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Article #8728

HARVEY NORMAN -- BAD EXPERIENCE

#8728
From: Bernard Morey
Date: Thu, 05 Sep 1996 00:00
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In March 1995 we bought 36.5 metres of carpet from Harvey Norman. While it was being 
laid we advised them it was faulty.  We refused to pay until it was fixed. Harvey Norman 
ignored all our letters (including plea to Geoff Harvey personally) and phone calls.

The manufacturer, Godfrey Hirst, inspected the carpet and admitted it was faulty.  Still 
Harvey Norman refused to replace it.

After 12 months Harvey Norman sued me for the balance of the purchase price, $2,500.  I 
must emphasise that point: Harvey Norman sued me to get paid for faulty carpet.

Harvey Norman refused to compromise at the compulsory pre-trial conference.  Later they 
got a court order to have an independant expert inspect the carpet (no order regarding 
costs was made).  The expert slammed Harvey Norman -- the carpet was faulty and they 
should replace it at their own cost, including moving all furniture.  Still they refused 
to negotiate.  The expert said they'd probably cut the carpet from two different dyelots 
-- sheer bloody incompetance.

The court hearing was last Monday. I acted for myself, not being willing to spend a lot 
of money defending the bleeding obvious.  It was a two hour hearing.  They had to admit 
at the outset that the carpet was faulty and that the action was a little unusual (not a 
good start -- the Magistrate gave them an odd look) but basis of their action would be 
'mitigation of damages' and 'quantum'.

They made utter fools of themselves.  For starters, their expert witness didn't show up 
(they said he was busy that day).  The Magistrate asked why they didn't subpoena him -- 
embarassed silence.  The Magistrate said that he was entitled to draw an adverse 
inference from the fact that their witness was not in court and did indeed draw such an 
inference (he cited 'Jones vs. Dunkeld' in his adjudication).

Their argument over mitigation never even looked like getting up and quantum wasn't even 
addressed.  They pressed mitigation so pointlessly during my cross-examination that the 
Magistrate intervened saying "I think the defendant has adequately answered your 
question.  Please move on".

In the end I was ordered to pay $30, being the difference between the deposit and the 
value of underlay, installation, and smoothedge.  (I later sent off a cheque with a 
note: "Don't spend it all at once!".)

His Worship asked for argument on costs.  Harvey Norman's barrister said 'costs must 
follow the cause' but the Magistrate pointedly corrected the barrister saying this was 
an adjudication not a hearing, and that in any event court rules said that there was to 
be no award for costs for an award under $500 and further the question of costs was 
within his discretion.  

He then said he would exercise his discretion and not make an order regarding costs.  
The Harvey Norman people, who were present, didn't immediately understood what this 
meant.  Their barrister now had the delightful task of explaining that they'll have to 
pay the costs of a fruitless and ill-advised action, having previously been told that 
they'd get this back when they won.  

I estimate they'll be up for costs of at least $5,000 and probably closer to $7,000 
(based on the usual disbursements, solicitor at $150/hour and barrister at $250/hour).  
MB - compare this with the original debt was $2,500. The cost of replacing the carpet 
would have been a few hundred dollars plus a lot of goodwill if they done it while they 
were laying it.

Moral of the story:  avoid Harvey Norman like the plague.  A firm that sues customers 
after admitting they supplied faulty goods is the pits.


-- 
Bernie Morey
Melbourne, Australia
bmorey@aardvark.apana.org.au
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From: Bernard Morey <bmorey@aardvark.apana.org.au>
Subject: HARVEY NORMAN -- BAD EXPERIENCE
Date: 1996/09/05
Message-ID: <322FB222.1B81@aardvark.apana.org.au>
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