Is a company bound by a verbal quote?
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Is a company bound by a verbal quote?
I recently received a verbal quote on the phone from a reputable and very niche company who have expertise to fix a particular old machine I have including a timescale of when they could do this by. I asked for the company to send me a contract for consideration. When I received the contract they had increased the price significantly. I
crossed out the increased price and wrote the original quoted phone price and signed and sent back the contract. The firm is saying that they will not do the work for the original quoted amount as upon review of the work they decided this was insufficient. I am at the behest of this company as they are practically to only ones who can fix my machine, however I feel that a contract was set when they verbally offered me the quote on the phone. Can I hold them to this?
Asked on May 30, 2017 under Business Law, Maryland
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 6 years ago | Contributor
No, an oral (that is the correct term, not "verbal") quote is not binding, since the quote by itself does not form a contract (it lacks sufficient details and terms to form an enforceable contract, among other deficiencies). The company is not held to the over-the-phone quote.
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