Harvey Norman Franchisee Smacked With $52,000 Fine By The ACCC

Harvey Norman Franchisee Smacked With $52,000 Fine By The ACCC

Harvey Norman Superstore Bundall in Queensland has been ordered to pay $52,000 by the Australian Competition and Consumer Commission (ACCC) for false or misleading representations regarding consumer guarantee rights.

The Court ruled that sales representatives made 10 false or misleading representations concerning the existence, exclusion or effect of a guarantee or right.

The sales representatives claimed they had no obligation to provide a remedy and that the customer would need to pursue the manufacturer’s warranty directly with the manufacturer; secondly the store claimed it could not assist further unless the consumer paid for some or all of the cost of the repair.

This conduct continued over a longer period, more staff members were involved and Bunavit’s turnover and profit were substantially higher than those of the other offending companies.  However, unlike some of the other cases, none of Bunavit’s senior staff were involved.

ACCC acting chair Dr Michael Schaper said in his ruling said the penalty is a reminder to Australian businesses to not misled customers: “Products sold in Australia come with a consumer guarantee under the Australian Consumer Law that they will be of acceptable quality.  Faulty products must be repaired, replaced, or a refund must be provided by the retailer.

“Businesses are expected to take appropriate and effective steps to ensure that their staff understand the rights of consumers and the obligations of businesses under the consumer guarantees provided by the Australian Consumer Law.”

The ACCC has now obtained penalty orders totalling $286,000 against 10 Harvey Norman franchisees for false or misleading representations regarding consumer guarantees.




Please login with linkedin to comment

glamour magazine MAD Week 2014

Latest News

The Mars Agency Announces Latest Findings Of Retail Media Report Card
  • Advertising

The Mars Agency Announces Latest Findings Of Retail Media Report Card

The Mars Agency has developed a scorecard that assesses the capabilities of leading platforms across key criteria required to optimally plan, execute, and measure effective retail media programs. The scorecard aims To help brands efficiently evaluate their spending options across retail media networks in Australia (and New Zealand). With spending on retail media advertising in […]

TV Ratings (27/03/2024): Jungle Members At War Over Concealed Lipstick
  • TV Ratings

TV Ratings (27/03/2024): Jungle Members At War Over Concealed Lipstick

A heated argument between two jungle members did the numbers for Ten last night, with I’m A Celeb obtaining a total national reach of 1,282,000. Fans were delighted as Candice Warner and influencer Skye Wheatley got into it over a stick of lipstick, leading Warner to dub the Instagram star “selfish.” Wheatley, best known for […]