‘No Refunds’ Doesn't Always Mean No Refunds
Repairs, replacements and refunds under Australian Consumer Law
A store policy cannot remove the automatic consumer guarantees. If goods or services fail a guarantee, the remedy depends mainly on whether the failure is major or minor. A simple change of mind is treated differently.
Key takeaways
- A blanket ‘no refunds’ policy cannot remove rights arising from a consumer-guarantee failure.
- A major problem with goods generally allows the consumer to choose a refund or replacement.
- For a minor problem, the supplier usually has the first opportunity to provide a free remedy.
- Warranty expiry, sale pricing or missing original packaging does not automatically end consumer rights.
Who and what are covered?
The Australian Consumer Law applies nationally. A buyer may be a consumer where the price is $100,000 or less, where higher-priced goods or services are ordinarily acquired for personal, domestic or household use, or where goods are a vehicle or trailer principally acquired to transport goods on public roads. Specific exclusions apply, including some purchases for resale or production.
New goods, second-hand goods, sale items and online purchases from businesses trading in Australia may be covered. The full consumer-guarantee regime does not generally apply to a private one-off seller, and overseas transactions can create enforcement difficulties.
What are the automatic guarantees?
Goods
- acceptable quality, including reasonable safety and durability;
- fitness for a disclosed purpose;
- matching description, sample or demonstration model;
- reasonable availability of repairs and spare parts;
- compliance with express warranties; and
- title, undisturbed possession and no undisclosed securities.
Services
- due care and skill;
- fitness for a disclosed purpose or desired result where the legal test is met; and
- supply within a reasonable time if no time was fixed.
Section 64 of the Australian Consumer Law generally prevents contracts from excluding or restricting these guarantees.
Major or minor problem?
Major failure with goods
A failure may be major if a reasonable consumer would not have bought the goods had they known, the goods significantly depart from description or sample, are substantially unfit and cannot easily be fixed within a reasonable time, are unsafe, or multiple failures together are major.
Minor failure with goods
A minor failure can be remedied and does not satisfy the major-failure test. The supplier generally controls the first remedy and must act within a reasonable time.
The legal tests, not the buyer's frustration or the item's price by itself, determine the classification.
Remedies for goods
For a major failure, the consumer may reject the goods and choose a refund or replacement, or keep them and claim compensation for the reduction in value. A supplier cannot insist on repair where the consumer validly rejects goods for a major failure.
For a minor failure, the supplier may choose an available remedy such as repair, replacement or refund. If it refuses or does not act within a reasonable time, the consumer may have the problem fixed elsewhere and recover reasonable costs, or may reject the goods where the statutory conditions are met.
The consumer normally returns rejected goods. Where this would involve significant cost because of the goods or failure, the supplier must collect them at its expense within a reasonable time. Original packaging is not required.
Remedies for services
For a minor service problem, the consumer may require the supplier to remedy it within a reasonable time. If the supplier refuses or fails to do so, the consumer may arrange another remedy and recover reasonable costs or terminate the contract where the statutory requirements are met.
For a major service failure, the consumer may terminate the contract or keep it and claim compensation for the difference between the value supplied and the price paid. Compensation may also be available for reasonably foreseeable loss caused by the failure.
Common situations
| Situation | General position |
|---|---|
| The written warranty expired | Consumer guarantees may continue for a reasonable period. Warranty expiry is not conclusive. |
| The item was on sale | Guarantees still apply unless the relevant fault was specifically disclosed before purchase. |
| The buyer changed their mind | There is generally no automatic refund right, but the store must honour its voluntary policy. |
| The store says to contact the manufacturer | The seller remains responsible for remedies it owes and generally cannot force the consumer to pursue the manufacturer. |
| The original receipt is missing | Other proof may work, including a card statement, order confirmation or warranty record. |
| The store offers credit only | For a valid major-failure rejection, the consumer may choose a refund rather than store credit. |
How to make and escalate a complaint
- Keep proof of purchase, advertisements, warranty documents, photographs, messages and relevant assessments.
- Identify the failed guarantee and explain the problem factually.
- State whether you believe the failure is major or minor and why.
- Ask for the remedy available under the law. For a major goods failure, clearly state that you reject the goods and choose a refund or replacement.
- Keep the complaint in writing and allow a reasonable response time.
If the dispute remains unresolved, contact the consumer-protection agency in your state or territory. In Victoria, Consumer Affairs Victoria may provide information or voluntary dispute assistance. VCAT or a court may be available depending on the claim. The ACCC accepts reports but does not resolve individual refund disputes.
Sources and further reading
Primary legislation and official government guidance were prioritised. Links checked 25 August 2026.
Important notice
Lexplain provides general legal research and information only. It is not a law firm and does not provide legal advice, representation or personalised conclusions. Laws and individual circumstances can differ. Check the current law and obtain professional advice where needed.