Sales of goods act for item purchased for personal use through a business account

deZai

Hi
I purchased a MacBook from Curry's in 2012 and last month it suddenly stopped working. Apple diagnosed a faulty logic board which they could fix for £500. The helpful technician informed me that this was a known defect for this model of MacBook and had I bought it from Apple they would have repaired at no cost. With this bit of information, I contacted Currys and explained to them the situation and under the Sales of Goods Act they were obliged to repair/replace my laptop. They agreed to assess it and asked me to drop it of in store.
The problem I have today is that they agree that it is defective but will not fix it for free because the MacBook was purchased through a business account and not through a personal account. I explained that it was purchased with my business card but it has never been used for business purposes ....
I am awaiting their response. I've searched online, but I have not been able to find out if I have any rights in this situation. Any advice would really be appreciated.
Thanks

unholyangel

Sorry but I can't think of anything to help on this one.

Generally you're a consumer if you were acting for purposes wholly or mainly outside of your business/trade/craft/profession and if a retailer wants to class a consumer as a business, they need to prove it.

However, I imagine the fact the purchase was made from a business account would be sufficient to prove you held yourself out as a business at the time of entering the contract.

ETA: Also, what apple told you is typical of them. You purchase from someone else and they'll claim if you purchased from them, they'd fix it FOC. However if you had actually purchased from them, you'd possibly find they'd change their tune and ask for an independent report proving its inherent - or only offer you a chargeable refurb.

Fosterdog

When you say it was bought through a business account do you mean one of their business accounts or your own business bank account card? Or possibly both? I'd assume one of theirs just because I can't see how they would have a way of knowing that you used a business card unless you told them.

Did you ever link it to your business in any other way? Submit the receipt to your accountant for tax purposes?

vikingaero

Did you buy it under a business account for personal use or did the sales advisor scam you by creating a business account when you bought it?

Currys PCWorld were on Watchdog for scamming customers like this. They claimed that rogue salespeople did this when we all know where the rot lies.

neilmcl

You purchased it using a business credit card, who actually owns the laptop at present, is it a business asset?

gettingtheresometime

I think the OP is suffering from wanting to eat his cake but still have it syndrome.


By buying it through the business the VAT could be reclaimed on it and now that it's not working, he wants it repaired for free.

neilmcl

gettingtheresometime wrote: »

I think the OP is suffering from wanting to eat his cake but still have it syndrome.


By buying it through the business the VAT could be reclaimed on it and now that it's not working, he wants it repaired for free.

You're assuming that the OP is VAT registered. I agree though that it does sound like they're trying to get the best of both worlds, and think they have consumer rights on a business asset.

steampowered

You do have rights in this situation.

The Consumer Rights Act does not apply. The old Sale of Goods Act 1979 still applies to business sales. It applies wherever the seller is acting in the course of a business.

SOGA requires goods to be 'satisfactory quality' and 'fit for purpose'. If the laptop did not meet those criteria, they have to fix it.

Although, as the macbook is 4 years old, and as the problem applies to all models of that type of macbook, Currys may say the macbook was satisfactory quality. I think its reasonable to ask you to pay for a repair after 4 years.

unholyangel wrote: »

Generally you're a consumer if you were acting for purposes wholly or mainly outside of your business/trade/craft/profession and if a retailer wants to class a consumer as a business, they need to prove it.

This is the situation under the FCA rules, which apply to how financial services companies (such as banks) classify customers. The shifted burden of proof you describe doesn't apply to other types of business.

Castle

steampowered wrote: »

This is the situation under the FCA rules, which apply to how financial services companies (such as banks) classify customers. The shifted burden of proof you describe doesn't apply to other types of business.

The Consumer Rights Act 2015 under "Key Definitions" in Section 2 paragraph 4) states:-
"A trader claiming that an individual was not acting for purposes wholly or mainly outside the individual’s trade, business, craft or profession must prove it."

http://www.legislation.gov.uk/ukpga/2015/15/section/2/enacted

Of course that only applies after 1st October 2015

unholyangel

steampowered wrote: »

You do have rights in this situation.

The Consumer Rights Act does not apply. The old Sale of Goods Act 1979 still applies to business sales. It applies wherever the seller is acting in the course of a business.

SOGA requires goods to be 'satisfactory quality' and 'fit for purpose'. If the laptop did not meet those criteria, they have to fix it.

Although, as the macbook is 4 years old, and as the problem applies to all models of that type of macbook, Currys may say the macbook was satisfactory quality. I think its reasonable to ask you to pay for a repair after 4 years.


This is the situation under the FCA rules, which apply to how financial services companies (such as banks) classify customers. The shifted burden of proof you describe doesn't apply to other types of business.

SoGA applies to all sales - whether the seller is a business or private individual (just not all provisions apply to a private sale). Some of its provisions still apply to b2c sales also.

The burden I describe has applied since SoGA and has carried through to CRA as noted by Castle, nothing to do with the FCA.

bris

Warranties are void in most cases for business purposes as the usage is usually much heavier. After 4 years I think it has done pretty well.


The tax breaks on IT equipment is also pretty decent and it can be written off, you don't buy on a business card and not put the sale through your books.


Also as to what Unholyangel says about Apple was spot on, we often have people say Apple would fix it free if it was purchased from them but then we get people who buy direct from them get told tough it's out of warranty.


As a business purchase the chances are nil, SOGA won't cover this as it's been fit for purpose for the last 4 years. The up to 6 year rule is for consumer protection only and is not part of the SOGA. The Soga clearly states that for business purchases the goods much be of, merchantable quality and reasonably fit for purpose. After 4 years it's hard to argue the product did not fit that bill.