While much has been done in recent years to strengthen consumer laws and educate buyers and suppliers, there remains a fair amount of confusion on both sides of the fence on how to deal with complaints around substandard goods and services.

Say you buy a product that appears dodgy – who’s responsible? The supplier, the manufacturer, or both? What’s the best way to approach getting your problems resolved? What options do you have if you don’t get a satisfactory response? You know, as a consumer, you’re entitled to products or services that are “fit for purpose” – but what does that actually mean? And, those “extended warranties” the salesperson hits you up for, are they worth it?

Consumer rights are protected in New Zealand by several pieces of legislation; however, the main players are the Fair Trading Act 1986 and the Consumer Guarantees Act 1993.

The Consumer Guarantees Act deals with goods or services that are normally bought for household, domestic or personal use – business-to-business transactions tend to fall under the Fair Trading Act. For example, if the office printer dies before its time, any claim would likely need to be made under the Fair Trading Act. In cases where the near-new household washing machine springs a leak, you’re looking at a complaint under the Consumer Guarantees Act.

The Consumer Guarantees Act provides what we call “implied mandatory guarantees” – forgive the legal lingo. It simply means, as a consumer, you can take it as a given that the seller has the right to sell the goods, and that the product comes with an automatic quality guarantee, including being safe, durable and reasonably priced, it lives up to any product description, and it’s “fit for purpose”.

The term “fit for purpose” is bandied around a lot, but what does it mean? There’s actually no cut-and-dried, across-the-board answer, unfortunately. What the law calls for, though, is that any product or service be of a standard that the seller claims it to be, or that the consumer has specifically asked for. In other words, if a seller claims a product provides a certain benefit, then that benefit must be provided. Similarly, if a consumer specifically requests a product that achieves a certain end, and it doesn’t, then the buyer likely has a claim.

So, your online purchase is dead, or dying. What to do and where to start?

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When it comes to protecting your rights as a consumer, knowledge of the legal fundamentals really is one of the best resources you can have in your toolkit.

Feedback, comments and questions are always welcomed – please feel free to e-mail me on [email protected]

T: 03 443 0900

W: www.aspiringlaw.co.nz

John Mezger specialises in business, employment and immigration law at Aspiring Law.

Please remember, this information is designed as a general guide, and should not replace specific legal advice on a particular issue.