# Key Post: Credit card company liable for Rocca Tiles?



## Brendan Burgess (18 Mar 2002)

There was an interesting question in yesterday's Sunday Business Post from a reader who had bought goods from a retailer who went bust.

She was advised that





> Article 14 of the Sale of Goods and Supply of Services Act 1980 states :"The finance house and the seller, shall, jointly and severally, be answerable to the buyer for breach of the contract of sale".This means that the finance house also has a responsibility to you when your contract has been breached, i.e. you never received the items you paid for. You should contact your credit card company pointing this out and ask them for a refund.



I know that credit card companies in the UK have to refund on purchases often, but this is the first I heard of it applying in Ireland. 

Does anyone else know anything about this?

Brendan


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## tedd (20 Mar 2002)

*Re: Credit card company liable for Rocca Tiles?*

Hi Brendan,

This was mentioned previously on AAM by Wings of Chicken in this thread . It was suggested that all flights and travel insurance purchased from Aer Lingus should be bought with a credit card to protect the consumer if they went bust (this was late last year, when that looked like a distinct possibility....I daren't say more for fear of the wrath of Tharg!) 

regards,
tedd


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## Brendan Burgess (21 Mar 2002)

*Re: Credit card company liable for Rocca Tiles?*

Hi tedd

Thanks for that. 

I phoned the Director of Consumer Affairs who told me that I had to contact the liquidator.

I spoke to Tina Leonard and she confirmed that her legal advice is that the credit cards companies are liable, but that no one has taken a test case yet. A test case would be very easy to take in the Small Claims Court.

Does anyone know of anyone who has lost out in the Rocca case or any other liquidation? If so please put them in touch with me as I would like to pursue this.



Brendan


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## rainyday (22 Mar 2002)

*Re: Credit card company liable for Rocca Tiles?*

Maybe you should try contacting [broken link removed]


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## Tommy (22 Mar 2002)

*Re: Credit card company liable for Rocca Tiles?*

Very interesting topic, this.

Can anyone answer this related question?

If I am buying goods from a trader and I'm a bit worried about their integrity (as to whether they are likely to close down overnight and leave me without service or cover on the goods) would the fact that they take credit cards be an indicator that I would not be left in the lurch if the goods turn out not to be merchantable?


Tommy
www.mcgibney.com


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## rainyday (22 Mar 2002)

*Re: Credit card company liable for Rocca Tiles?*

I've no personal experience or knowledge of such situations. However, I've drawn some reassurance from examining the small print of the terms & conditions of my credit card. My Amex Blue card T&C's says something like (and I'm working from memory here)

<!--EZCODE QUOTE START--><blockquote>*Quote:*<hr> We will charge your account for products or services provided to you<hr></blockquote><!--EZCODE QUOTE END-->

In theory, I'd expect that if I can prove that I didn't receive the products or service, I don't have to pay the bill. But as I mentioned, I've no practical experience of this.


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## Brendan Burgess (31 Mar 2002)

*Re: Credit card company liable for Rocca Tiles?*

Bill Tyson has an article on the subject in today's Independent.

<!--EZCODE QUOTE START--><blockquote>*Quote:*<hr> ...a spokesman for AIB [said]:

"Our credit card centre have confirmed to me that, if a customer does not receive goods which were paid for by credit card, he/she is entitled to a refund of the relevant charge from their credit card company," 


"For example, this would come into play if the company, from which the goods were ordered, went into liquidation before the goods were delivered.


"Similarly it would apply in a case where goods were never delivered due to the supplier company being engaged in fraudulent activity."<hr></blockquote><!--EZCODE QUOTE END-->

As far as I know, this is the first time an Irish credit card company has acknowledged its liability in this regard.

This is very important. Rocca customers who paid by credit card will now get their money back if they didn't get the tiles. You should make any large purchase by credit card as it is, in effect, an insurance against the company going bust. And, of course, credit card insurance is of much less interest, as you are already covered!

Brendan


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