Published Thursday, 18 September, 2008 at 08:54 AM
Attorney-General and Minister for Justice and Minister Assisting the Premier in Western Queensland
The Honourable Kerry Shine
No excuse for ‘no refunds’ signs
A nationwide survey of "no refund" signs in fashion and clothing stores has found that, on average, Queensland retailers are better at informing customers of their legal refund rights.
Attorney-General and Minister for Justice Kerry Shine announced today that about 82 per cent of the retailers checked in Queensland had the right signs and policies on display, compared with about 72 per cent across Australia.
"The Office of Fair Trading took part in a national survey of 349 small to medium sized retailers to see how many promoted refund policies that fell short of consumers' minimum rights," Mr Shine said.
"Queensland investigators spot checked 40 retailers, five of which were found to have incorrect refund signs and two with incorrect refund store policies.
Seven stores were given formal warnings, and they will be checked again to ensure they have corrected the problem.
"This result is pleasing as it clearly demonstrates that most retailers are getting the message about doing the right thing by their customers and the law.”
Mr Shine said as well as the nationwide survey, Fair Trading officers also checked 66 retail outlets since 1 July 2008 as part of their regular program of ongoing compliance checks.
“Of those 66 checks, compliance officers issued six warnings for non-compliant refund signage," he said.
"These spot checks ensure traders are abiding by refund and business laws, and encourage traders to do the right thing by displaying correct refund signage."
Mr Shine said refund notices should not mislead customers into thinking they had no right to claim a refund.
"Signs with statements such as 'No Refund' or 'No Refund on Sale Items' are illegal," he said.
"It is important that consumers understand their refund rights and responsibilities, so they know what to expect when they're out shopping.
“Even if the goods are on special, you have the right to ask for a refund if they have a fault you could not have known about at the time of purchase.
“If you buy an item that has been discounted because it is damaged, you should be informed of this at the time you purchase it.
“If an item is marked as 'damaged' or 'as-is', you are accepting the product in that condition, and if you find it’s faulty when you get home you may not be entitled to a refund.”
Mr Shine said consumers were not entitled to a refund if they changed their mind, chose the wrong size or colour, found the same item cheaper elsewhere or if they bought a gift the receiver did not want or need.
“Some stores will refund an item whatever the reason as a gesture of goodwill, even though consumers may not be legally entitled to a refund," he said.
"Other stores will give refunds only if they are legally obliged to do so.
“It certainly pays to ask about store policies before buying goods."
For more information on your refund rights visit www.fairtrading.qld.gov.au to download a free copy of How to be Consumerwise.
Media Contact: Kate Lennox 3224 7481 or 0421 127 869.
Attorney-General and Minister for Justice Kerry Shine announced today that about 82 per cent of the retailers checked in Queensland had the right signs and policies on display, compared with about 72 per cent across Australia.
"The Office of Fair Trading took part in a national survey of 349 small to medium sized retailers to see how many promoted refund policies that fell short of consumers' minimum rights," Mr Shine said.
"Queensland investigators spot checked 40 retailers, five of which were found to have incorrect refund signs and two with incorrect refund store policies.
Seven stores were given formal warnings, and they will be checked again to ensure they have corrected the problem.
"This result is pleasing as it clearly demonstrates that most retailers are getting the message about doing the right thing by their customers and the law.”
Mr Shine said as well as the nationwide survey, Fair Trading officers also checked 66 retail outlets since 1 July 2008 as part of their regular program of ongoing compliance checks.
“Of those 66 checks, compliance officers issued six warnings for non-compliant refund signage," he said.
"These spot checks ensure traders are abiding by refund and business laws, and encourage traders to do the right thing by displaying correct refund signage."
Mr Shine said refund notices should not mislead customers into thinking they had no right to claim a refund.
"Signs with statements such as 'No Refund' or 'No Refund on Sale Items' are illegal," he said.
"It is important that consumers understand their refund rights and responsibilities, so they know what to expect when they're out shopping.
“Even if the goods are on special, you have the right to ask for a refund if they have a fault you could not have known about at the time of purchase.
“If you buy an item that has been discounted because it is damaged, you should be informed of this at the time you purchase it.
“If an item is marked as 'damaged' or 'as-is', you are accepting the product in that condition, and if you find it’s faulty when you get home you may not be entitled to a refund.”
Mr Shine said consumers were not entitled to a refund if they changed their mind, chose the wrong size or colour, found the same item cheaper elsewhere or if they bought a gift the receiver did not want or need.
“Some stores will refund an item whatever the reason as a gesture of goodwill, even though consumers may not be legally entitled to a refund," he said.
"Other stores will give refunds only if they are legally obliged to do so.
“It certainly pays to ask about store policies before buying goods."
For more information on your refund rights visit www.fairtrading.qld.gov.au to download a free copy of How to be Consumerwise.
Media Contact: Kate Lennox 3224 7481 or 0421 127 869.