Consumer Alert - Advisory on LuxStyle International

From November 2016 to 27 May 2017, the Consumers Association of Singapore (“CASE”) received 38 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 sample of such letters can be found here. 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.

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