Q: My company sells cameras with a five-year commercial guarantee. We currently have an issue with a client regarding the repair of a camera that was purchased three years ago.

Our suppliers have recently informed us that due to COVID restrictions, the factory cannot supply us with parts for repairs until the end of this year. This means that any faulty cameras that are still covered by the commercial guarantee cannot be repaired within the time frame stipulated in the guarantee. In view of this, the company is considering offering refunds for faulty cameras.

In this case, the camera was bought over three years ago. We would like to know how we should calculate the amount of refund due. Are we obliged to offer a full refund or can we take into consideration the product’s depreciation?

A: If the product in question can neither be repaired nor replaced, then your client is entitled to compensation.

Regarding the amount of compensation, this is something that you as the seller need to reach an agreement upon with your client. Usually in such situations, one takes into consideration the current market value of the product and how much the camera was used by the consumer.

If you and your client cannot agree on the refund amount, then your client may file a complaint with the Office for Consumer Affairs so that, through conciliation, this office can help the two of you reach an amicable agreement on a justified and reasonable compensation.

Sign up to our free newsletters

Get the best updates straight to your inbox:
Please select at least one mailing list.

You can unsubscribe at any time by clicking the link in the footer of our emails. We use Mailchimp as our marketing platform. By subscribing, you acknowledge that your information will be transferred to Mailchimp for processing.