As consumers are becoming increasingly aware of their rights, their requests to sellers for remedies or compensation are also increasing. To be able to provide the best possible after-sales service and avoid unnecessary hassle and negative advertising, traders need to make sure that they are well informed of their legal obligations.
When sellers offer goods for sale to consumers, there are specific obligations they must abide by. In the first instance, goods being sold must conform with the description and specifications provided to the consumer in the contract of sale. Furthermore, goods sold must be fit for the purpose for which consumers require them. It is, however, the consumers’ responsibility to clearly communicate with the trader why the good is required and what it will be used for. Goods sold should also be fit for all their normal purposes, in other words, perform the functions that similar products do.
If goods sold do not meet these requirements, traders are legally obliged to provide consumers with a free remedy. The Consumer Affairs Act clearly specifies the type of remedies that must be provided. Firstly, non-conforming or defective goods must be repaired or replaced. When neither of these two remedies is possible, or if opted for may cause consumers a significant inconvenience, then the law gives consumers the right to request a partial or full refund. However, the latter remedy cannot be requested if the lack of conformity is minor or insignificant.
These legal obligations apply if the lack of conformity becomes apparent within two years from the delivery of the goods. However, within two months of noticing a problem with the goods, consumers have the legal responsibility to notify the trader in writing.
Sellers of goods must also be aware that if goods turn out to be faulty within the first six months from the date of purchase, the goods are considered to have been faulty at the time they were sold. If the seller believes that the damage in the goods is the result of misuse or an accident, then the seller must provide proof.
In cases where the good develops a fault after it would have been in the consumer’s possession for more than six months, the latter can still ask the trader to provide a free remedy but the consumer may need to submit proof that the goods were faulty at the time of purchase.
The legal remedies stipulated in the Consumer Affairs Act must be provided to consumers by the seller from whom they purchased the product. Sellers cannot brush off this responsibility by telling consumers to complain with the manufacturer.
In situations where consumers are given commercial guarantees that name the manufacturer or agent as guarantor, while the latter is responsible for the commercial guarantee, the seller remains liable to providing the remedies stipulated in the Consumer Affairs Act.
Sellers are free to apply their voluntary return policies in situations where consumers change their mind or make a wrong buying decision.
It is advisable that return policies are written on receipts and explained to consumers before a sale is concluded. This is necessary to avoid misunderstandings and also to ensure that customers are treated equally.
When selling goods at reduced prices, traders must not forget that they are still obliged to provide free remedies if there is a problem with the goods sold. Sellers also have the responsibility to disclose damages of goods that are offered for sale as shop soiled or seconds.
Traders who provide services must always ensure that their services are carried out as agreed, by the agreed date and at the agreed price. When this is not the case, the trader is obliged to offer a suitable remedy to the affected consumer. Failure to provide such remedy may lead to termination of the sales agreement and to financial compensation.
To avoid losing customers and also their good reputation, traders should keep themselves informed about their responsibilities to always provide their customers the best possible service.
Odette Vella is director, Information, Education and Research Directorate, Office for Consumer Affairs, Malta Competition and Consumer Affairs Authority.