The first aspect to consider is advertising or marketing. In terms of section 41 of the CPA, suppliers are prohibited from engaging in false, misleading, or deceptive marketing practices. This means that consumers should be cautious of the following:
- Suppliers suggesting that a consumer is getting a bigger discount than they are.
- Adverts that promote products that are out of stock simply to lure customers in.
- Use of vague “up to” savings without clarifying which items qualify.
All displayed goods must also have a clearly marked price, and retailers are required to honour that price. If a price as displayed contains an inadvertent and obvious error, the supplier is not bound by it after correcting the error in the displayed price, and taking reasonable steps in the circumstances to inform consumers to whom the erroneous price may have been displayed of the error and the correct price. If a store refuses to honour its advertised price, consumers have every right to raise this issue with the supplier directly. Should the issue remain unresolved, the consumer can utilise the remedies provided for in the CPA, which allows the consumer to approach an industry ombud or the National Consumer Commission (“NCC”).
We often come across signs or policies that say, “No Returns on Sale Items” or “No exchanges or refunds on sale items”. However, this does not waive a consumer’s rights in terms of the CPA. Consumers do not have an automatic right to return goods simply because they have changed their minds, unless the retailer’s own policy allows it. However, the CPA grants specific rights to return goods in certain cases, for example, when goods are defective, unsafe, or not of good quality within six months of purchase; when goods are bought because of direct marketing (subject to a five-business-day cooling-off period); or when unsolicited goods are delivered. For failed, unsafe or defective goods, consumers are entitled to a repair, replacement, or refund at the supplier’s cost.
If a consumer believes that they have been misled, they should report misleading marketing to the relevant entity to enforce their rights . Black Friday and festive promotions offer businesses and consumers great opportunities, but they may also push the boundaries of ethical business practices and legal compliance. Before you grab that bargain, read the fine print. Your rights matter.
Disclaimer: This article is the personal opinion/view of the author(s) and does not necessarily present the views of the firm. The content is provided for information only and should not be seen as an exact or complete exposition of the law. Accordingly, no reliance should be placed on the content for any reason whatsoever, and no action should be taken on the basis thereof unless its application and accuracy have been confirmed by a legal advisor. The firm and author(s) cannot be held liable for any prejudice or damage resulting from action taken based on this content without further written confirmation by the author(s).
