The four key elements of a valid contract

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Reference no: EM131184356

Qwerty.com placed an online advertisement, stating that Aces laptops (Model No. RX100) were "...available at S $666 each for customers who paid by PayPal, Next day delivery guaranteed..." at its online store. Max saw the advertisement and immediately placed an order for one gold-coloured laptop at its online store, making payment via his PayPal account.

The laptop was delivered the next day. On opening the box and inspecting the laptop, Max realized that it was a different model in white and different specifications. The customer service officer at Qwerty.com informed Max that there was no more stock of the original Model No. RX100. Instead, the laptop which was delivered to him was actually of a higher retail value. The officer also noted that Qwerty.com's terms and conditions (as stated on its website) stated that the store "reserves the right to substitute products".

Max argued that he did not read the online terms and conditions; he had simply clicked "Agree" during the payment process. He wanted a full refund but Qwerty.com refused.

He has come to you for advice.

(a) Explain to Max whether Qwerty.com is legally obliged to deliver one gold-coloured laptop (Model No. RX100) or alternatively, offer him a full refund. In your analysis, you should determine whether the four (4) key elements of a valid contract were present. Where appropriate, cite case law and the relevant statutory provisions to support your analysis.

(b) In the event that Max is not able to resolve the matter with Qwerty.com, evaluate and describe one (1) recommended course of action that he could take.

Support your recommendation with reasons.

Reference no: EM131184356

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