Retail law a boon to consumers


Shoppers should find it easier to return faulty goods bought at sales this year after changes to consumer laws came into effect on January 1.  

The Australian Consumer Law - a new national law that replaces individual state consumer legislation - is geared to provide greater protection for buyers when products are faulty, break or don't fulfil their stated purpose.

Among the biggest reforms for Victorians is the right to insist that a retailer resolve a problem with a product, rather than referring the customer to the manufacturer, and protection against multiple pricing practices. Under the changes, if a product has two price tags the retailer must sell it at the lower price or withdraw it from sale.  


The legislation makes clear consumer rights relating to the return of sale items. Goods purchased on sale that prove to be faulty are protected by the same guarantees as full-price items.

Spokesman for consumer group Choice, Christopher Zinn, said confusion around faults and warranties generated more complaints than almost any other area of consumer law and was estimated to cost Australians $12 billion annually.    

In the past year, Consumer Affairs Victoria received more than 28,000 complaints about warranties and faulty goods.    

Australian Retail Association executive director Russell Zimmerman said retailers would no longer get away with putting up a sign saying they do not offer refunds on sale goods. ''That is quite illegal,'' he said.

''If somebody comes in and they buy something on sale and then changes their mind, the retailer has the right to say 'I'm sorry I don't have to do anything for you', but if it is faulty [consumers] have exactly the same rights as if it was full price.''

Consumer groups have said the new national law does not go far enough. Consumer Action Law Centre policy officer Nicole Rich said much of the new law was simply a re-writing of existing state legislation and would do little to increase trader compliance. Many of the law's provisions were modelled on protections available under the Victorian Fair Trade Act.  

But Mr Zinn said he hoped the new system would improve consumers' and retailers' understanding of what their rights and responsibilities were.

''Education needs to take place; there has been a hundred years of confusion.''

Nationally, about 50,000 complaints about warranties are lodged with consumer agencies each year, one-third of which are about white goods, electronics and mobile phones.  

''Before we had statutory warranties and then there were manufacturers' warranties, and there was confusion about what warranties meant. From January 1, all things are covered by a consumer guarantee,'' Mr Zinn said.

The Australian Retail Association said early January was the busiest time of year for product returns and exchanges.

codswal wrote on Jan 14^th, 2011 at 2:42pm:


I couldnt tell you of anyone who has had a LEGITIMATE warranty claim rejected. There are people who want warranty repair or replacement on 5 year old appliances!

longweekend58 wrote on Jan 14^th, 2011 at 4:34pm:


And rightly so, if they have a 5 year warranty.

Well did anyone see that old couple on Today Tonight that got ripped off buying 2nd hand Winner Baggo mobile home that broke a timing belt and stuffed up the engine. Guess what ?? The so called BS 5 year extended warranty wouldn't cover it

codswal wrote on Jan 14^th, 2011 at 4:48pm:



ugh how bad is that...we wouldnt know the half of it.. when are the retailers going to get a law to protect them..fancy handling someones underwear thats been worn.. maybe their should be a no refund on some items.. sorry crook.. but why should I risk buying undies that have been worn and taken back for a refund because of some legislation.. [/quote]

Don't worry too much about it cods...if there is ANY doubt, it's written off for the insurance or tax breaks...
Most of the stuff 'returned' never makes it back to the shelves

The trouble for me is NOT in the returning of goods.  More so  in all the waiting time and the extra run around YOU as a customer has to do to get it repaired.
Cheap goods from stores Like Kmart and no trouble at all. BUT white goods and mobiles are a pain in the @ss.

codswal wrote on Jan 14^th, 2011 at 4:48pm:



ugh how bad is that...we wouldnt know the half of it.. when are the retailers going to get a law to protect them..fancy handling someones underwear thats been worn.. maybe their should be a no refund on some items.. sorry crook.. but why should I risk buying undies that have been worn and taken back for a refund because of some legislation.. [/quote]

You cannot return underwear for what must be pretty obvious reasons.

longweekend58 wrote on Jan 14^th, 2011 at 6:14pm:


You cannot return underwear for what must be pretty obvious reasons. [/quote]

Don't panic about it...clothing is almost NEVER recycled, or resold...
For just the very reasons you have mentioned...