Consumer Guarantee Act: Faulty Goods

When purchasing goods, consumers have the right to expect that they will be of acceptable quality and fit for their intended purpose. However, there are instances when consumers may encounter faulty goods that do not meet these expectations. In such cases, the Consumer Guarantee Act provides protection and remedies for consumers. This article explores the key aspects of the Consumer Guarantee Act in relation to faulty goods, highlighting consumer rights and the steps they can take to seek redress.

Understanding the Consumer Guarantee Act

The Consumer Guarantee Act is a legislation designed to protect consumers in New Zealand. It sets out the rights and responsibilities of both consumers and suppliers, ensuring that consumers are not left disadvantaged by faulty or substandard goods. Under this act, consumers have the right to:

• Goods of acceptable quality
• Goods fit for their intended purpose
• Goods that match their description
• Goods that are delivered on time

These guarantees apply to both new and used goods, and they cannot be excluded or limited by suppliers. Therefore, if a consumer purchases a product that is faulty or does not meet the guarantees, they have the right to seek a remedy.

Remedies for Faulty Goods

If a consumer discovers that the goods they have purchased are faulty, they have several options for seeking a remedy. These options include:

• Repair: The consumer can request the supplier to repair the faulty goods. The supplier is responsible for covering the cost of repairs, including any necessary parts and labor.
• Replacement: If the goods cannot be repaired or the repair would take an unreasonable amount of time, the consumer can request a replacement. The supplier must provide a replacement that is of the same type and value as the original goods.
• Refund: In some cases, the consumer may be entitled to a refund. This typically occurs when the fault is major and cannot be easily repaired or replaced. The refund should be provided in the same form of payment used for the original purchase.

It is important for consumers to note that they must act within a reasonable time frame to seek a remedy. The specific time frame may vary depending on the nature of the goods and the fault. Therefore, it is advisable for consumers to report any faults as soon as they are discovered.

Seeking Redress

If a consumer encounters faulty goods and the supplier refuses to provide a remedy, they can take further action to seek redress. This may involve lodging a complaint with the supplier’s customer service department or escalating the matter to a higher level of management. If these steps do not result in a satisfactory resolution, the consumer can consider the following options:

• Dispute resolution: Consumers can engage in dispute resolution processes, such as mediation or arbitration, to resolve the issue. These processes aim to facilitate a fair and impartial resolution between the consumer and the supplier.
• Consumer protection agencies: Consumers can seek assistance from consumer protection agencies, such as the Commerce Commission in New Zealand. These agencies can provide guidance and support in resolving disputes and enforcing consumer rights.
• Legal action: In extreme cases, consumers may need to take legal action against the supplier. This should be considered as a last resort, as it can be time-consuming and costly. However, if the consumer has suffered significant financial loss or harm due to the faulty goods, legal action may be necessary.

Summary

The Consumer Guarantee Act provides consumers with protection and remedies when they encounter faulty goods. Consumers have the right to expect goods of acceptable quality and fit for their intended purpose. If the goods do not meet these guarantees, consumers can seek a remedy, such as repair, replacement, or refund. If the supplier refuses to provide a remedy, consumers can escalate the matter through dispute resolution processes or seek assistance from consumer protection agencies. By understanding their rights and taking appropriate action, consumers can ensure that they are not left disadvantaged by faulty goods.