Almost Denied at Kroger yesterday

Wow. This topic just leads me to more questions.

1. What can one actually do if you're refused the ability to buy a product that is advertised? Sue? I.e. what is the consumer's recourse?

2. I don't see how any reasonable consumer could not conceive that a product advertised with a price next to it is not an offer to sell. I'd say false advertising if they claim otherwise.

3. I'm still wondering about the right to refuse service to anyone. Couldn't a store always claim that, and say, well, it is only intended for home use and not for resalers, and so we choose to refuse service to you because you are a resaler? I think I might be on Kroger's side if that is their explanation (assuming it is legal, which I kind of suspect it is).

4. I guess I'm mostly concerned about the false advertising aspects here....



Well, whatever. I think we've pretty much beaten this issue to death...

Cheers,

I'll try to collapse your questions into a couple of concise answers...

Many ads for products are not considered offers to purchase; they are generally interpreted as invitations to the public to come and purchase the goods in question -- the rationale being that IF all ads were construed as contractual offers, then the merchant would be the offeror and the consuming public the offeree...if a merchant were to sell-out of a product he advertised (e.g., Pepsi-Cola), then subsequent consumers coming into the store seeking to buy Pepsi and finding none available could seek action against the merchant for breach of contract (i.e., he offered to sell Pepsi for $X, but had none)...the huge potential for liability on the merchant would be too great....BUT, if the merchant advertises to sell a product and limits the number of items for sale, or specifies the manner in which they are to be sold ("First Come, First Served"), then it comes closer to being an offer, and a refusal by the merchant to sell to a customer who has met the specific terms of the ad may constitute a breach....

...false advertising usually comes into play when a merchant represents an item to be something that it in fact is not...generally, there has to be a misrepresentation of a material fact which the merchant makes with "scienter" (a knowledge that it is false) and with the expectation that consumers will resonably rely upon such a misrepresentation -- and they do in fact rely on the misrepresentation and purhcase the item advertised....it comes very close to fraud.

So, without putting a "limited to" notation on their ad can Kroger legally limit the amount of the purchase?

Well...shut my mouth. Looks like I mis-remembered my contracts law class. I did a little research and yes, it appears that in the retail context, the customer is the one who makes the offer to buy, and it is up to the shopkeeper to accept that offer. Ridiculous, I know. But the theory is that otherwise, when the customer picks up the item from the shelf, s/he has accepted the offer to sell. Thanks for correcting me!

(See, I'm not one of those arrogant lawyers who can't admit making a mistake.)

DISCLAIMER - Also a lawyer.

Sherry, I was going to gently correct you, but noticed that you corrected yourself. The theory behind this, generally, is that otherwise every advertisement would create a contract. This could lead to all kinds of breaches, etc. I can't place it, but I do remember a specific case from contracts where the consumer sued for breach of contract for a vendor not honoring a magazine advertisement. Consumer lost. Beyond creating tons of contracts, if a vendor advertised a specific product at a specific price, and then ran out of that product, or market issues made it impossible for him to sell at that price, he would be subject to damages for breach of contract. In the context of Kroger, this type of reasoning seems ridiculous (i.e., I'm not going to haul Kroger into small claims court), but when you think of the damage to small businesses, it could be a big deal.

Well, I should have read the whole thread. It looks like John Greenup beat me to the punch.

So, without putting a "limited to" notation on their ad can Kroger legally limit the amount of the purchase?

Well...if all Kroger does is advertise an item and a price (e.g., Pepsi-Cola $3.00 per case), yes they can set a purchase limit if someone comes in and attempts to buy a cart load of cases, because the ad constitutes little more than an invitation to come into the store and purchase the item...and if Kroger wants to withdraw it, they probably can....BUT if the ad is very specific as to the terms/quantity of purchase -- e.g., "Monday Special! 12oz. Pepsi-Cola for $3.00/case! First-come, first-served! We're selling all we have today at this special price...etc.", or words to that effect, then it comes closer to being a specific offer, and one person could (conceivably) come in and clean them out of their entire stock....

OIC
Thanks John.

I really can't believe that this created ANY sympathy for Kroger. I appreciate the lawyers posting the law, but Todd did NOTHING wrong. He is under NO obligation to reveal what he is going to use any product for. I have been denied the sale price on milk before, because I would buy 12 gallons at a time when it was on sale. This is a two week supply in my house. I used to work for a wholesaler and Kroger sells milk at a loss. Is it fair to deny me? NO
Kroger was wrong in trying to deny Todd the sale. I believe this was the decision of the individual store pointed directly at you. They probably knew who you were.
To ease the minds of the bleeding hearts, most manufacturers offer deep discounts for their product to be featured in an ad. You will rarely see a Pepsi and Coke advertised in the same weekly ad. Kroger most likely broke even or made money on the Pepsi. The store managers don't understand that the more product they sell, the deeper the discount.

One more thought...
I regularly purchase multiple turkeys at Thanksgiving to donate to my church. I watch the ads and purchase the best deal. Last year that "Deal" was from Aldi. Aldi told me they would lose money, but actually ordered more product in to take care of me, the customer. They did have a posted limit of 2, but allowed me to purchase 20. I have done this for softball concessions and other church events as well with different retailers. If I were Todd, where would I do my regular shopping going forward?

Kroger has no problem beating up their vendors and asking for free product or steep discounts when they want to do something. They are no victim here.

Pepsi 2 liters are .79 when you buy 10 this week at Kroger....

Is the only reason some people don't have a problem with this is because it's Kroger?

Is the only reason some people don't have a problem with this is because it's Kroger?

That is not true for me. I don't have a problem with Todd buying the product from Kroger because they are a store.
How about relating this back to the restaurant business? Would you kick another restaurant owner out of your restaurant who came in to dine? Of course not! But they might use one of your menu ideas at their restaurant.
Give me a break! The guy went to the store and bought a bunch of 2 liters. I guess Todd shouldn't honor his sale prices to any Kroger employees.

Pepsi 2 liters are .79 when you buy 10 this week at Kroger....

And if I decide to go back this week, I'll be sure not to tell anyone on here about it!

If you would not be known to do a thing, never do it. ~Emerson

Pepsi 2 liters are .79 when you buy 10 this week at Kroger....

lol.....

Pepsi 2 liters are .79 when you buy 10 this week at Kroger....

And if I decide to go back this week, I'll be sure not to tell anyone on here about it!

actually, you should try it at the same store to see what happens.....

Pepsi 2 liters are .79 when you buy 10 this week at Kroger....

Big K sodas are always that cheap, aren't they? I still don't understand why people buy name-brand sugar water....(but yes, they do, so for resale you've gotta go along with it). I've always been amazed at the power of advertising and marketing. Sorry, didn't mean to go too far off topic.