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Special report The Lemon Law implemented on 1 September 2012 applies to all goods, including consumables and perishables but not services. Department of Economics at NUS. “This percentage can vary between two-third and three-quarter of the price excluding GST. If the seller exercises this option, the seller can keep the defective product and then resell it somewhere else.” Lemon Laws are therefore tailored to create a better consumer-seller relationship, for instead of viewing the seller as the enemy, better transparency would provide better cooperation between the two. This however may be a double-edged sword. Unless relating to a software defect, there is a fine line between manufacturing defects and defects caused by misuse. For instance, when the stitching of a button from a shirt purchased four months ago comes undone, at what point would it be due to poor quality in its manufacturing? To what extent should defects be blamed on natural wear-and-tear? “The Lemon Law is a positive move towards the protection of 20 THE GRADUATE Oct-Dec 2012 “The Lemon Law would be expensive for the seller to implement as many products are not produced here. Such law will lead to prices being raised, as the seller has to go back to the overseas supplier.” Dr lee Soo ann Part-time Senior Fellow Lee Kuan Yew School of Public Policy and the Department of economics, NUS consumer rights. As it is relatively new, the jury is still out as to how far it can protect consumer rights,” said Mr Aw. According to Mr Lim, consumer rights have evolved over the years to become a topic of much greater importance. Consumers are now more educated and much more aware of their rights. However, there is still a large proportion of consumers who are elderly and illiterate and difficult to reach with educational messages. These are people who may be unaware of their rights and avenues of seeking redress. “Ultimately, consumer protection involves everyone, and in this respect, we definitely can do more to engage different segments of the community to empower them. I also believe that unethical businesses are the exception rather than the norm. Increasingly, businesses are adopting more consumer-friendly practices,” shared Mr Lim. “They see this as part of the
caSe StuDieS Dr tan Puay Siew, Deputy 1 Group Manager (Singapore institute of Manufacturing technology) recalled her experience with Singtel on mio tv. She had to make countless complaints about their poor broadcast quality. She watches the ePL football broadcast. On the first day of the first season, the system promptly collapsed and the family experienced jerky or frozenedscreen video. After lengthy phone calls to their service hotline and multiple home visits, the staff finally agreed to provide another land line for free. this is after their service personnel tried to ‘sell’ to her family their standard alternative. After some months, Singtel started charging them. the same ‘jerky’ issue happened on the last day of the 2011/12 season. Dr tan indicated that her entire season’s football experience was totally spoilt by the incident on the last day of the season. Dr tan and her husband were clueless whether a goal was scored. She obtained the information from the people in Malaysia. Singtel only compensated them with a onemonth rental credit citing goodwill although the fault lied with them. 2 Recently Ms Vicki Loh purchased two computer cables which turned out to be the wrong cables for her computer. the first purchase was from a major electronics retailer and the other purchase was from a small shop in Sim lim Square. With a bit of negotiation she was able to get an exchange and refund on both the cables even though both receipts stated that there would be no refunds. the major electronics retailer allowed her to exchange the wrong cable for another item of the same value. the small shop in Sim Lim Square gave her a refund. customer service experience that they use to differentiate themselves. Our consumer protection laws also serve as a deterrent to errant businesses. In order to remain relevant, the laws are constantly reviewed and updated to provide more comprehensive protection to consumers. The Lemon Law is one such example.” exercising consumer rights Ms Bernadette Wong recalled the time when she exercised her consumer rights. She had a laptop that failed on her thrice. The service centre of that particular brand was all too willing to repair her laptop as it was still under a one year warranty. She had to insist on a one-to-one exchange upon the fourth crash of the hard drive within a one year duration. It was unjust that the option was not offered to her since there were already multiple repairs on what was clearly a defective product. “The Lemon Law makes it obligatory for retailers to replace, exchange or give refunds to consumers should there be any defective items sold to them. It means that I would have solid grounds for asking retailers to replace a product I am not satisfied with. I do feel that a culture shift is needed for businesses to invest more in sourcing for quality products, in drawing up strong buying contracts that protect themselves from their suppliers and in maintaining strong after-sales support services,” commented Ms Wong. “Without the above, businesses would Special report “I do feel that a culture shift is needed for businesses to invest more in sourcing for quality products, in drawing up strong buying contracts that protect themselves from their suppliers and in maintaining strong after-sales support services. Without the above, businesses would feel hard-pressed by the lemon law and caught between a rock and a hard place...” ms Bernadette Wong Manager of Special Projects creative eateries feel hard-pressed by the lemon law and caught between a rock and a hard place if they have not protected themselves and yet have to cater to the demands of consumers with higher expectations on service and quality of goods.” Many business retailers are mindful of leaving a positive impression on their customers, especially if they hope to be in business in the long term. It is possible to negotiate one’s way out of a bad or even just a mistaken purchase. When all else fails, it is important to have the consumer protection rights in place to protect the consumer. In addition, the new amendments provide clarity on what happens when or if the consumer receives a defective or non-conforming item. The consumer may then ask the retailer to repair or replace the good in question, within a reasonable time and with minimal inconvenience to the customer. “As a consumer it is important to know your rights. Without an awareness of your rights, you will not know what you can expect from a retailer,” concluded Ms Vicki Loh, Senior Associate at Legal Solutions LLC. “At the end of the day, the best protection is really your self. Know your rights, know what you are buying and ensure you are getting what you are supposed to be getting. Prevention is always better than cure.” Oct-Dec 2012 THE GRADUATE 21
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NUSS bids farewell to Suntec City Guild House for the

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