Assume you ordered two Bose speakers for your home theater system from Sound Tec
ID: 422049 • Letter: A
Question
Assume you ordered two Bose speakers for your home theater system from Sound Technologies, Inc. in New York. Sound Technologies shipped the speakers to you via UPS, C.O.D. (collect on delivery). You did not agree to a C.O.D. shipment of the speakers. When the speakers arrived, you refused to accept them because you were not able to inspect them before payment. Sound Technologies claimed that it had shipped conforming goods and that you breached the contract.
who delivers products on a COD basis? And, depending on where you are picking up the product (or if it is being personally delivered), are you actually given time to try out a product. Or do you just have to pay for it and then ask for a refund later?
Explanation / Answer
In an online transaction, the sales contract between the buyer and seller is formed, the moment buyer agrees to the specifications as quoted by the seller and consents to pay the requisite money in exchange of the said goods. The payment of money can be either through online financial transaction or collect on delivery method. There is no other method that can make the payment possible over a distance. In this case, the buyer assumed the goods to be exactly of the same specifications as described by the seller, hence agreed to pay the price in exchange of goods. By ordering the item, the buyer enters into a contract and is liable to pay for it, either through COD or otherwise. However, on delivery,if he finds the goods not conforming to the specifications as described by the seller, he can ask for refund of money as now the breach of contract lies with seller who furnished false information to sell the goods.
As a special feature of this type of trade, the contract is formed on the basis of belief in other party's commitment, the product quality and conformance to specification on the part of seller, and the assurance of payment on the part of buyer.
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