Know your (Santa) protection clauses for post-Xmas sales

By Our Reporter
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Representative image // Photo by Jacek Dylag on Unsplash

With the highly anticipated Boxing Day sales just around the corner, Victorian shoppers are being urged to familiarise themselves with their consumer rights, especially when it comes to post-Christmas purchases.

The Minister for Consumer Affairs, Gabrielle Williams, has emphasised that robust protections are in place for consumers, regardless of the seasonal sales frenzy.

Key facts for shoppers to know include:

  • Refund rights remain in place regardless of whether an item is on sale
  • People who receive a gift also have the same rights as if they bought the product themselves
  • Consumers don’t need to use gift cards straight away.

One of the key reminders is for shoppers returning Christmas presents to keep their receipts handy, as stores may request proof of purchase before issuing a refund or allowing an exchange. Minister Williams highlighted that traders need to be aware of their refund obligations, and penalties apply if businesses misrepresent what consumers are entitled to.

Crucial points for consumers to remember include the fact that refund rights remain applicable even on sale items, and individuals receiving gifts have the same rights as those who made the purchase. Contrary to common misconceptions, consumers are not obligated to use gift cards immediately, as these must be valid for at least three years under the Australian Consumer Law.

Consumer Affairs Victoria reported over 42,000 contacts in the 2022-23 financial year, with more than 6,400 related to refunds and returns and 500-plus concerning gift cards. Alfred, one of the many who sought advice, successfully navigated a dispute with a restaurant that initially refused his gift card, citing a one-year validity. After intervention from Consumer Affairs Victoria, the restaurant agreed to honor the gift card, extending its validity to three years.

It is essential for consumers to be aware that businesses claiming no refunds on sale items or for gifts may be engaging in misleading and deceptive conduct, a breach of the Australian Consumer Law. However, if a product is on sale due to a disclosed flaw, consumers cannot later claim a refund for that specific flaw.

As shoppers gear up for the Boxing Day sales, it is crucial to be informed about their rights to avoid potential pitfalls. Penalties for breaching the Australian Consumer Law are substantial, ranging from $2.5 million for individuals to $50 million for businesses.

For more detailed information and guidance, consumers are encouraged to visit consumer.vic.gov.au/consumers-and-businesses/products-and-services.

Stay informed, shop wisely, and make the most of the post-Christmas bargains while protecting your consumer rights.


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