Dimmeys Stores Pty Ltd has provided court-enforceable undertakings to the Australian Competition and Consumer Commission after concerns had been raised over potentially misleading refund signs in Townsville, North Queensland.
The signs in question stated in effect that Dimmeys would not provide refunds on ladies' lingerie, swimwear, bras and briefs.
The ACCC was concerned that these signs may have misled consumers about their rights provided under the Trade Practices Act 1974. The Act generally provides that consumers are entitled to goods that:
- are free from defects and are of merchantable quality;
- are fit for their purpose made known to the seller; and
- match the sample or description given to the consumer.
Where these conditions are not met consumers are entitled to appropriate remedies which may include refunds. To state that refunds would not be given on these items may have misled consumers.
Dimmeys has removed the signs in question and will print corrective advertising in a Townsville newspaper. The undertakings provided by Dimmeys also require the implementation of a trade practices compliance program that will be designed to put in place procedures and training to help avoid problems in the future.
"The undertakings provided by Dimmeys are regarded by the ACCC as a positive step in consumer protection", ACCC Chairman, Professor Allan Fels, said today.
"The actions taken by the ACCC's smaller regional offices such as the North Queensland office provide a real presence for consumers and businesses in regional Australia".
Further information regarding statutory rights of consumers is set out in the ACCC publication 'Warranties and Refunds', which is available free of charge from all ACCC offices or alternatively from the ACCC website, http://www.accc.gov.au.