Federal Court Fines Another Harvey Norman Franchisee

Wednesday 22 January 2014 @ 10.23 a.m. | Trade & Commerce

The Australian Competition and Consumer Commission (ACCC) have won another case against another Harvey Norman franchisee. The Federal Court has ordered Carnavit Pty Ltd, located in Campbelltown, New South Wales, to pay $32,000 in civil pecuniary penalties for making false or misleading representations regarding consumer guarantee rights. 

Carnavit was found to have made a series of false and misleading representations to consumers about their consumer guarantee rights over a period of several months in 2012. Carnavit had represented to its consumers that:

  • it had no obligation to provide a refund for faulty goods supplied;
  • it had no obligation to provide a remedy other than exchange or credit with a finalisation period of one week; and
  • it no obligation to provide a remedy independently of the product manufacturer. 

“As with last Friday’s penalties against four other Harvey Norman franchisees, this penalty sends a message to all businesses that they must not mislead consumers about their rights to repair, replacement or refund for faulty goods under the Australian Consumer Law,”

ACCC Chairman Rod Sims said. He then stressed that misleading conduct in relation to consumer guarantees remains an enforcement priority for the ACCC. 

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