Guarantees, warranties and refunds
As a business owner, both you and your staff must understand your legal obligations to customers when providing them with guarantees, warranties and refunds.
Consumer guarantees for goods and services
There are 9 consumer guarantees that apply to goods, and 3 consumer guarantees that apply to services. You must provide a 'remedy' (e.g. refund, repair, replacement or compensation) to customers if the goods or services you sell fail to meet 1 or more of these guarantees.
Providing other warranties to customers
While your business automatically provides consumer guarantees when you sell goods or services, you may also provide other warranties. For example, you could offer express warranties, warranties against defects (or manufacturer's warranties), or extended warranties.
Learn more about types of warranties.
Providing refunds to customers
Your business should have a refund policy that is clear to your customers and your staff. Some refund signs and contract terms are illegal, so you must ensure that your refund policy is sound.
Learn more about your refund policy.
- Last reviewed: 17 Aug 2020
- Last updated: 14 Sep 2020