WIREDGOV

The OFT has successfully taken court action against an online computer software retailer who failed to deliver goods or provide timely refunds.

Cardiff based Arora Tech Limited, and associated websites ESave2Day, Shop4Tek.com and PricebustersUK.com offered for sale various computer software and hardware products such as memory cards and hard drives but in many cases failed to dispatch the items or supplied them up to several months late.

The companies' director Pavan Arora has been ordered by Cardiff County Court to provide refunds to customers who remain out of pocket. If he fails to do so, he could be fined or imprisoned.

Consumers shopping on websites operated by Mr Arora who opted for 'same day delivery' or 'express delivery' for an additional fee often found that their items were not delivered as promised. When the goods were not delivered a number of consumers attempted to cancel their purchases to obtain refunds. However Mr Arora often ignored their requests and in many cases also failed to provide refunds.

Under the law, unless the shopper agrees otherwise, internet traders are generally required to supply goods within 30 days or provide a refund. Traders should also not offer for sale products that they cannot reasonably guarantee to supply.

Online shoppers have specific legal protections and different cancellation rights from those buying in store, including:

• an unconditional 'cooling off' period (usually seven days) during which an order can be cancelled and a full refund received (this excludes certain items such as perishable items or personalised goods)
• a full refund if the goods or services are not provided by the date agreed. If a date was not agreed, then the shopper is entitled to a refund if the goods or services are not provided within 30 days.

The OFT will be monitoring compliance with this order and is interested to hear from any consumers who have bought from any of Mr Arora's websites and not received goods or refunds.

Jason Freeman, Director of the OFT's Goods and Consumer Group, said:

'It is important that consumers can rely on internet retailers to supply products as promised. This court order should send a clear message to traders that they must comply with their obligations under consumer law or risk court proceedings.'

NOTES

1. View the case closure summary in respect of this investigation.
2. The OFT first took action against this trader in June 2010, securing undertakings under Enterprise Act 2002, but having become aware that these undertakings appeared to have been breached, it issued court proceedings against the operator of the websites in January 2011. The order was granted by Cardiff County Court on 13 May 2011 and also requires refunds to be provided to three specific consumers named in the court order. 
3. Some of Mr Arora's customers were able to get their money back from their payment card provider using section 75 of the Consumer Credit Act or charge back schemes associated with their debit card.
4. People who made purchases from websites operated by Mr Arora and believe they may be entitled to a refund should email enquiries@oft.gsi.gov.uk.
5. See advice for businesses on their requirements under the Distance Selling Regulations 2000. 
   
   The Consumer Protection from Unfair Trading Regulations 2008 (CPRs) contain a general prohibition against unfair commercial practices and, in particular, prohibitions against misleading actions, misleading omissions and aggressive commercial practices. The Regulations are enforceable through the civil and criminal courts. See further information and advice for businesses.
6. The OFT does not provide advice or resolve individual complaints for consumers. Consumers who are concerned they have been unfairly treated or want advice on their personal circumstances can contact Consumer Direct.