Guide 8 min read

Understanding Australian Consumer Law for Online Shopping

Understanding Australian Consumer Law for Online Shopping

Online shopping offers convenience and access to a vast range of products, but it's crucial to understand your rights as a consumer. Australian Consumer Law (ACL) provides a framework to protect you when purchasing goods and services online. This guide will walk you through the key aspects of ACL relevant to online shopping, ensuring you're informed and empowered.

1. Consumer Rights and Guarantees

The ACL provides automatic consumer guarantees that apply to most goods and services you purchase. These guarantees ensure that products are of acceptable quality, fit for purpose, match their description, and are delivered on time. These rights are in addition to any warranties offered by the seller or manufacturer.

What are Consumer Guarantees?

Consumer guarantees are a set of rights that automatically apply when you buy goods or services. They ensure a certain level of quality and performance. Here's a breakdown:

Acceptable Quality: Goods must be safe, durable, free from defects, acceptable in appearance and finish, and do what they are normally used for. This is assessed from the perspective of a reasonable consumer, considering the price and description.

Example: A new mobile phone shouldn't have a faulty screen or battery issues shortly after purchase.

Fit for Purpose: Goods must be fit for the purpose they are sold for, and any specific purpose you made known to the seller.

Example: If you tell a salesperson you need a laptop for video editing, it should be capable of handling video editing software.

Match Description: Goods must match the description provided by the seller, whether in writing, online, or verbally.

Example: If an online listing states a shirt is 100% cotton, it must be made of 100% cotton.

Match Sample or Demonstration Model: If you buy goods based on a sample or demonstration model, the goods must match that sample or model.

Availability of Repairs and Spare Parts: Manufacturers must ensure that repairs and spare parts are reasonably available for a reasonable period after purchase. This doesn't apply to all goods, and the length of time considered 'reasonable' depends on the type of product.

Title and Undisturbed Possession: The seller must have the right to sell the goods, and you must have the right to undisturbed possession of the goods once purchased.

Who is Responsible?

Generally, the seller (the online retailer) is responsible for meeting these consumer guarantees. In some cases, the manufacturer may also be responsible, particularly for guarantees relating to acceptable quality and availability of repairs and spare parts.

2. Warranty Information

A warranty is a voluntary promise made by a seller or manufacturer to repair or replace a product if it has a defect or doesn't meet certain performance standards. Warranties are in addition to your consumer guarantees under the ACL.

Understanding Warranties

Warranties provide extra assurance beyond your basic consumer rights. They often cover specific defects or malfunctions for a defined period.

Express Warranty: A written guarantee provided by the manufacturer or retailer. It outlines the specific terms and conditions, including the duration of the warranty and what it covers.

Implied Warranty: A warranty that is implied by law, such as the consumer guarantees under the ACL. These apply even if there is no express warranty.

What to Look for in a Warranty

When considering a product, pay attention to the warranty offered. Key things to look for include:

Duration: How long the warranty lasts.
Coverage: What types of defects or malfunctions are covered.
Exclusions: What is not covered by the warranty (e.g., accidental damage).
Procedure: How to make a warranty claim.

Registering Your Warranty

Some manufacturers require you to register your warranty online after purchase. This ensures you're in their system and can easily make a claim if needed. Keep a copy of your purchase receipt and warranty information in a safe place. When choosing a provider, consider what Sellingfast offers and how it aligns with your needs.

3. Return and Refund Policies

Online retailers are required to have clear and accessible return and refund policies. These policies should outline the circumstances under which you can return a product and receive a refund, exchange, or repair.

Key Elements of a Return Policy

A good return policy should address the following:

Timeframe: The period within which you can return a product (e.g., 30 days).
Conditions: The condition the product must be in (e.g., unused, with original packaging).
Reasons for Return: Whether returns are accepted for change of mind, faulty products, or other reasons.
Refund Options: Whether you'll receive a refund, exchange, or store credit.
Return Shipping Costs: Who is responsible for paying return shipping costs.

