Can a store refuse a refund because its policy says no refunds?

A store policy cannot remove consumer-guarantee rights for faulty products or services. The available remedy depends on whether the failure is major or minor.[S1]

Can I demand a refund for any fault?

Not always. For a minor product failure, the business usually gets a reasonable opportunity to repair it. A major failure generally gives you a choice between a refund and replacement.[S1]

Do I have to contact the manufacturer instead of the seller?

Usually, start with the business that sold you the product. A manufacturer warranty may offer additional help, but it does not generally remove the seller’s obligations under consumer guarantees.[S1]

How long does a product warranty last?

A voluntary warranty has its own stated terms, but consumer-guarantee rights are separate and may continue beyond the warranty period depending on the product and the circumstances.[S1]

What should I do if the business ignores my complaint?

Send a written follow-up, preserve your evidence, and consider the relevant state or territory consumer agency, an ombudsman, a formal demand or a tribunal claim.[S1]

What to Do When a Product or Service Is Faulty

Australian consumer guarantees may give you rights beyond a store’s returns policy or manufacturer warranty. Learn when to seek a repair, replacement, refund or compensation.

Australian consumer law can protect you when a product is faulty or a service is not delivered properly. The business may owe you a remedy even if its returns policy says “no refunds” or tells you to deal only with the manufacturer.[S1]

The key protections are the consumer guarantees in the Australian Consumer Law. They apply automatically to eligible products and services and operate separately from voluntary store policies and manufacturer warranties.[S1]

Start with the seller

Your first step should usually be contacting the business that sold the product or provided the service. Explain what went wrong, identify the consumer guarantee you believe was breached if appropriate, and state the outcome you want.[S1]

For a product, the seller generally cannot avoid responsibility simply by sending you to the manufacturer. A manufacturer warranty may provide an additional route to a remedy, but it does not replace your rights against the business that sold the product.[S1]

Gather and keep:

The receipt, invoice, order confirmation or other proof of purchase
Photos, videos or other evidence of the problem
Relevant advertisements, descriptions or specifications
Service agreements, booking details and warranty documents
Records of calls, emails, inspections and repair attempts

What consumer guarantees cover

Products must meet basic standards, including being of acceptable quality, safe, durable and fit for a disclosed purpose. They must also match their description or sample.[S1]

Services must be provided with due care and skill, be fit for any purpose you made known to the provider, and be supplied within a reasonable time where no time was agreed.[S1]

A business cannot contract out of consumer guarantees. A sign or policy stating “no refunds” cannot remove rights that the law provides when a product or service fails to meet those guarantees.[S1]

Consumer guarantees do not mean every product must last forever or every disappointment entitles you to a refund. The circumstances, price, nature of the product, statements made by the business and seriousness of the problem all matter.[S1]

Major and minor failures

The remedy depends largely on whether the failure is major or minor.

Major product failure

A product may have a major failure if a reasonable consumer would not have bought it had they known about the problem, if it is substantially unfit for its normal purpose and cannot easily be fixed, or if it is unsafe. A serious mismatch with the description or a problem that prevents the product from doing what the consumer specifically requested can also indicate a major failure.[S1]

For a major product failure, you can generally choose between:

A refund
A replacement of the same type of product
Keeping the product and seeking compensation for the reduction in value

You may also be able to claim compensation for reasonably foreseeable loss or damage caused by the failure.[S1]

A refund is ordinarily returned using the original payment method unless another arrangement is agreed. A business does not automatically have the right to substitute store credit for a remedy the law requires.[S1]

Minor product failure

A minor failure is generally one that can be fixed within a reasonable time. The business can usually choose to repair the product rather than provide a replacement or refund.[S1]

If the business does not repair the product within a reasonable time, refuses to repair it, or the repair attempt fails, you may gain further options. These can include having the product repaired elsewhere and seeking the reasonable cost, or choosing a refund or replacement where the circumstances justify it.[S1]

Do not authorise expensive third-party repairs before giving the seller a reasonable opportunity to respond, unless urgent action is needed for safety or to prevent further loss. Ask the business in writing whether it accepts responsibility and how it proposes to fix the problem.

Major service failure

A service may have a major failure where it would not have been acquired if the consumer had known the result, it is substantially unfit for its purpose and cannot easily be made fit, or it creates an unsafe outcome. A service that does not achieve a specific result promised by the provider may also involve a major failure.[S1]

For a major service failure, you may generally choose to:

Cancel the contract and seek a refund for services not provided, subject to the value of work already properly completed
Keep the contract and seek a price reduction reflecting the problem
Claim compensation for reasonably foreseeable loss or damage, where available

Minor service failure

For a minor service failure, the provider must usually be given a reasonable opportunity to fix the problem at no charge.[S1]

If the provider does not fix it within a reasonable time, you may be able to arrange another solution and seek reasonable costs, cancel the contract, or seek a price reduction or compensation depending on the circumstances.[S1]

How to make a written complaint

A written complaint creates a clear record and can help prevent misunderstandings. Keep it factual and concise. Include:

1. What you bought, when and from whom

2. The problem and when you noticed it

3. Why the product or service does not meet the relevant guarantee

4. The remedy you want

5. A reasonable deadline for the business to respond

6. Copies, not originals, of supporting documents

For a suspected major product failure, say that you are rejecting the product because of a major failure and specify whether you want a refund or replacement. This makes your position clear.[S1]

Avoid exaggeration or unsupported legal conclusions. Describe the practical impact: the product is unsafe, cannot perform its ordinary function, differs materially from its description, or has not been repaired after a reasonable opportunity.

Returns policies and manufacturer warranties

A returns policy may explain how a business handles change-of-mind purchases, but it cannot lawfully remove consumer-guarantee remedies for faulty products or services.[S1]

A manufacturer warranty is usually a voluntary promise with its own terms. It may last for a stated period, but the expiry of that warranty does not automatically end consumer-guarantee rights. Those rights are assessed according to the circumstances, including the product’s expected durability and the nature of the failure.[S1]

For a faulty product, start with the seller. You can also contact the manufacturer where that is practical, particularly if it can provide technical support or a repair. Do not assume the seller is discharged from its obligations merely because the manufacturer is involved.[S1]

If the business refuses or does nothing

Ask for the refusal and the reasons in writing. Keep a timeline of every contact and any costs you incur.

If direct discussions fail, possible escalation routes include:

A complaint to the relevant state or territory consumer-protection agency
An industry ombudsman or dispute-resolution scheme, if one covers the business
A formal letter of demand
A claim in the appropriate state or territory civil and administrative tribunal or court
Advice from a community legal centre or consumer organisation

The ACCC provides consumer information and may use complaints to identify broader conduct, but it generally does not resolve individual compensation disputes.[S1]

Before starting a tribunal or court claim, check limitation periods, filing fees, jurisdiction, required dispute-resolution steps and the evidence needed. A practical written settlement can often resolve a dispute faster than formal proceedings.

Practical checklist

Stop using a product that appears unsafe.
Contact the seller promptly and explain the problem.
Ask for a specific remedy: repair, replacement, refund, cancellation or compensation.
Put the complaint in writing.
Give a reasonable time for a response.
Preserve the product and relevant evidence.
Do not accept store credit if you are entitled to another remedy unless you choose it.
Escalate through the appropriate regulator, ombudsman or tribunal if necessary.

The central question is not simply what the store’s policy says. It is whether the product or service met the consumer guarantees and, if not, whether the failure is major or minor.[S1]