Online book retailer Booktopia has been ordered by the Federal Court to pay $6 million in penalties for making false or misleading representations on its website, and in dealings with consumers, about consumer guarantee rights.
Between “at least” January 10, 2020 and November 2, 2021, Booktopia claimed in its online ‘Terms of Business’ statement that consumers were only entitled to a refund, repair or replacement if they notified Booktopia within two business days of receiving a product that was faulty or not what they ordered.
The ‘Terms’ also stated consumers were not entitled to a refund for digital products such as eBooks for any reason, including if the product was faulty.
Booktopia also admitted that it made misleading statements to 19 individual consumers in customer service calls by advising the consumers of the same policies.
“Booktopia made misleading statements to consumers, telling them they were only entitled to a refund if they contacted them about a problem with their purchase within 2 business days of delivery,” ACCC Commissioner, Liza Carver said.
“Consumers are entitled to return faulty products within a reasonable time and receive a refund, repair, or replacement, depending on the nature of the fault.
“We do not know how many consumers may have been deterred from seeking a refund or replacement by Booktopia’s misleading representations on its website.”
Booktopia is also ordered to publish a notice on its website within 21 days correcting the false or misleading claims, and to establish a consumer law compliance program.