Right to refund hinges on goodwill

Superette has stated it won't refund any items bought on sale. Photo / Herald on Sunday

If you go down to the mall today, you're in for a big surprise. You're not entitled to a refund for unwanted Christmas presents - and even exchanging the gift may depend on having the right paperwork and the harassed retailer's goodwill.

Failing that, you may be stuck with those ill-fitting swimming togs and three identical sets of salad servers.

Much depends on the discretion and kindness of the sales person, warned Consumer NZ chief executive Sue Chetwin.

"You really don't have any rights if you just don't like it or it's the wrong colour or size."

This law stands even if you have a receipt.

"The retailer doesn't have to exchange 'change of mind' purchases - you have to rely on them taking pity on you."

She added, optimistically: "We find many are more benevolent at this time of year."

Chetwin warned exchanges at most stores became more complicated if your unwanted gift has landed in the Boxing Day bargain bin.

You have the right to exchange the item at the price your gift-giver paid for it, but you may need to front up with a receipt to prove this - especially given the number of pre-Christmas sales this year.

Those gift recipients seeking a cash refund will almost certainly be left high and dry.

"Retailers are generally happy to let you pick something else, but they don't have to give you a refund," she said.

"We also recommend you choose something of equal value because they usually won't give change."

The same goes for "experience"-based vouchers. Your rights are limited if you don't fancy the white-water rafting adventure or bungy jump you have been gifted.

"You can see it from the operator's point of view. They sold the adventure voucher in good faith. But the company might be prepared to swap it for a different adventure they have on offer."

Consumers are entitled to an exchange, a repair or a refund only if the gift is damaged or faulty but even then proof of purchase is usually required and the retailer decides which remedy to go for.

Retail Association chief executive John Albertson said: "If it's fixable they'll get it fixed; if they've got another one in stock they'll replace it. Only failing that do they have to provide a refund."

Chetwin said some retailers would try to dodge such legal responsibility if the product had been taken out of its packaging - but the rights are firmly with the consumer.

"Even if you've taken the toy or item out of its packet and even if the tags have been cut off, the store must fix the problem if there are any faults."

Whitcoulls' refund policy states eReaders, DVDs and electronic games cannot be exchanged unless faulty or damaged.

Unwanted books, board games and stationery can be exchanged with a gift card or refunded with a receipt, provided the item is in an "unused and re-sellable condition" and no more than 30 days has passed.

The Warehouse also excludes computer games and DVDs from the refund policy unless faulty. The company will exchange clothing that is the wrong size but all other exchanges and refunds require proof of purchase.

Gift cards can also become problematic. "Use it before you lose it," Chetwin said. "They usually expire after six months and after that the retailer has no legal responsibility.

"If the company goes under you also lose out as you're like an unsecured creditor. We recommend using them as quickly as you can."

MANY HAPPY RETURNS

* Ensure the item looks presentable and re-sellable.

* If the item has a genuine fault you are entitled to a refund. Stand your ground.

* If you simply don't want the present, don't expect a refund. But play your cards right and you may be able to exchange the product.

* Take proof of purchase, such as an exchange card.

Source: Consumer NZ