A Commerce Commission investigation has found bathroom and flooring supplier Spazio Casa made false and misleading claims about the country of origin of some of its products.
The commission says the company's advertising between late 2007 and April 2010 gave the impression its products were made in Italy. However, in a settlement agreement with the commission the company admitted the majority of its bathroom products were manufactured elsewhere.
The investigation also found Spazio Casa misled consumers about the price of goods by failing to adequately disclose prices were GST-exclusive, and claimed its products were unique and not sold elsewhere when some were readily available from other retailers.
Under the agreement, Spazio Casa has agreed to compensate any customer who has suffered a loss as a result of its claims. It also agreed to display a notice in each of its stores advising consumers it had breached the Fair Trading Act.
After details of the settlement were released, Spazio Casa issued a statement attacking the commission. The company admits it breached the Fair Trading Act but claims it never intended to mislead customers. The commission says it stands by the settlement agreement.
More from consumer.org.nz
- Fair Trading Act - our guide to your rights
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