EU judge recommends review of Apple's advertised warranties
The chief justice of the European Union has said that Apple's advertised AppleCare product warranties should be examined to determine whether they comply with the law.
EU Justice Commissioner Viviane Reding wrote a letter to the 27 countries that are members of the EU that was obtained by Bloomberg. The letter called Apple's marketing practices "unacceptable."
"Apple prominently advertised that its products come with a one-year manufacturer warranty but failed to indicate the consumers' automatic and free-of-cost entitlement to a minimum two-year guarantee under EU law," Reding wrote.
The letter comes after the Italian government fined Apple $1.2 million earlier this year for not providing customers with accurate information regarding mandated product guarantees and warranty stipulations. Apple was investigated for "unfair commercial practices," and was found to have pushed its paid two-year AppleCare warranty on customers, despite the fact that EU laws require companies to offer the same protections without charge.
In response, Apple featured a "communication to protect consumers" in Italy in January. In complying with the court order, Apple began informing customers at its online store about the legally mandated two-year warranty.
While Apple's warranty trouble has been primarily in Italy to date, the letter from Reding suggests that those issues could spread to other countries in the EU. Each country in the union has different sanctions for violations of consumer protection law, but the EU cannot investigate a company itself for misleading advertising.
EU Justice Commissioner Viviane Reding wrote a letter to the 27 countries that are members of the EU that was obtained by Bloomberg. The letter called Apple's marketing practices "unacceptable."
"Apple prominently advertised that its products come with a one-year manufacturer warranty but failed to indicate the consumers' automatic and free-of-cost entitlement to a minimum two-year guarantee under EU law," Reding wrote.
The letter comes after the Italian government fined Apple $1.2 million earlier this year for not providing customers with accurate information regarding mandated product guarantees and warranty stipulations. Apple was investigated for "unfair commercial practices," and was found to have pushed its paid two-year AppleCare warranty on customers, despite the fact that EU laws require companies to offer the same protections without charge.
In response, Apple featured a "communication to protect consumers" in Italy in January. In complying with the court order, Apple began informing customers at its online store about the legally mandated two-year warranty.
While Apple's warranty trouble has been primarily in Italy to date, the letter from Reding suggests that those issues could spread to other countries in the EU. Each country in the union has different sanctions for violations of consumer protection law, but the EU cannot investigate a company itself for misleading advertising.
Comments
Except if people don't ask for it, they will be charged for the repairs. Apple are charging for AppleCare which advertises that it offers more than call-centre support, which it does not.
It is Apple's responsibility to ensure they are following the laws of the countries they sell in, and do not misrepresent a customer's rights. That doesn't necessarily mean they have to inform the customer of their rights, but just that they do not deliberately and with foresight mislead them.
This just in, Apple to stop selling all products and services in the EU.
This just in minutes later, citizens of the EU have impeached those responsible for this inquiry.
Quote:
Originally Posted by PhilBoogie
Here we go. Again. I mean, it really isn't necessary. If something breaks down in the 2nd year, simply go back to the store and tell them you are entitled to the same warranty they gave during its 1st year. They will, and do, take that to heart and comply. There's really no point in requesting Apple to change their advertisement 'strategy'.
According to a couple of news stories a few months ago there are concerns Apple uses the advertised one-year warranty as a marketing tool to help sell AppleCare, which the Italian government took issue with. IMO that's probably at least one of the concerns for the EU Chief.
That assumes that everyone knows their rights and is willing and able to enforce those rights.
I don't know EU law so I can't evaluate the validity of the claims. However, if it is true that Apple has to offer a two year warranty, then their packaging and advertising should reflect that.
Quote:
Originally Posted by PhilBoogie
Here we go. Again. I mean, it really isn't necessary. If something breaks down in the 2nd year, simply go back to the store and tell them you are entitled to the same warranty they gave during its 1st year. They will, and do, take that to heart and comply. There's really no point in requesting Apple to change their advertisement 'strategy'.
I understand your point, but still, Apple needs to inform people of their rights
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In France, Apple store doesn't tell it to customers unless you ask (I tested it, the apple employees was very informative and polite, he explained me than yes, Apple does not communicate that, it's to customers to ASK, then he told me EVERYTHING about the european law )
The most important thing to do right now is fix the incentives that are causing any employee or reseller to use these sales tactics.
Customers never forget this kind of treatment. They may forgive but they never forget.
If I ever get a chance to get even for this kind of treatment I never hesitate to do so.
