Owners of faulty JVC branded televisions bought from Dick Smith prior to administration found themselves with no way to get a repair, replacement or refund.
Following a string of complaints to the ACCC, Yale Prima — the manufacturer responsible for the 12 month warranties on the products, has now agreed to offer full refunds to customers who purchased an unrepairable TV before 5 January 2016.
"Under the Australian Consumer Laws (ACL) consumer guarantee provisions, a consumer has rights against both the retailer and the manufacturer of faulty goods," ACCC Chairman Rod Sims said.
"When a retail business ceases trading, it is important that consumers are able to turn to the manufacturer for remedies, and it is equally important that manufacturers recognise their ongoing ACL obligations."
For several weeks, Yale Prima referred all customer enquiries back to Ferrier Hodgson as the receiver for Dick Smith, despite its own ongoing ACL obligations. From 1 April 2016, Yale Prima offered a partial refund in place of the full refund promised in the manufacturer's warranty.
Any consumer who purchased a faulty JVC branded television from Dick Smith and has not been able to resolve the issue should contact:
Consumer guarantees apply for goods or services that cost under $40,000 or over $40,000 if they are normally bought for personal or household use. One important guarantee is that products supplied by businesses to consumers must be of acceptable quality.
Australian Consumer laws state that if a product is not of acceptable quality, consumers can seek a repair, replacement or refund from the retailer.
If a product is not of acceptable quality, and the retailer that the consumer purchased the item from has ceased trading or otherwise does not comply with the guarantee, consumers can seek damages from the manufacturer.