Australasian Touring Caravan, Motorhome & Camping Club, Inc.

The following is an extract from a letter sent to one of our members from the Victorian Minister for Consumer Affairs, Hon Tony Robinson MP

For many consumers, a caravan is a significant cost which requires careful consideration before making a purchase.

In Victoria, whenever consumers buy goods such as a caravan and enter into a contract for sale, the Victorian Fair Trading Act 1999 implies certain promises by the seller which become a statutory warranty. The statutory warranty requires that:

• the goods will correspond with their description;
• the goods are of a merchantable quality; and
• where the buyer makes known the purpose for which the goods are required, the goods will fit that purpose.

Many sellers of products will offer a voluntary warranty (also known as an express warranty) when consumers purchase goods.  These are usually manufacturer warranties and are typically 12 months from the time of purchase for many products such as caravans as you have noted in your letter.  Regardless of what the voluntary warranty offers to provide, the statutory rights (statutory warranty) you have under the Fair Trading Act still apply.

Some sellers also encourage consumers to purchase an extended warranty beyond the period covered by the initial express warranty offered on the sale of particular goods.  Extended warranties offered by sellers are in fact service agreements or insurance contracts, not warranties.  Consumers should check whether there are any likely benefits from the extended warranty to justify the additional cost.

In Victoria, please call Consumer Affairs Victoria on 1300 558 181 for further advice on this matter.  In other states call the relivant department in your state.

Please note that you have the same statutory warranty rights under the Australian Government's Trade Practices Act 1974, administered by the Australian Competition and Consumer Commission (ACCC).