From November 2016 to March 2017, the Consumers Association of Singapore (“CASE”) received 19 complaints* against Danish company, Lux International Sales ApS, trading as LuxStyle.
Consumers reported that they had clicked on an online advertisement to find out more information on the product sold. On the information page, they had to fill in their personal details such as their name and home address to view the prices of the products. The consumers decided not to buy the product at this stage and did not agree to make any payment.
However, they received a package from the company shipped to their doorstep sometime later and an invoice asking for payment. When consumers wrote in to claim that they did not make the order, they were told to return the package at their own cost.
Consumers that did not make payment were sent multiple letters chasing for the payment for the products, inclusive of additional penalty fees for late payment. A consumer reported that she had tried to return the products by registered mail to Denmark but was denied the refund as the parcel was not delivered within 14 days as stated in their terms and conditions.
These practices by LuxStyle are highly unethical and is prohibited under the Consumer Protection (Fair Trading) Act. The CPFTA prohibits businesses from asserting a right to payment for goods that the consumer did not agree to buy, otherwise known as unsolicited goods.
Hence, unless the consumer has expressly acknowledged the intention to accept and pay for such goods (at the point of checkout), the consumer is not obliged to make payment as it is unlikely that there was a binding contract for payment of the unsolicited goods. Any cost required to return the goods should be also borne by the company.
CASE advises affected consumers to ignore the letters and not make any payment to the company. Consumers with additional concerns may approach CASE for further assistance via our hotline: 6100 0315 or walk in to our office at 170 Ghim Moh Road, Ulu Pandan Community Building, #05-01, Singapore 279621.
*Complaints include counselled cases (including phone enquiries) only.
The Consumers Association of Singapore (CASE) is concerned about the recently reported incidents involving Galaxy Note 7 devices and the safety implications that this might have for existing Galaxy Note 7 customers.
As of 11 October 2016, CASE understands that investigations into the reported incidents are taking place and pending the outcome of such investigations, carriers, retailer and partners of Samsung globally have stopped sales and exchange of Galaxy Note 7 devices.
CASE notes that Samsung is ending the production of the Galaxy Note 7 device and will no longer be exchanging the devices. As such, to minimise further inconvenience to consumers, CASE would like to appeal to all retailers to work closely with Samsung to:
- Conduct a voluntary recall of the Galaxy Note 7 devices in view of the reported safety issues of Galaxy Note 7, and
- Offer a refund to consumers who have purchased the Galaxy Note 7 devices.
CASE has also written to the relevant authority to look into the safety aspects of the matter.
Meanwhile, CASE would like to urge all consumers to follow the safety advisory issued by Samsung and to power down and stop using their Galaxy Note 7 devices.
Existing Galaxy Note 7 customers can also visit the Samsung Customer Service Centre at Westgate (level 3) to obtain a courtesy device on loan in the meantime.
Updated as of 12 October 2016, 10am.