MSY to face court over alleged warranty breach

The ACCC has launched legal proceedings against national software and PC reseller MSY Technology for alleged warranty breaches.

The Australian consumer watchdog claimed that MSY Technology misled consumers over their statutory warranty rights in notices, pricelists, pamphlets and promotional material placed in stores, and on certain receipts.

The consumer watchdog claimed the  misleading warranty representations were in breach of the Trade Practices Act 1974 and sought court orders, injunctions, civil penalties, corrective notices and costs, as well as orders for MSY to implement a trade practices-compliant warranty program.

CRN has contacted MSY seeking contact. 

In June MSY revealed that it had outsourced its warranty services division to National Warranty Services (NWS) to strengthen its focus on its hardware sales.

MSY business development manager Alex Surdonjic told CRN at the time that it would reduce freight costs for customers and provide better service.

"With NWS, the technician goes to the customer with the parts and repairs it," he said.

"The warranty and service is an additional cost option on top the manufactures warranty and MSY's 12-month return to base warranty, he said.

Don Card, general manager of National Warranty Services, told CRN that MSY Technology used NWS on an "ad-hoc basis"

The matter is to be heard by Justice Perram on 16 November.