross Error Test
Commercial and Corporate Consumer Protection Act Bait Marketing Misleading Advertising Strict Liability Gross Error Test

Case Brief

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Parties

Complainant

Applicant

Supplier

Respondent

Procedural Posture

Consumer Complaint / Final Determination

Legal Issues

  1. 1 Whether the supplier is bound to sell the tool kit at the incorrectly advertised price.
  2. 2 Whether the complainant was misled or deceived by the advertisement under section 30(1) of the Consumer Protection Act.
  3. 3 Whether an inadvertent error in the advertised price constitutes a contravention of the Act.

Ratio Decidendi

The supplier published an advertisement for the tool kit at R199.00 without any limitation on quantity, bringing the matter within section 30(1) of the Consumer Protection Act. However, the discrepancy between the advertised price and the actual price was so substantial that a reasonable consumer would have recognized it as an error and not been misled. The complainant's actions, including taking a screenshot in anticipation of a problem and being informed by friends, further indicate awareness of the error. Section 30(1) does not create an obligation to sell at the advertised price, but prohibits misleading advertising. Since the complainant was not misled, the supplier is not bound to...

Court Disposition

Complaint dismissed; supplier not obliged to sell at the incorrect price.

Orders

  • The supplier is not required to provide the tool kit at the advertised price of R199.00.
  • The voucher of R250.00 offered by the supplier is adequate compensation for the complainant's wasted time and transport costs.