faulty goods bought abroad on creditcard

comberboy

I bought a camcorder abroad with a credit card. It quickly developed a fault. I took it back within 2 days and asked for a refund and was refused. I contacted the credit card company who advised me to bring it home and make a claim. Now the credit card company want me to pay for an independent assessment of the camera. Can they insist on this?

chanz4

yes, and they may not even cover it also

reclusive46

I only think they can charge you for the asessment of the camera if it is found in the card companies favour.

chattychappy

S75 (subject to a few provisos) makes the CC jointly and severally liable. It's not an insurance policy and there is no provision for them to impose extra conditions.

If you bought something in a UK shop and took it back after a few days, would it be acceptable for the shop to demand such a report?

If you sued them, then ultimately it might be necessary to produce an expert's report to the court. But, if successful the CC might be required to pay for this.

I can understand the CC's position - they can't insist, but practically then how do you get the money? I think I would write to them and invite them to carry out the assessment themselves or just refund the money. Notify them that if they stick to their position, then you will proceed on the basis that they will cover this cost.

One last thing. There is an argument to suggest that whilst S75 applies to overseas purchases, in these situations the contract is formed locally and beyond UK consumer law. I remember reading a complex analysis on this and I'm not sure if it's been resolved in court. It could be that S75 makes the CC jointly and severally liable under local law - law that might not offer the same protection as UK law.

Gromitt

This is explained in Martins latest email:

"10. Buying abroad? Credit card is safest. Buy goods worth over £100 abroad on a credit (not debit) card and Section 75 laws still apply, where the card company's jointly liable. So buy a laptop in US, and if it's faulty when you get home, you can call the card company to sort it."

chattychappy

Gromitt wrote: »

This is explained in Martins latest email:

"10. Buying abroad? Credit card is safest. Buy goods worth over £100 abroad on a credit (not debit) card and Section 75 laws still apply, where the card company's jointly liable. So buy a laptop in US, and if it's faulty when you get home, you can call the card company to sort it."

That is only a partial explanation. S75 does apply. But it's not as simple as he implies. The OP wants a refund, not the "card company to sort it". S75 doesn't (necessarily) cause UK consumer protection terms to be implied into a contract formed in the US. It only makes the CC a jointly liable party to that contract.

derps

I believe chattychappy is correct - it's not anywhere near as simple as Martin makes out.

Contracts formed between consumers and merchants within the UK will include implied contract terms.

One of these is that the goods will be of satisfactory quality. Every claim for breach of contract must be proven with evidence, but the standard and burden of proof is not always the same.

The burden of proof typically rests with the claimant but for the relevant implied contract terms, the burden is reversed for the first six months after purchase. This means the retailer is obligated to the prove that the goods were of satisfactory quality when sold.

The joint liability of Section 75 means that the credit card issuer is responsible for proving that your claim is not valid. If the contract was made in the UK, I would expect them to reimburse you for the cost of the report if it supported your claim. I appreciate that you may want them to pay it in advance but the overriding objective of civil proceedings in the UK (and remember that Section 75 "claims" are just pre-action negotiation) is for costs to be kept to a minimum and it would be much more complicated, time-consuming and expensive for the card issuer to organise an inspection. It would be more reasonable for you to organise it and foot the bill in the first instance - you could just take it to a camera shop but the card issuer can't pop into Jessops for you.

Unfortunately for you, this is all UK law. The rules regarding the implied terms in consumer contracts may be wildly different in the country you bought the goods in. This is not going to be easy to investigate.

I would ask your card issuer to undertake to refund the cost of the report if it proves that the camera was not of satisfactory quality. Even without the reversed burden of proof on your side, if your claim is valid, the cost of the report will be a consequential loss caused by the retailer's breach of contract so you will be entitled to a refund of the report fee.

chattychappy

Not much to add to the above! Except to re-iterate the point that the right to a refund for faulty goods is certainly NOT a global right. UK consumer law holds certain implied terms to being conditions. Breach of condition means you can rescind (ie cancel), hence the refund right.

I can imagine a situation where this doesn't apply in some territories - indeed you might be totally reliant on either specific promises by the retailer or a manufacturer's guarantee.

That said, the CC issuer may not take such an esoteric view!