QUESTION TWO

Consumer Guarantees Act 1993

Jill purchases a washing machine from A1 Whiteware Supplies Limited (A1) which operates

in a local shopping centre. The washing machine is installed by A1. On the second day she

notices that the side of the machine is scratched and the paintwork near the base is

chipped. She has discovered that the hot cycle does not work at all, and the pump fails to

pump out all the water at the end of the washing cycle. It is also leaking, and the leak has

damaged the laundry wall.

The washing machine was manufactured and packaged in a local manufacturing factory and

sent to retailers for sale. Printed on the outside of the packaging was the statement that

the machine had a 10kg load capacity. In fact, the load capacity is only 8 kg.

She immediately contacts A1 who tell her that she should complain to the manufacturer of

the machine as the scratching and chipping must have occurred while the machine was at

the factory and the leak was due to a defect in the manufacturing process.

They also tell Jill that it is not their policy to offer refunds or exchanges- she should deal

directly with the manufacturer.

Required:

(a) Explain why the Consumer Guarantees Act 1993 apply to this situation. Refer to

relevant sections of the Act.

ANSWER

(b) Identify and explain the breaches of the Consumer Guarantees Act 1993. Refer to

relevant sections of the Act in your answer.

ANSWER

(c) Identify and explain the remedies would be available to Jane under the Consumer

Guarantees Act 1993. Refer to relevant sections of the Act in your answer.

ANSWER

(d) Briefly explain the law regarding the obligations of the manufacturer and the

statement by A1 that she should deal directly with manufacturer. Refer to relevant

sections of the Act in your answer.

ANSWER

(e) Jill tells the A1 Whiteware Supplies Limited manager that she insists on getting her

money back. The manager offers her vouchers to use to buy other products from the

shop. Briefly explain the relevant rule that applies her, referring to the relevant law

in the Consumer Guarantees Act 1993.

ANSWER