@Gatorguy: LOL. If they 'EU chief' is going to request Apple not to sell AppleCare, we ,might just get into a recession as less money changes hands. Wait -
Apple getting called on dirty tactics, selling people things that they're entitled to by law. Good.
Do other companies, such as Dell, display this information prominently on their Italian website? Or are Apple being targeted for being the industry leader?
Looks more as she's paid by someone to fight against Apple.
In the second year of common guarantee you must prove that the product already had a problem when you bought it.
With Apple Care you just explain your problem.
And if they can't fix it by phone you'll get a new one.
Just try it with a Samsung or any other product or company.
Apple Care is much much more than the standard guarantee.
Quote:
Originally Posted by RichL
Do other companies, such as Dell, display this information prominently on their Italian website? Or are Apple being targeted for being the industry leader?
Been looking around the Dell Italy website and it seems it doesn't.
http://www1.euro.dell.com/content/topics/topic.aspx/emea/topics/footer/terms?c=it&l=it&s=gen
(Google translated)
Dell warrants that the Products are: (i) conform to the description of the Product, (ii) be free from material defects for a period of one year from the date of delivery (Base Warranty Service), and (iii) the parts Dell are free of any defects for a period of ninety calendar days from the date of delivery or for the remaining warranty period, whichever is longer, the Services or required by law. The Customer is also available, among other things, a range of services, including but not limited to, warranties of repair or replacement, which extend for a period longer than that provided for in the Base Warranty Service. Dell will repair and replace the Product in accordance with the description of the service that the customer buys and the applicable law to protect the consumer.
Also, when buying a Laptop, this is displayed:
Roughly Google translated:
Services Help Me Choose
1 year on-site hardware support within one business day
If Apple has to do it, so should all manufacturers.
The second year of required warranty is not the same as the first in most EU countries and certainly doesn't match the coverage of AppleCare. The second year only covers deficiencies that were present at the time of sale. So, a weak battery in the 2nd year would not be covered. RAM or a hard drive that fails in the second year would not be covered. The Czech Republic, Hungary and Italy are the only countries I'm aware of that require full warranty coverage for a minimum of two years.
Quote:
Originally Posted by PhilBoogie
Here we go. Again. I mean, it really isn't necessary. If something breaks down in the 2nd year, simply go back to the store and tell them you are entitled to the same warranty they gave during its 1st year. They will, and do, take that to heart and comply. There's really no point in requesting Apple to change their advertisement 'strategy'.
You have to obey the laws and norms of where you do business. Otherwise, stay at home.
Quote:
Originally Posted by Tallest Skil
This just in, Apple to stop selling all products and services in the EU.
There's only one slight problem. Apple gets 23% of its revenue and 27% of operating income from Europe.
Quote:
Originally Posted by jragosta
However, if it is true that Apple has to offer a two year warranty, then their packaging and advertising should reflect that.
Agreed.
Just realised recently that's also how to do it in Australia.
Not tried it myself yet though because I've only been back for a year. Anyone?
Gawd Bless The 1st World (ex America)... (Just kidding!)
It's not Apple that needs to restate its warranty. It is the EU that needs to drop that stupid 2 year warranty where the user needs to prove any faulty parts after 6 months.
Actually, my iPhone had problems with crashing frequently during my 1 year warranty period. But I figured it is just software... after 14 months it got worse, where it crashed and a reboot did not fix it. Had to do a complete restore. This happened twice, and then I figured I need to do something. But I could not prove that the iPhone was crashing often during the first year, so the EU *law* did not help me in any way. Actually, the EU law is very misleading to the consumer.
Yeah this is a nagging issue recently here in Australia as well. The habit of selling extended warranties still goes on but is now frowned upon by the govr'ment (supposedly, ACCC jumping up and down apparently).
AppleCare does not cover weak batteries. Only batteries that were deemed defective at the time in first went into your computer. RAM failure should be covered by statutory warranties, weird how the EU doesn't cover that. HDD understandable.
I've never owned a Mac yet, but I've had my iPhone 4S replaced in July because the battery was lasting less than 50% the advertised length. That's their stated policy.
Those laws only cover defects at time of purchase from the seller. And in many countries after the first 6-8 months the customer is the one that has to prove it was there.
Whereas Apple covers anything at any time during the period no matter here you bought it so long as it was a legit authorized dealer (or a private party that bought it from an authorized source) and it isn't from obvious damage.
Apple is only at fault if they refused someone with a legit claim that bought from them and there have been few to no claims of such being refused.