AFTER-SALES WARRANTY: INVESTIGATION LAUNCHED IN THE RETAIL SECTOR FOR ELECTRONICS
PRESS RELEASE
PRESS RELEASE
RETAILER'S WARRANTY: ANTITRUST AUTHORITY LAUNCHES 5 INVESTIGATIONS INTO POSSIBLE UNFAIR COMMERCIAL PRACTICES BY MAJOR RETAIL CHAINS FOR ELECTRONICS AND HOUSEHOLD APPLIANCES
Recognition of the right of withdrawal also at issue in investigations of Mediamarket (Mediaworld brand name, Unieuro, SGM Distribuzione (MarcoPoloExpert brand name), Euronics and Nova (Euronics brand name) and DPS Group and DML (Trony brand name)
The Antitrust Authority launched 5 investigations into possible unfair commercial practices by 7 businesses representing the primary retail chains for electronics, computers, technology and household appliances. Triggered by the receipt of multiple consumer complaints, the proceedings set out to determine whether these businesses informed their customers correctly about the existence of product warranties and how they differ from the conventional warranties that can be purchased. The investigations also need to ascertain whether these businesses acknowledged consumer rights to use the warranty and to exercise the right of withdrawal.
According to complaints lodged through the Antitrust Authority call-center, the commercial misconduct of the subjects under investigation was mostly about the creation of confusion: providing incomplete information about the terms of the two-year "conformity" warranty (repair and/or substitution), and refusing to acknowledge the validity of the warranty itself or to substitute defective products upon request. Several consumers reported receiving insufficient or irrelevant instructions about the conditions and procedures for exercising the right to substitution. Other types of complaints included being kept in the dark about required repair times, experiencing excessive waiting times to get repaired products back,
and being charged repair and/or delivery costs for products that were still under warranty.
More generally, as indicated by the complaints as a group and verified by the Antitrust Authority itself, it was very difficult to understand who held the actual responsibility for providing assistance. Many consumers ended up contacting manufacturers directly, not having been informed that the two-year warranty required contacting the retailer itself. It was often the retailers themselves, in fact, who directed consumers to contact the Technical Assistance Centers of the manufacturers, under the pretext that their problem would be resolved faster. Information about the conventional warranties being offered and how to exercise the right of withdrawal was similarly incomplete.
The seven companies that were notified of the initiation of proceedings during the course of several inspections conducted by Antitrust Authority officials, in collaboration with Special Units of the Guardia di Finanza (Italian Tax Police), are: Mediamarket (Mediaworld brand-name operator), Unieuro, SGM Distribuzione (MarcoPoloExpert brand-name operator), Euronics and Nova (Euronics brand-name operators), DPS Group and DML (Trony brand-name operators).
Rome - January 16, 2010