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Freedom Furniture busted for allegedly refusing refunds - Yahoo Finance Australia

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Freedom Furniture allegedly mislead customers on its website. (Images: Freedom/Facebook)

Retail chain Freedom Furniture has paid penalties for allegedly misleading customers about their rights to a refund.

The furniture giant is accused of putting up a notice last year that said "Furniture items cannot be returned or exchanged, except at Freedom’s absolute discretion".

The Australian Competition and Consumer Commission became concerned that this message on the Freedom website was illegal.

"Under the Australian Consumer Law, consumers have the right to ask for their choice of a repair, replacement or refund when they have purchased a product that has a fault which amounts to a major failure," said ACCC commissioner Sarah Court.

"Retailers must not misrepresent consumer guarantee rights to their customers."

The watchdog subsequently served two infringement notices on Freedom Furniture's parent company Steinhoff Asia-Pacific.

On Tuesday, the ACCC revealed Steinhoff had paid $25,200 of fines.

Yahoo Finance has contacted Freedom Furniture for comment.

The company also owns other furniture retailers Fantastic Furniture, Bay Leather Republic, Original Mattress Factory, Plush and Snooze – but the fines only relate to Freedom Furniture.

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