The Australian Competition and Consumer Commission today instituted civil proceedings in the Federal Court Melbourne against Westco Jeans (Aust) Pty Ltd for allegedly engaging in misleading or deceptive conduct and making false representations in relation to consumers statutory rights to refunds.

The ACCC alleges that Westco, a Melbourne based clothing retailer with stores nationally, has misrepresented, by both signage at certain stores and by oral advice, the rights of consumers to obtain cash refunds.

In its statement of claim filed with the Court, the ACCC refers to both alleged observations made by ACCC officers instore and to alleged representations made orally by Westco staff.

The ACCC has also had referred to it complaints about Westco and its refund policy by the Victorian Office of Fair Trading and Business Affairs, the New South Wales Department of Fair Trading, the Office of Consumer Affairs Queensland, Australian Capital Territory Consumer Affairs Bureau, and the Office of Consumer and Business Affairs South Australia.

The ACCC is seeking orders against Westco including restraining the company from making future false representations with regard to consumers rights to a refund, and the implementation of an appropriate trade practices corporate compliance program, signage and brochure advice.

For consumers and businesses wanting to know more about refund rights the ACCC has produced a brochure Warranties & Refunds which provides examples of where and when a refund is due, and when it is not. It makes timely reading with Christmas and New Year sales at hand. Copies are available from all ACCC offices.

Circumstances in which a consumer is entitled to a refund, exchange or repair (depending on their choice) are if the goods:

have a significant fault a consumer could not have known about when the item was purchased; do not match the description; do not do the job a consumer was led to believe the item would do; or do not match the samples shown.

The first direction hearing is listed for 13 February 1997.