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Retailers Exposed

Steve251
Steve251 Posts: 7 Forumite
edited 15 March 2017 at 9:35PM in Consumer rights
Hi

I run a computer repair and support business and as well as repairs we do sell goods.

I'm a great believer in consumer rights Act but believe it is the retailer who carries the can. Here's why.

Manufacturer builds a laptop computer and sells it to a distributor in a box
the distributor sells that computer in its box to a retailer
The retailer sells that boxed computer to a consumer

13 months later computer goes faulty and returns it to the retailer under the two year warranty rule

The retailer cannot return it to the distributor because it was sold with a 2 week warranty
The retailer cannot return it to manufacturer because they only warranty it for 12 months


Why is this allowed


Steve

Comments

  • LilElvis
    LilElvis Posts: 5,835 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper
    What 2 year warranty rule? There isn't one.

    Perhaps you should read up on your obligations as a seller.
  • Steve251 wrote: »
    The retailer cannot return it to the distributor because it was sold with a 2 week warranty
    The retailer cannot return it to manufacturer because they only warranty it for 12 months

    Why is this allowed

    It will only be allowed if that is what your contract with the distributor states and if a manufacturer only allows 12 months for a warranty return, this is their right.

    As a retailer you should be making a profit on goods that you sell and the price that you sell for should have a margin to allow for some goods that get returned due to early failures.

    As LilElvis stated, there is no 2 year warranty rule. In fact, there is no legal obligation for any retailer in the UK to provide a warranty at all.
    You do however have obligations and rights under the Consumer rights act and it is these that you need to read up on.
  • unholyangel
    unholyangel Posts: 16,866 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Its allowed because its up to the retailer where he sources his stock from, on what terms etc.

    Every item is going to have a failure rate - as a retailer you need to do research into that and then adjust your prices accordingly if your agreement with your supplier doesn't allow you to claim it back from them.
    You keep using that word. I do not think it means what you think it means - Inigo Montoya, The Princess Bride
  • ThumbRemote
    ThumbRemote Posts: 4,743 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Steve251 wrote: »
    The retailer cannot return it to the distributor because it was sold with a 2 week warranty
    The retailer cannot return it to manufacturer because they only warranty it for 12 months

    Why is this allowed

    Because you choose it to be allowed.

    Why should the consumer carry the can because you've agreed poor terms with your distributor and manufacturer?
  • forgotmyname
    forgotmyname Posts: 32,979 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 16 March 2017 at 1:33AM
    Steve251 wrote: »
    Hi

    I run a computer repair and support business and as well as repairs we do sell goods.

    I'm a great believer in consumer rights Act but believe it is the retailer who carries the can. Here's why.

    Manufacturer builds a laptop computer and sells it to a distributor in a box
    the distributor sells that computer in its box to a retailer
    The retailer sells that boxed computer to a consumer

    13 months later computer goes faulty and returns it to the retailer under the two year warranty rule

    The retailer cannot return it to the distributor because it was sold with a 2 week warranty
    The retailer cannot return it to manufacturer because they only warranty it for 12 months


    Why is this allowed


    Steve


    Do you offer all your customers a minimum 2 year warranty?

    Not all warranties are 12months, I have stuff thats 2 or 5 or even lifetime warranties.

    You only have a 2 week warranty with your distributor before you have to deal with the manufacturer? You need to bargain harder with them.
    Censorship Reigns Supreme in Troll City...

  • You need to be more of an understander of the Consumer Rights Act rather than just a believer ;-)
  • paddyrg
    paddyrg Posts: 13,543 Forumite
    The contract you have with the distributor and manufacturer are business-to-business, and in business people are expected to do their own negotiations.

    When you sell retail, it's business-to-consumer, so consumer rights apply. This is because the law recognises that not all consumers have the capacity to make in depth investigations of their own.

    It's a part of being in the retail business that you're bound by consumer laws, and you adjust your prices to compensate for the hassle. Some retailers have their own repair facilities and so will recondition repairs, some will deal with the manufacturer or distributor. Some retailers get cheap deals by accepting all the warranty risk for an item. It's how capitalism works/has evolved over millennia.
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