Close
 

Sales Concepts LTD fined $145k for 'obvious misrepresentation'

  • News
  • March 15, 2017
Sales Concepts LTD fined $145k for 'obvious misrepresentation'

Mobile trader Sales Concepts were fined $145k after misrepresentation and dodgy contracts surrounding Christmas bundle payment and delivery service. 

Mobile trader Sales Concepts pleaded guilty to ten charges against the Fair Trading Act (1986) resulting in a $145,000 fine.

The company was sentenced by Judge Sinclair before the North Shore District Court on ten accounts against the act, directly relating to obvious misrepresentations when obtaining sales.

The charges came after a misleading Christmas promotion that saw customers spending between $599 and $1,500 for electronic bundles that were promised to be delivered before Christmas, but were not.

Judge Sinclair states the company had only intended to make a profit with little regard to the impact of the customers around the already financially stressful Christmas period.

“I cannot accept the submission that the defendant company was not aware of the representations,” she said. “This was not a large company – it cannot abdicate responsibility and hide behind the actions of a reported few aberrant sales staff.”

Sales Concept pleaded guilty to the Auckland District Court late September of last year.

Sales Concepts also made representations surrounding the products being made in New Zealand, the total price of the Christmas bundle, the inclusion of a delivery fee and customers’ cancellation rights.

Anna Rawlings, commerce commissioner, said Sales Concepts’ staff had misled its customers in several ways.

“Traders are responsible for what their employees do. Frontline sales staff need to be properly trained to understand their obligations under consumer laws. The incentive to make a sale must never compromise the trader’s obligation to provide clear and truthful information to its customers.”

“Sales Concepts stopped its misrepresentations and agreed to refund its customers after the Commission intervened in December 2015. But its Christmas sales practices had already caused confusion and distress at a time of year when many people come under financial pressure,” Rawlings said.

Sales Concepts also failed to comply with the FTA disclosure requirements for uninvited direct sales agreements because several of the agreements were not dated, had illegible handwritten contractual terms or unclear descriptions of the goods to be provided.

This is a community discussion forum. Comment is free but please respect our rules:

  1. Don’t be abusive or use sweary type words
  2. Don’t break the law: libel, slander and defamatory comments are forbidden
  3. Don’t resort to name-calling, mean-spiritedness, or slagging off
  4. Don’t pretend to be someone else.

If we find you doing these things, your comments will be edited without recourse and you may be asked to go away and reconsider your actions.
We respect the right to free speech and anonymous comments. Don’t abuse the privilege.

 
 
 

Bambi Boutique: The launch that influence built

  • News
  • February 22, 2018
Bambi Boutique: The launch that influence built

Bambi Boutique is the latest venture by Auckland business tycoon, Iyia Liu, proving time and time again that influencer marketing is the key to quick growth. The Bambi Boutique launch went off without a hitch, while Liu’s influence saw the launch almost completely subsidised by the vendors involved.

Read more
 
 
Technology

Looking at retail inside and out: Simon Pound talks Vend, ventures and diversification

Simon Pound worked with retail tech company Vend for more than four years before shifting to become a partner at ventures start-up Previously Unavailable in ...

 
topics
Amazon Arrival
Keeping up with all things Amazon as it ...
The Retail Yearbook 2017
As we battle our way through the busiest ...
The future is bright
We spoke with four retailers in their twenties ...
Hospitality enhancing retail
Some think food and integrated hospitality offerings will ...
Spotlight on signage
At first glance, the humble in-store sign might ...
Red Awards 2016
The Red Awards for retail interior design celebrate ...
Auckland Unitary Plan
Auckland is changing. The Unitary Plan will decide ...
Sisterhood
Women in retail help one another. We spoke ...
All things to all people
Kiwi retailers share their omnichannel strategies.
How to open a store
Sarah Dunn considers what it would take to ...
Rising stars
Retail's top young achievers.
Delivering on your promises
The sale isn't over until your item is ...
Retail in heartland New Zealand
Retailers keep the regions pumping, but how strong ...
The changing face of retail
Shifting demographics are creating big changes in New ...
The retail yearbook
With the help of experts in the retail ...
Retail rogues
We put the spotlight on staff training. Jai ...
Here come the giants
Topshop has arrived in Auckland’s CBD, David Jones ...
From retail to e-tail
Ecommerce has become part of the way mainstream ...
Loyalty in the digital age
How are retailers maintaining loyalty? Sarah Dunn, Elly ...
Window shopping: A spotlight on social media
Sarah Dunn and Elly Strang look at how ...
The Innovators | In partnership with Spark Business
Technology is rapidly changing the retail industry as ...
 
 
 

GoodFor opens a second store in Parnell

  • News
  • February 21, 2018
  • Courtney Devereux
GoodFor opens a second store in Parnell

Popular bulk food retailer GoodFor, has branched out and taken its success out in east Auckland as it opens a new store and distribution centre in Parnell. The move comes less than a year after its launch.

Read more
 
 
Next page
Results for
Topics
Jobs
About us.

The Register provides essential industry news and intelligence, updated daily. And the digital newsletter delivers the latest news to your inbox twice a week — for free!

©2009–2015 Tangible Media. All rights reserved.
Use of this site constitutes acceptance of our Privacy policy.

Advertise
The Register

editor@theregister.co.nz

Content marketing/advertising? Email anita@tangiblemedia.co.nz or call 022 639 3004

View Media Kit

}