, Singapore

Refunding defective goods no longer the default recourse

Under the newly amended lemon laws, businesses may first repair or replace the items before handing a refund.

Meanwhile, consumers have an option to keep the defective product and request for a partial refund, instead of returning it outright for a full refund, said the Ministry of Trade and Industry (MTI) in a release.

The proposed amendments to lemon laws, which are laws that protect consumers from defective goods, have just passed the Singapore parliament.

In addition, consumers also now have six months to claim a defect, and even take matters to court should the retailer disagree with the claim.

"The proposed amendments make it clearer that a defect found within 6 months is presumed to have existed at the point of delivery. These laws will make the transactional process between buyer and seller more open and transparent, with clearer rules on the burden of proof, and more certainty about the recourses available," said MTI.

"With 'lemon laws' in place, there are now additional remedies (e.g. repair and replacement) beyond just rejecting the goods and getting a refund. The amendments will assure both locals and tourists that the products they buy are of good quality, and improve the image of the retail industry in Singapore. It will also foster good business practices among retailers," it added.

The proposed amendments will come into effect September 1, 2012.

Join Singapore Business Review community
Join Singapore Business Review community
A NOTE FROM SINGAPORE BUSINESS REVIEW

Reaching the people who run Asia's businesses is harder than it used to be.

Inboxes are crowded. Attention is short. The executives you most want to reach — the founders, CFOs, and operators who actually move budgets — are the hardest to find through the usual channels. If you're building a company, a category, or a reputation, you already know this.

We've spent twenty years building the room they read. Singapore Business Review is where senior decision makers in Singapore and across Southeast Asia come for business coverage they can't get elsewhere — in print, online, and in person at the summits and roundtables we host across seven markets.

If you have something these readers should know about — a point of view worth publishing, a product worth their attention, an event worth their time — we'd like to hear what you're trying to do.