Statutory warranties transferable?

Hi @Hoddo, welcome to the community.

I have moved your post to an existing thread about transferability of warranties.

In general, unless a product warranty documentation indicates it is transferrable, unfortunately warranties only remain with the purchaser of the product. A business however may be willing to resolve an issue/fault with their product, even though the product purchaser has sold it on to another party.

It is worth contacting the spa manufacturer/installer (rather than retailer) to see if they are willing to do this for the spa if it is within their standard product warranty. A retailer will invariably say no to being under warranty as it is them who wear warranty repairs should it be found later the manufacturer refuses to cover repairs under warranty. A manufacturer/installer may be more willing to resolve to keep a customer happy (goodwill) and can make decisions in relation to deviating from standard warranty conditions.

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This is really not satisfactory and all warranties should be fully transferrable like motor vehicle warranties.

If businesses are not prepared to transfer the warranty to a new owner, they should not be allowed to sell the items.

@BrendanMays. Perhaps something for Choice to campaign as we will all be long gone before the Government or the ACCC ever does anything?

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Possibly, but there are challenges. Purchasing a second hand product still under manufacturer warranty one doesn’t know or be able to defend the product history. Was it misused, was it modified/damaged by past owner or was it maintained and serviced appropriately.

Cars are a little different as they have service logbooks etc.

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How would that differ from the original or subsequent owner? A proof of purchase would offer exactly the same ‘guarantees’ about its history, would it not? Some aspects (eg modification or prior repairs) can be self evident, but ‘the rest’?

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The original owner may have service records, installer information, able to argue product used appropriately etc. Such may be difficult for a subsequent owner unless the purchaser goes into bat for them.

There could also be cases where new products are sold with warranty
such as new goods which are damaged in some way and damage known on purchase. A second owner may not know this is the case.

Most second hand products are sold at significant discount to new prices, possibly in recognition of lesser consumer rights.

A solution may be entering a formal sale contract with the sell which states that the sell provides some sort of guarantee in relation to the product.

If all records are available, purchase and service?

Unless that is on the original purchase documentation how would anyone know? If it is, everyone would know.

Which was the point about transferable warranties. If the documentation and proof is available, why shouldn’t a warranty be applicable to the current owner?

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Exactly
and many don’t keep original documentation let alone receipts/proof of purchase. More often now businesses track down purchases by purchaser’s name or credit card details.

As individual product serial numbers aren’t often recorded in purchases, how would a business know another person with a receipt has the defective product purchased and displayed on the receipt. Businesses would have to trust the customer is honest
I can see individuals getting a receipt for a newly purchased product to make a claim for an older product out of warranty.

One should assume that there is no warranty or ACL consumer guarantee on second hand goods, which is adopted in Australia. If a second hand product is sold with a warranty (manufacturer or seller - for example used cars), then this clarifies a warranty exists.

Only if the second hand product was sold as having a transferable warranty
otherwise assume there is none.

As outlined above, a business may use its discretion and provide resolution for faults where warranties aren’t transferable. One shouldn’t have the expectation they have rights under the ACL if buying second hand goods. Such approach is clear cut rather than trying to work out if appropriate proof of purchase is given when a second hand product is advertised and purchased
or trying to work out if the product owner is honest.

Having transferable warranty would potentially increase price of second hand products claimed to be under warranty
and it is likely it may be abused by those trying to sell second hand products (fake proof of purchase or claims product is still under warranty etc).

In relation to the most recent spa example, it appears the installation is the issue. This poses even more challenges as one would need to prove the retailer/manufacturer were responsible for the installation, the previous owner hadn’t installed it or modified the installation and the installation has a current warranty. These may be difficult to resolve as it might be very much a finger pointing exercise of who caused the problem at hand.

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As this was a house/home purchase a buyer should use due diligence in ascertaining any problems before the contract is finalised. Thus the spa/hot tub should have been checked and any problems taken up with the seller.

The problem seems to be with placement and the product is currently working. @Hoddo sadly may have to now pay for alterations to place the product in a suitable position. Did the spa have approved plans for it’s inclusion in the property (were they even required). If not approved if approval was required it may also need removal or application for approval.

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I failed to find the answer to this on ACCC. I know it is a topic that Choice often talks about.

Searches on the web, say they do for cars, but vague about goods in general.

Are private sales treated differently to sales back to the retailer? Not that I think they ought to be.

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Hi @longinthetooth, I have moved your post to an existing thread which covers the same question you have raised.

In general, warranties aren’t transferrable when buying something second hand unless the terms and conditions associated with the sale or legislation indicates that they can be transferred. Most consumer items the warranty isn’t transferrable as one needs a proof of purchase when making a warranty claim. While it is possible to obtain a copy of the proof of sale buying a second hand item, a seller/retailer could reasonably refuse a warranty claim as the buyer isn’t the original purchaser of the product. They could reasonably ask for evidence that you are the original purchaser should they suspect otherwise. Warranties applying to the original purchaser is also outlined in some terms and conditions for products commonly sold.

Some products such as new cars, second hand cars from dealers and building work, warranties are transferrable and either outlined in law or through the terms of conditions associated with the purchase.

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Beyond the question of warranties the ACCC states

Exceptions and special rules

There are some exceptions and special rules where consumer guarantees don’t apply to certain types of goods and services, or apply in a different way, or different laws apply:

  • hiring or leasing a product
  • bundled products and services
  • private sales, where the seller isn’t running a business
  • auctions
  • products from overseas businesses
  • products and services bought before 2011
  • financial products
  • services to transport or store business goods
  • engineering and architect services.

and is further mentioned in the state Fair Trade sites such as this from NSW

Australian Consumer Law does not apply when you buy from a private seller (eg buying a second-hand item from an individual on eBay) because they are not acting in trade or commerce like a normal retailer.

When you buy from a private seller, it is called a consumer-to consumer transaction and contract law applies. However, you still have the right to expect the title on the goods (full ownership) after purchase and that it is free from any security or charge on it, unless told otherwise before the sale.

We recommend seeking independent legal advice if you have a problem regarding a consumer-to-consumer transaction.

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Thank you, just what I was after.

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I have done lots of reading on this and if I understand correctly, these conditions apply:
Private seller, selling something (even if it is covered by a product warranty) to another private seller, and there is no warranty from the seller to the buyer.
The product warranty is not transferable to another person.
But

Nowhere can I find where an original purchaser loses their statutory warranty protection on the product if they sell it then get it back.
So long as they own the product and have proof of ownership preferably by original sales receipt, the statutory rights still apply.
Therefore, if an original purchaser sells an item that is covered by warranty it would seem it is their legal right to receive warranty on that item should they regain or claim possession of that item.

I bought an electrical appliance with 3 years manufacturer warranty from a private seller when it was around 1 year old.
It is now around 2 years old.
The original owner maintains friendly contact with me and has proof of purchase.
So, if needed (if the manufacturer does not agree to repair without charge), I could in theory return the item to the original purchaser who could claim the warranty, then return the repaired item to me.

Have I got that right?

I don’t see any reason why your suggestion, if there was any warranty remaining, would be somehow voided.
It would be like me going and buying someone something, because I was knowlegable, or could get a discount, and they use it and reimburse me for the money paid.
As long as there is a proof of purchase, one could take the appliance back from where it was originally bought, and request warranty action be taken.

Or many items in my newly built house had been bought by the builder not by me. Upon taking possession, warranties are void?. Ludicrous and of course not. But that document showing purchase with from whom and date are the key.