Egghead in damn DRAM jam

What's honour among retailers?

By Linda Harrison in New York • Get more from this author

Posted in Music and Media, 20th October 2000 16:29 GMT

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Egghead.com is facing legal action after cancelling orders for wrongly priced memory modules on its site.

Thousands of orders were placed by punters eager to cash in on the DRAM modules offered at $34.85 - instead of the correct price of $335.

When the Seattle-based e-tailer, which sells IT kit including software, printers and computer components, realised what had happened it cancelled the orders.

But customers feel peeved at the way they were treated by the company, and are considering a lawsuit against it, CNET reported. Whereas a few of them received a $50 gift certificate for the mistake, Egghead has not yet decided whether or not to compensate every person that complained about not getting their promised modules.

According to Egghead, it clearly states on its site that it has the right to cancel orders if it prices items wrongly.

But Egghead should get ready for a fight - last year Argos customers got narked when the UK high street retailer refused to honour a £3 TV offer on its site. The wrong price went up by accident, causing a flood of orders - and often multiple orders from e-shoppers -for the TV which normally retailed at £299.99.

And just last week Buy.com agreed to cough up $575,000 to settle a court dispute over a wrongly priced monitor on its site. ®