Faulty garment in shop - exchange now at sale price only?

[PM1234]

Could you please advise me with regards to a current problem I am having with a clothes shop.
In July 2006 I purchased a garment for 33 euros. The top frayed and edging came away when I first wore it. I dd not wash the top and returned it to the shop who agreed to send it to their Head Office in the UK to be analysed by a 'garment technologist'. They came back to say that there was a problem with the top. However they could not give me a refund and instead would give me an exchange when I wanted it which I reluctantly accepted.
I was very reluctant to buy anything else from this shop given the quality and this week I went to the shop to use this exchange faciltiy. I was told that the most they can now offer me is 11e which was the last sale price. I refused to accept as I was definitely not advised of any time limit in which to 'exchange'. My query is that this top was not of merchantable quality and therefore could not be re-sold.
Following a further phonecall this morning I have now been informed that the 'exchange' was offered only as a 'gesture of goodwill' and that the top was not faulty!.
Where do I stand in regards to this policy? Initially I accepted unhappily that I could not get a refund and now I can no longer even exchange for the full price of the garment?
Under the Consumer Act 1980 goods must be of a merchantable quality. This garment was not. I realise that this is not for a large sum of money but surely they cannot do this?
Any advice or information would be appreciated.

 

[jhegarty]

The price you paid for it is the amount you are entitled to.... sale prices only apply to people who change their mind, not to fauly goods....

 

[niceoneted]

If an item is faulty and not fit for the use it was sold for then you are entitled to a full refund.
This battle should have been faught months ago though and I think with the time lapse they may be valid in what they say. IMO,.

 

[mell61]

from expereince normally the excahnge at last sold price is when you present item to be exchanged without a receipt. Would I be correct? If you can present the receipt most store will refund the full amount

 

[ClubMan]

In July 2006 I purchased a garment for 33 euros. The top frayed and edging came away when I first wore it. I dd not wash the top and returned it to the shop who agreed to send it to their Head Office in the UK to be analysed by a 'garment technologist'. They came back to say that there was a problem with the top. However they could not give me a refund and instead would give me an exchange when I wanted it which I reluctantly accepted.

If the garment was faulty and you had proof of purchase (not necessarily a receipt) then you should be entitled to a full refund. If you accepted something else then you may have undermined your entitlement to a full refund.