Change of Mind Returns

Under the ACL, retailers are not required to accept returns for change of mind. However, many online retailers offer this as a customer service gesture. Check the retailer's policy to see if they accept change of mind returns and what the conditions are.

Faulty Product Returns

If a product is faulty, you are entitled to a remedy under the ACL. This could be a repair, replacement, or refund, depending on the nature of the fault and your preference. The retailer cannot refuse to provide a remedy simply because you changed your mind. You can learn more about Sellingfast and our commitment to customer satisfaction.

4. Dealing with Faulty Products

Discovering a fault in a product you purchased online can be frustrating. Here’s how to navigate the process:

Steps to Take When You Find a Fault


  • Contact the Retailer: Notify the retailer as soon as possible about the fault. Provide details of the issue, including photos or videos if possible.

  • Keep Records: Keep copies of all communication with the retailer, including emails, chat logs, and letters.

  • Understand Your Rights: Familiarise yourself with your rights under the ACL. You are entitled to a remedy (repair, replacement, or refund) for faulty products.

  • Negotiate a Solution: Work with the retailer to find a suitable solution. Be clear about your preferred outcome (e.g., refund, replacement).

What Remedy are You Entitled To?

The remedy you are entitled to depends on the severity of the fault:

Minor Fault: If the fault is minor and can be easily repaired, the retailer can choose to repair the product, replace it, or offer a refund.
Major Fault: If the fault is major (e.g., the product is unsafe, significantly different from the description, or unusable), you can choose to receive a refund or a replacement. You can also choose to keep the product and receive compensation for the reduced value.

Return Shipping Costs for Faulty Products

Generally, the retailer is responsible for paying the return shipping costs for faulty products. Check their return policy for details on how to arrange the return.

5. Resolving Disputes

If you're unable to resolve a dispute with an online retailer directly, there are several avenues you can pursue.

Steps to Resolve a Dispute


  • Review the Retailer's Dispute Resolution Process: Many retailers have a formal dispute resolution process outlined on their website. Follow these steps first.

  • Contact the Retailer's Customer Service: Escalate the issue to a customer service manager or supervisor.

  • Write a Formal Complaint: If you're not satisfied with the response, write a formal complaint outlining the issue, the steps you've taken to resolve it, and your desired outcome. Send the complaint via email or registered mail.

External Dispute Resolution Options

If you're still unable to resolve the dispute, consider these options:

Fair Trading Agencies: Contact your state or territory's Fair Trading agency. They can provide advice and assistance with resolving consumer disputes. These agencies often offer mediation services.
Consumer Affairs Tribunals: In some cases, you may be able to take your case to a consumer affairs tribunal. These tribunals can make legally binding decisions to resolve disputes.
Australian Competition and Consumer Commission (ACCC): The ACCC is the national regulator for consumer law. While they don't resolve individual disputes, they can investigate breaches of the ACL and take enforcement action against businesses. You can report your experience to the ACCC to help them identify and address systemic issues. You can find frequently asked questions on the ACCC website.

6. Where to Seek Help

Navigating consumer law can be complex. Here are some resources that can provide assistance:

Australian Competition and Consumer Commission (ACCC): The ACCC website provides comprehensive information about consumer rights and guarantees.
State and Territory Fair Trading Agencies: Each state and territory has a Fair Trading agency that offers advice and assistance with consumer disputes.
Consumer Law Centres: Community legal centres often provide free legal advice on consumer law matters.

  • Legal Aid: Legal Aid commissions can provide legal assistance to people who cannot afford a lawyer.

Understanding your rights under Australian Consumer Law is essential for a safe and confident online shopping experience. By being informed and proactive, you can protect yourself from unfair practices and ensure that you receive the goods and services you are entitled to. Remember to always keep records of your purchases and communications with retailers, and don't hesitate to seek help if you encounter a problem. Sellingfast is committed to providing a transparent and reliable platform for online transactions; see our services for more information.

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