Services must be:

Due care and skill means the level of skill of a reasonably competent provider. They must also take care not to cause loss or damage whilst providing the service.

Services must also be fit for the purpose for which they are provided, as made known to the provider by the consumer. There is also an implied guarantee that the service will be suitable even if the purpose is not made

However, the guarantee does not apply if it can be shown that it is unreasonable for the consumer to rely on the skill or judgment of the supplier. It also does not apply if the provider tells the consumer that the service will not meet the required purpose.

If there is not an agreed time for the provision of the service, it must be provided within a reasonable time.

Under the Fair Trading Act 1987 (SA) liability for suppliers of recreational services can be modified, excluded or restricted, notwithstanding the provisions of the sections 60 and 61 of the Australian Consumer Law (see Fair Trading Act 1987 (SA) s 42). Recreational services includes services consisting of participation in sporting activities or similar leisure pursuits or any other activity that involves a significant degree of physical exertion or risk, undertaken for recreation, leisure or enjoyment.

Suppliers of such services can modify liability provided the term is: (i) in the prescribed form; (ii) brought to the attention of the consumer prior to the provision of the services and (iii) agreed to by the consumer in the prescribed manner.

Remedies against suppliers of services

Section 267 sets out the rights of the consumer to take action against a supplier of services if any of the statutory guarantees are not met.

If the failure is not major, the consumer must first give the supplier the opportunity to fix the problem. If the problem is not fixed within a reasonable time, the consumer is entitled to have the problem remedied elsewhere and claim the costs from the original supplier. The original supplier may also choose to refund the cost to the consumer.

If the failure to comply with the guarantee is major, or the failure cannot be remedied, the consumer may ask for a refund. The consumer may also recover damages for any loss, for example the cost of another provider remedying the failure. This may also include the cost of undoing the previous work, which can add to the cost.

If the contract is for the ongoing provision of services, and the failure is major, the consumer has the right to cancel the contract. Section 269 requires the supplier to refund any money paid under the contract for the services.

Consequential Loss

It is sometimes difficult to work out what extra losses may be attributable to the failure to meet a consumer guarantee. Suppliers of goods and services are liable for any consequential loss, which would put the consumer in the position they would have been but for the failure to meet the guarantee. For example, a washing machine is faulty and begins leaking causing damage to tiles and flooring. The supplier is not only responsible for the faulty washing machine but also repairing the damage to the tiles and flooring because the damage caused by water is foreseeable.

If the supplier refuses to repair faulty goods within a reasonable time or refuses to repair them, the consumer may also claim the cost of getting a repair from another supplier, as well as the cost of transporting the goods and any other loss associated with the repair.

Personal Injury

Faulty goods or services can cause personal injuries, such as burns resulting from a beauty treatment, or a part of a bicycle that fails causing the rider to crash.

There are strict time limits in South Australia for making a claim for personal injury. If you are injured, get legal advice quickly.