The requirements for defects warranties given by manufacturers, retailers and service providers to consumers will be regulated from 1 January 2012
The defects warranty in your current terms and conditions probably says that you will repair or replace the goods or services, if a defect occurs within the warranty period (or words to that effect).
But from 1 January 2012, this warranty will no longer be good enough. Regulation 90 of the new Competition and Consumer Regulations requires your defects warranty clause to include a bunch of other things the Australian Consumer Law (the new Trade Practices Act) deems to be fairer on consumers.
For example, your defects warranty clause must set out the exact procedures for claiming under the warranty, how a consumer can claim costs they have incurred in making such a claim, as well as the inclusion of the following words:
"Our goods come with guarantees that cannot be excluded under the Australian Consumer Law. You are entitled to a replacement or refund for a major failure and for compensation for any other reasonably foreseeable loss or damage. You are also entitled to have the goods repaired or replaced if the goods fail to be of acceptable quality and the failure does not amount to a major failure."
From 2012, it will be an offence for manufacturers, retailers and service providers to give a consumer a warranty for goods or services that does not comply with the prescribed requirements under regulation 90, and heavy penalties will apply.
Sorry, but you're going to have to review your terms and conditions, warranty cards and/or marketing material to ensure your defects warranty clause is in itself not defective. If you supply goods or services to consumers, get onto it soon.
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