Invoice differs from estimate

[Robad]

Hi,

We employed a heating company to replace our boiler. Before the work they supplied 2 estimates where they appear to have added the VAT incorrectly - they added £171 rather than the £717 written on the estimate, so the total is wrong. We didn't notice this at the time but obviously compared estimates from others.

We accepted the estimate and paid 50% (of the erroneous total) up front.

Now the work is complete the final invoice has the 'correct' total, with the outstanding amount now £546 more than the remaining 50% we were expecting. There is no mention of or explanation of the difference.

Can you advise on whether we must pay the final invoice?

Thanks,

Rob

[Sapphire]

Re: Invoice differs from estimate

I would say yes, I think they would argue the first invoices were 'estimates' and not a final invoice.

[Robad]

Re: Invoice differs from estimate

I would agree with that initially. Except, if your invoice was £546 higher than the estimate wouldn't you expect an explanation? They are not claiming their estimate was wrong, i.e. that the work wasn't as expected.

[labman]

Re: Invoice differs from estimate

Getting Quotes and Estimates: The Basics
To find out how much a job will cost before you agree to it, ask for a quote or an estimate. There is a difference between the two, however.
An estimate is how much the contractor thinks the job will cost. The actual price may be more or less, but it shouldn’t be too much more, and it will only rarely be less!
A quote is an offer to do a job for an exact price. If you accept the quote then the contractor can’t charge you more than the agreed price. It is best to get the quote in writing in case there are any problems later.

[Robad]

Re: Invoice differs from estimate

I do understand the basics guys.

I accept the estimate verses quote verses invoice debate. But is that the end of the matter? Is there no code of practise saying an estimate should add up correctly? Isn't it rather misleading to give an incorrect total on an estimate?

[labman]

Re: Invoice differs from estimate

This states the law:

http://www.adviceguide.org.uk/index/c_services.pdf

It may give you an argument to lower the final price charged, but I would go in thinking anything you get back would be a bonus.

[Sparkie1723]

Re: Invoice differs from estimate

I agree with Labman
Having been in business before I retired what I can say....... there is a difference between an "Estimate" and a "Quote"
An estimate is what it is ........the nearest possible cost that can be arrived at without actual costing..........most business in most areas of work as you mention are reluctant to give quotes.....unless they have carried out EXACTLY the sames work previously.

Business's can suffer a real loss if they give a qoute ....for reason a "quote" is a legal price contract given...........if their costs rise after giving the QUOTE they cannot change that quote........they can change an estimate.

I was in the auto electrical business and got caught out on quotes I had given.....not know a price to me for say an alternator had gone up........I had to honour my quote and lost money.........that's the luck of the draw..............but I'd given a quoted price and had to stand by it.

Try not to work on estimates allways try and obtain a quote ...you stand a much better chance of it being upheld if it comes to argument

Hope this helps


Sparkie

[Robad]

Re: Invoice differs from estimate

Thanks for the info. I was expecting anything to be a bonus but hoped there might be some law on my side.

But no-one has actually commented on the fact that the estimates and invoice agree - except in the total. Each has two entries for "material and labour" plus two corresponding entries for VAT. But in the estimates they have obviously added the four values up wrongly, whereas on the invoice they have not.

We did compare the estimates with others that were similar and felt, for the price, this company was preferred. But if the correct total had been on the estimate we would probably have gone elsewhere.

Whose fault is it that there was an error on the two estimates? Mine or the plumber's?

[labman]

Re: Invoice differs from estimate

I would argue that is unfair. Clearly it is the plumbers fault.

Whose fault is it that a quote was not sought as opposed to an estimate, yours or the plumbers?

I think that's what you'll find yourself arguing against and I think you can use the link I posted along with the written quotation to try and negotiate a reduction, and hope you get something off.

[alsagerman]

Re: Invoice differs from estimate

You may well feel a little agrieved at having to pay more than you thought but this seems nothing more than a genuine typing error to me. This does happen from time to time, not really a hanging offence as we are all prone to it. A shop, for example, is not obliged to sell a product that has been incorrectly (lower than it should be) priced.

[teaboy2]

Re: Invoice differs from estimate

Have you actually pointed out the mistake to the plumber stating you only agreed to hiring him/her as a result of the estimate and you view the huge difference as possible misrepresentation on their part. But would be willing to settle at 50% of what they say is remaining? Its always worth a shot to try settling the matter amicable as most will take into account their error when they are made aware of it and would likely prefer to settle then not get anything at all or risk going to court.

If anything this was probably an innocent mistake by the plumber. For example, we all know how easy it is to mistake a 7 for a 1 when the sun is reflecting of the calculators screen. And the plumber will likely be embaressed by their mistake too.