Electronics chain penalised $750,000 by Federal Court

This is the second time MSY has been taken to court in recent years by the ACCC.

MSY Technology, a national chain of 28 electronics stores selling computers, computer parts, accessories and software, has been fined $750,000 in a Federal Court case brought against it by the Australian Competition and Consumer Commission (ACCC).

The Federal Court ruled the computer company misled customers over their rights to a repair, replacement or refund for faulty products, and that it did so on its website, over email and in person.

This is the second court action over warranty claims the ACCC has brought against MSY. The computer company was fined $203,500 for similar conduct in 2011, and was ordered by the court to refrain for "five years from making false or misleading representations about a consumer's statutory warranty rights".

But the ACCC came across evidence suggesting MSY was still breaching Australian Consumer Law (ACL) from January 2013 to February 2016, and filed the follow-up court case in December later that year.

Delia Rickard, the deputy chair of the ACCC, says "these proceedings and the penalties imposed signal to businesses that the ACCC will not hesitate to take appropriate enforcement action where it identifies misleading representations about consumers' rights.

"Businesses must ensure their refund and returns policies, and any representations accurately reflect their obligations under consumer law," she adds.

MSY will have to pay an additional $50,000 towards the ACCC's legal costs, as ordered by the Federal Court, and institute a comprehensive ACL compliance training program, among other orders.