The International Widget Co has approached you seeking advice. It is currently embroiled in a dispute with one of its regular trading partners. As a result of spilling Orange Crush on his keyboard, the trading partner's Purchasing Officer accidentally ordered 700 widgets, instead of the usual monthly 70. Figuring that the extraordinary order would not be processed, he did not bother informing International Widget about the mistake. Relying on the accuracy of the order, International Widget bought supplies necessary to make 700 widgets. The trading partner refuses to carry out the transaction. Assuming the relevant jurisdiction follows the approach adopted by Canadian statutes that deal with electronic commerce, which of the following is most likely TRUE?

Question

Quizplus · Accepted Answer

Under Canadian electronic commerce statutes, a party is generally bound by an electronic order unless they can prove that the error was not their fault or that they took reasonable steps to prevent or correct the error. Since the Purchasing Officer did not inform International Widget of the mistake, the trading partner is likely bound by the order.

The International Widget Co Has Approached You Seeking Advice