ACCA · Question 47 · Syllabus B: The law of obligations
Scenario: QuantumLeap AI Ltd, a tech startup, advertised a new software tool on their website for £50 (a pricing error, should be £500). Zephyr Corp ordered 10 copies. QuantumLeap realized the error and refused to supply. Later, QuantumLeap contracted with DataForge to build a server by 1 May. DataForge finished on 1 June, causing QuantumLeap to lose a lucrative government contract they hadn't told DataForge about.
Assume QuantumLeap had sent an automated email stating 'Order Confirmed and Dispatched'. What would be the legal effect?
Answer options:
It would constitute acceptance of Zephyr Corp's offer, creating a binding contract.
It would be a counter-offer by QuantumLeap.
It would have no legal effect as automated emails cannot form contracts.
It would merely be an acknowledgment of receipt, not acceptance.
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