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Right of return: refunds and consumer's rights

Kate Haycock- 30/01/2008 12:08:15

Consumer's rights - when you are entitled to a refund, when you are not, and what you can do to pursue your rights.

Have you ever bought something that broke down, or turned out to be nothing like the picture on the box, or was something you just really didn't want? And have you tried to take it back? Was it easy, or did it turn into a trial? Was the retailer helpful and understanding, or difficult and unaccommodating?

Some retailers have signs up saying 'no refunds', while others will take a product back no questions asked. So what really are our rights as consumers when it comes to returning products?

Your statutory rights

In Australia, state and federal legislation, the Trade Practises Act and each state's fair trading laws, says that when you buy something from a retailer or trader, you essentially enter into a contract with that trader that gives you, as a consumer, certain rights and guarantees. These are referred to as your statutory rights, and they cannot be excluded, limited, or changed in any way by a retailer or trader.

Fair trading laws are slightly different in each state, but your rights are essentially the same everywhere in Australia. They are: that any product you purchased will be yours entirely; that the product will be of merchantable quality, and fit for its purpose; that any goods bought will match the description or sample; and that a product will be free from hidden defects.

If the product you have purchased does not meet any of these standards, then you are entitled to return the product and receive a refund.

If the product does meet these standards then you are not legally entitled to a refund. So if you change your mind about a product, or you realise you can't afford it, or it turns out to be too big or too small, or you bought a blue one but now you'd like it in brown, or you bought it as a gift for your uncle but he's already got one, then you must rely on the discretion of the retailer as to whether or not you can get a refund or exchange.

To claim a refund, you should return the goods within a reasonable timeframe, and you should not dispose of or destroy the goods or damage them further. You will also need to provide proof of purchase, such as the store?s receipt or credit card receipt, and, of course, give details of how the product is defective or unsuitable.

Confused? Let's have a closer look, via questions and answers, at what these rights mean for you.

Page 1 of 3  Next - Questions and answers to some common consumer problems  

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In this article

• Right of return: refunds and consumer's rights
• Questions and answers to some common consumer problems
• Grey areas