02 breaking contract law

[Anonymous]

When my current phone stopped recieving texts I decided to upgrade to the iphone 4 32GB. After speaking to the upgrade dept they offered me a 2 yr contract with iphone4 and said the cost of the phone was £119, I thought this was great and asked if it was definately the 32GB version which they confirmed it was.
When the phone arrived it was the 16GB version so I phoned to get this sorted, Aparently I have to send the phone back to cancel the contract and then renegotiate a deal, but they couldn't promise I would get the same deal and may have to pay more as they state their computer says I should have the 16GB phone.
I pointed out that I had made a contract with them and they have broken the contract by not providing what we had agreed on, I also recommended they check the phone recordings for proof.
They then came back with the excuse that all calls made at the weekend are taken by a third party support dept that doesn't record it's calls (Sounds like an excuse to back out of the contract), and.... yep you guessed it, I have to send the phone back to cancel the contract and then renegotiate a deal, but they couldn't promise I would get the same deal and may have to pay more.
As returning the phone will cancel the contract I assume I will no longer have any legal standpoint.
Can anyone please help advise on this situation.
Thanks in advance

[Anonymous]

Well you have now been made aware that you get to return your phone within 14 days, so if you keep hold of it, then their is almost no chance of returning it.
The call will more than likely have been recorded, from what they said to you regarding the recording it sounds as though it may have been done by the upgrades department who work for o2 through a contractor.
Even if they have recorded the call, I don't think they are legally obliged to offer you the 32GB.
I think you best bet would be to write a letter or an email to o2 about this though.

When you say 14 days, what can you do in the 14 days, like can you take it out of the packaging, can you feel it to see if you like the feel of it, can you use it, or do you have to just look at it and imagine what it might be like to use it, because i was told, once you break the package seals, you have started the contract, i got a phone for my daughter but she didn,t like it, so i sent it back within the 14 days, and was billed for the whole year, £420, what do you think ? john.

[Anonymous]

Well you have now been made aware that you get to return your phone within 14 days, so if you keep hold of it, then their is almost no chance of returning it.
The call will more than likely have been recorded, from what they said to you regarding the recording it sounds as though it may have been done by the upgrades department who work for o2 through a contractor.
Even if they have recorded the call, I don't think they are legally obliged to offer you the 32GB.
I think you best bet would be to write a letter or an email to o2 about this though.

When you say 14 days, what can you do in the 14 days, like can you take it out of the packaging, can you feel it to see if you like the feel of it, can you use it, or do you have to just look at it and imagine what it might be like to use it, because i was told, once you break the package seals, you have started the contract, i got a phone for my daughter but she didn,t like it, so i sent it back within the 14 days, and was billed for the whole year, £420, what do you think ? john.

You are allowed to use the handset and take it out of it's packaging as long as you took it over the phone.
Did you cancel your contract with o2 afterwards you sent her handset back? It sound's as though they accidently cancelled it with termination fees.