Consumer protection laws

A national regime protects consumers when buying goods and services. Your rights depend on whether your claim is against a supplier or manufacturer. Goods and services must be reasonably fit for purpose.

Consumers, contracts, the internet and copyright

How contract law works

• How contract law works: Contacts
• What is a contract?
• Must contracts be in writing?
• Elements of a contract
• The terms of a contract
• Breach of contract
• Ending a contract

Consumer protection laws

• Consumer protection laws: Contacts
• Australian Consumer Law
• Australian Consumer Law consumer protection
• Unsolicited sales practices
• Pricing
• Lay-by sales
• Other provisions of the Australian Consumer Law

Consumer guarantees

• Consumer guarantees: Contacts
• Consumer guarantees: Getting help
• Introduction to consumer guarantees
• When do the consumer guarantees apply?
• Consumer guarantees: Goods
• Consumer guarantees: Services
• Remedies
• Finance agreements

Taking action as a consumer

• Self-help for consumers
• Court or tribunal help
• Alternative dispute resolution schemes
• Court remedies
• Small claims: VCAT’s Civil Claims List
• Consumer Affairs Victoria
• Introduction to taking action as a consumer
• Financial counselling for consumers
• Licensing and registration through the Business Licensing Authority
• Taking action as a consumer: Contacts

The internet and the law

• The internet and the law: Contacts
• Introduction to the internet and the law
• Copyright issues
• Defamation issues
• Other protection issues
• e-commerce: Online shopping
• Managing access to internet content
• Crowd funding
• More information about the internet and the law

Copyright

• Copyright: Contacts
• What is copyright?
• Ownership of copyright
• Duration of copyright
• Requirements for copyright to exist
• Exclusive rights of copyright holders
• Loss of copyright protection
• Infringement of copyright
• Moral rights and other copyright issues

Trade marks

• Trade marks: Contacts
• What is a trade mark?
• Protecting trade marks
• Applying to register a trade mark
• Cancelling a trade mark’s registration
• Avoiding infringement of a registered trade mark
• Using trade marks overseas
• More information about trade marks

Contributor

CEO, Consumer Action Law Centre

Lay-by sales

What is a lay-by sale?

A lay-by agreement is one where goods are delivered to the consumer only when the total price of the goods has been paid, and the transaction involves payments spread over at least three instalments (including any deposit).

This constitutes a lay-by agreement, unless both the consumer and supplier agree that an agreement involving two payments is a lay-by agreement.

The Australian Consumer Law’s lay-by rules

The Australian Consumer Law (ACL) sets out five rules about lay-bys:

1. A lay-by agreement must be in writing, a copy of which must be given to the consumer (s 96 ACL).
2. A consumer may cancel a lay-by agreement at any time, after paying any termination charge, which must not be more than the reasonable costs incurred by the supplier (s 97 ACL).
3. A supplier may cancel a lay-by agreement only if:

1. the consumer has breached a term of the agreement;
2. the supplier is ceasing to engage in trade or commerce; or
3. the goods are no longer available (s 98 ACL).

4. In the event of cancellation by either party, the consumer is entitled to a full refund of amounts paid (s 99(1) ACL).

5. Where a consumer cancels a lay-by agreement, the supplier is entitled to recover a reasonable termination charge. This amount may be withheld from any money repaid to a consumer or recovered from the consumer if the total amount paid by the consumer under the lay-by agreement is not enough to cover it (s 99(2) ACL).

Buy now, pay later sales

Lay-by arrangements are no longer widely promoted. Instead, retailers now commonly offer ‘buy now, pay later’ arrangements. These arrangements allow customers to purchase and obtain goods and services immediately, but pay for the goods and services later.

There are no specific regulations dealing with ‘buy now, pay later’ arrangements and the National Consumer Credit Protection Act 2009 (Cth) does not apply.

However, these arrangements are considered to be ‘credit facilities’ under the Australian Securities and Investments Commission Act 2001 (Cth). This means that ASIC can take action where a ‘buy now, pay later’ provider engages in conduct that is misleading or unconscionable.