Chapter 10:Chapter 10:

Making a ComplaintMaking a Complaint

What is a consumer What is a consumer complaint?complaint? Where a consumer Where a consumer

expresses their expresses their dissatisfaction with dissatisfaction with the goods or services the goods or services received and seeks received and seeks compensation.compensation.

Why do Consumers Why do Consumers Complain?Complain?

False claims about products and False claims about products and servicesservices

Misleading information about Misleading information about products and servicesproducts and services

Faulty goods & servicesFaulty goods & services Goods delivered not as orderedGoods delivered not as ordered Overcharging & incorrect Overcharging & incorrect

weightsweights

Consumer ComplaintsConsumer Complaints

1.1. Soles fall off a new pair of Soles fall off a new pair of shoes after only 2 weeksshoes after only 2 weeks

What rights does the What rights does the consumer have?consumer have?

Shoes are not of merchantable Shoes are not of merchantable quality- entitled to a quality- entitled to a replacement or refundreplacement or refund

Consumer ComplaintsConsumer Complaints

2. Glue purchased for repairing a 2. Glue purchased for repairing a china teapot fails to stick on china teapot fails to stick on the handlethe handle

What rights does the What rights does the consumer have?consumer have?

Glue is not fit for its purpose-Glue is not fit for its purpose-replacement or refundreplacement or refund

Consumer ComplaintsConsumer Complaints

3. A box states that the shirt 3. A box states that the shirt colour is white but has a black colour is white but has a black shirt in it.shirt in it.

What rights does the consumer What rights does the consumer have?have?

Shirt is not as described-Shirt is not as described-replacement shirtreplacement shirt

Consumer ComplaintsConsumer Complaints

4. a car breaks down after being 4. a car breaks down after being servicedserviced

What rights does the consumer What rights does the consumer have?have?

Mechanic acted as if she/he was Mechanic acted as if she/he was unqualified- full & proper service unqualified- full & proper service as well as possible as well as possible compensation for compensation for inconvenience.inconvenience.

Consumer ComplaintsConsumer Complaints

5. An ad for a holiday states that 5. An ad for a holiday states that the hotel is 5mins from the the hotel is 5mins from the beach but it is actually 30mins beach but it is actually 30mins away from the beachaway from the beach

What rights does the consumer What rights does the consumer have?have?

Information is misleading- maybe Information is misleading- maybe entitled to compensation as entitled to compensation as determined by ITAA.determined by ITAA.

What is a contract?What is a contract?

An agreement between An agreement between the seller and the the seller and the consumer which consumer which promises that in return promises that in return for payment by the for payment by the consumer, the seller consumer, the seller will provide services or will provide services or goods of merchantable goods of merchantable quality which are fit for quality which are fit for their purpose.their purpose.

Contract

What are the stages in What are the stages in seeking Redress?seeking Redress?

1.1. Identify the problem Identify the problem and gather all proof of and gather all proof of purchasepurchase

2.2. Contact seller Contact seller indicating action indicating action required and see required and see manager.manager.

3.3. Put complaint in Put complaint in writing and enclose writing and enclose copies of receiptscopies of receipts

2.

7.

1.

3.

4.

5.

6.

What are the stages in What are the stages in seeking Redress?seeking Redress?

4.4.Contact sellers trade Contact sellers trade association and association and give full detailsgive full details

5.5. Contact Contact ombudsman/mediaombudsman/media

6.6. Bring seller to small Bring seller to small claims court or claims court or district courtdistrict court

7.7. Possible Possible compensationcompensation

2.

7.

1.

3.

4.

5.

6.

It is important that the consumer It is important that the consumer can prove that an attempt was can prove that an attempt was made to settle the dispute made to settle the dispute before contacting the before contacting the ombudsman or small claims ombudsman or small claims court registrar.court registrar.

Letter of complaint Letter of complaint 9- point plan 9- point plan

1.1. Address and Address and telephone numbertelephone number

2.2. DateDate

3.3. The name & The name & recipient's addressrecipient's address

4.4. GreetingGreeting

5.5. introductionintroduction

Letter of Complaint

9- Point Plan

Letter of complaint Letter of complaint 9- point plan9- point plan

6.6. Main BodyMain Body1.1. Item purchasedItem purchased

2.2. problemproblem

3.3. Action requiredAction required

4.4. Proof of purchaseProof of purchase

7.7. Follow upFollow up

8.8. CloseClose

9.9. Signature and titleSignature and title

Letter of Complaint

9- Point Plan

What is a credit note?What is a credit note?

It is given by the It is given by the seller to the seller to the buyer to show buyer to show the amount the amount owing or paid owing or paid has been has been reducedreduced

Does a credit note have to be Does a credit note have to be accepted?accepted? It doesn’t have to It doesn’t have to

be accepted if the be accepted if the goods were faulty goods were faulty as in this case as in this case the consumer is the consumer is entitled to a full entitled to a full refund.refund.

Credit Note

When is a credit note acceptable?When is a credit note acceptable?

If goods are returned sometime after If goods are returned sometime after purchase because they were the purchase because they were the wrong colour or size, a credit note is wrong colour or size, a credit note is acceptable when the seller is acceptable when the seller is obliging the customer but doesn’t obliging the customer but doesn’t have to do so as the product or have to do so as the product or service is not flawed.service is not flawed.

Seller is not obliged by lawSeller is not obliged by law Good for business as it keeps the Good for business as it keeps the

customer happycustomer happy