Consumer Authority: guarantee rights often stated incorrectly

Following an investigation, the Consumer Authority has established that many shops that sell consumer electronics restrict the guarantee rights of consumers. Over the last few months, the Consumer Authority has investigated the general terms and conditions and other documents that companies can use to communicate with their customers about their right to a high-quality product. This has taken place among 18 large retail chains that have a total of over 3800 branches in the Netherlands. The companies were selected on the basis of the quantity of reports that they make via ConsuWijzer. Bernadette van Buchem, Director of the Consumer Authority, explains: "On paper, we can see that there are many shortcomings with regard to the way in which shops communicate with their customers about their rights. If things don't add up on paper, we assume that it will be difficult for the consumer to seek legal redress." Most companies have now amended their information in accordance with the regulations. By the end of May, everything must be in order. The Consumer Authority will take enforcement action against the companies that have not amended everything. What is more, the reports will be monitored at ConsuWijzer over the coming period.

Guarantee investigation in the Netherlands

Recently the Consumer Authority has conducted an investigation into the way in which 18 large retail chains that sell consumer electronics (not necessarily as a main product) communicate with their customers about their rights in relation to guarantees and conformity. In the case of 10 companies, which have 1500 shops in total, 21 violations were established. These violations were:

• Almost half of the infringements (9) related to stating statutory rights incorrectly. For example: Company X does not grant any different or further guarantees to the goods it sells other than the warranty granted by the manufacturer to these goods. This provision wrongfully restricts the statutory rights of the consumer and only refers to the manufacturer's warranty, whilst the consumer will be entitled to a high-quality product at all times, even outside of the warranty period.
• Seven infringements related to the setting up of (cost) barriers for consumers who wish to seek legal redress by charging for standard investigation, repair and postage and packaging costs
• Five infringements related to the setting of strict conditions to the time limit and the way in which the consumer must report that the product is displaying a fault, whereas the law only prescribes that the consumer reports the fault 'within a reasonable period after discovering it'. For example: In the event that the item is not in a satisfactory condition, it may be returned within 14 days of purchase on the condition that it is unused, undamaged and in its original and undamaged packaging along with the receipt.
• Many sellers of mobile telephones state that guarantees no longer apply if moisture damage has occurred. In view of the fact that moisture damage can also fall under non-conformity, this constitutes a serious restriction of guarantee rights.

Consumer electronics are understood to include: washing machines and DVD players, but also mobile telephones and computers. Areas of uncertainty were discovered in three companies, which have now been amended, whereas no shortcomings were found in five companies.

This investigation was conducted into the communication of the companies on paper. What is more, over the coming period, the Consumer Authority will also look into the matter of how companies that cause a large number of complaints at ConsuWijzer deal with the guarantee rights of consumers in practice. Guarantees and conformity forms a priority area for the Consumer Authority once again this year.

Benelux investigation into guarantees

This investigation into compliance with the rules relating to guarantees and conformity among companies that sell consumer electronics was carried out in collaboration with consumer enforcement authorities in Belgium and Luxembourg. The individual results of the three countries will be presented together in Brussels today. The aim is to protect consumers more effectively when making cross-border purchases.