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Consumers mislead by Currys and Argos


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07 February 2013

Consumers being misled?

An investigation by BBC Wales has discovered that two of the biggest retailers of electrical goods, Currys PC World and Argos have been misleading their customers when selling extended warranties. This has reportedly been an issue that has concerned the Office of Fair Trading (OFT) for some time - and it seems they were right to be worried.

Undercover investigators found that in some stores, they were incorrectly told:

- They had to buy a warranty at the same time as buying the goods.

- They could not buy warranties at a later time from another provider.

This is untrue, warranties are also something providers are obliged to inform customers of in writing.

Professor Margaret Griffiths, an expert in Consumer Law, has voiced her professional opinion, stating that they have quite clearly disregarded the law by clearly misleading their customers. She believes the stores are using the excitement of buying a new television, as an opportunity to take advantage of and induce customers into buying an extended warranty with them.

The main concern of the OFT is that the way in which the electrical retailers are selling their warranties bars competing providers from advertising and selling their own - sometimes cheaper - warranties to customers. The two companies have promised to set up a comparison website which will show consumers the varying types and prices of extended warranties available to them; allowing competition in and consumers to access more information. This website will hopefully be available this month.

Both companies have also launched internal investigations and have promised to provide additional training and make necessary changes to rectify the issue.

By Charlotte Newlyn, Charlotte is a university student on work experience at Lawdit

About the Author

Lawdit Solicitors offer services and advice for litigation, commercial contracts, Intellectual Property and IT legal agreements. We are experts in commercial law with a heavy emphasis on Intellectual Property, Internet and e-commerce law. Lawdit is a member of the International Trademark Association, the Solicitors' Association of Higher Court Advocates and we are the appointed Solicitors to the largest webdesign association in the world, the United Kingdom Website Designers Association.

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Article Published/Sorted/Amended on Scopulus 2013-02-26 10:49:23 in Legal Articles

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