Thread: GMC goes into receivership

Warranty is not complex at one level - the retailer is who is obliged by Australian law to honour warranty claims not the manufacturer or distributor and cannot even get out of a reasonable claim even by selling a (new) item marked 'no warranty on this item'. There are some different issues if the receiver sells directly under specified terms (like auctions), but if you buy from a retailer then the retailer is responsible for honouring warranty obligations - not the receiver. Just as they are when they buy from anyone else and sell it to you.

The recent example I noticed was the little flyers Bunnings handed out in their stores in mid 2008 suggesting that you could deal with them for GMC warranty claims within 14 days of purchase but would then be obliged to deal with GMC through a help hotline number. That advice had no basis in law and was misleading - Bunnings are obliged to deal directly with you on any warranty claim for the period of the warranty and that obligation cannot be transferred. Your contract for the purchase of goods is with the retailer not a manufacturer or distributor. There is nothing to prevent administrative arrangements being made between retailers and their suppliers to make your claims easier for you and cheaper to manage for them, but that does not affect your contractual relationship and their responsibilities to honour it.

The practical issue is more likely to be problematic though in that the buyer will need to make sure they have proof of purchase (as always) and remain persistent about their rights. To work out what is a reasonable service life you can rely on such things as the stated warranty period on the packaging (as a minimum - if the user booklet says things like 'will give years of trouble free service' then you could make a claim under the terms of the Trade Practices Act even outside the stated warranty period (relying on a reasonable expectation of a service life of a similar item in similar use).

It is the retailers choice as to how they deal with the warranty - they can refund, repair or replace and the replace can be with an 'equivalent' item. So in the absence of a warranty exchange with the original manufacturer they could give you a differently branded alternative of similar quality and specifications as the original - a Bunnings for example might offer an Ozito product in place of the GMC.

Many retailers resist this obligation they have under the TPA so you would need to be prepared for a battle. As always with these things see what they are saying first then respond accordingly - and always remain calm and collected. If you get angry you loose - even if you are right, perhaps especially if you are right!

Just found the Comment by Alan Jones on Live News which includes the reference to GMC and the approval by the ACCC. What can we do to change this situation???

Stop listening to that raving lunatic for a start.

GMC were more than happy to deal with Bunnings when they thought that it would be the way of the future. The public has made Bunnings the monster that it is, not the Government. People actually like going there, and using Bunnings' size and dominance as a wedge to drive down prices in smaller struggling stores.

Originally Posted by jimmyh

Stop listening to that raving lunatic for a start.

GMC were more than happy to deal with Bunnings when they thought that it would be the way of the future. The public has made Bunnings the monster that it is, not the Government. People actually like going there, and using Bunnings' size and dominance as a wedge to drive down prices in smaller struggling stores.

Technically not correct. the Govt allowed westfarmers to purchase most of the large competitors, giving it a dangerous amount of power in the marketplace. I thought it was the ACCC's job to stop that happening (Not that I agree with the nutbag either)

Originally Posted by Gra

.... westfarmers to purchase most of the large competitors, giving it a dangerous amount of power in the marketplace. I thought it was the ACCC's job to stop that happening

I have been a bit puzzled by the dominance that Bunnings has been allowed to achieve also.

Mitre 10 is a spent force around my area. Two really good M10 stores closed down after Bunnings came into the area and it is sad to walk into the one remaining one that is within reach of my home and see how empty it is compared with the busy, thriving (but over-priced) business that it used to be. At least it's owners will be sitting on some valuable real estate with all of that huge empty car-park space that it has in a prime location.

Notwithstanding all of that sorrow and puzzlement, however, for me Bunnings is an infinitely better place to shop for general hardware and materials. It is much better laid out than any other hardware stores that I remember and I don't feel that I need to be a tradie to talk to the shop assistants and ask stupid questions. They also open from 6.30 am to 9 pm which suits me just fine. All of the old style hardware stores stayed too long in the twentieth century.


However, it is sure strange that Bunnings has been allowed to become so carnivorous in acquiring competitors and overpowering smaller operators.


Where is another big corporate willing to have a go at them? Where is the ACCC watching competition policy in the hardware game?


.

Originally Posted by wm460

I'm after some spare parts, I've been e-mailing everybody can think of, either no reply or out of luck.

Sorry mate, but the GMC/Triton office is closed until the 12th January. This was put in place by the administrators - Korda Mentha. This is the first time we have closed over Xmas in our short history. As you can appreciate it wasnt our decision. We will be attending to all outstanding queries as soon as we get back on board.
Please be patient because as you can imagine we will have a backlog of queries to attent to come the 12th january.

Thanks for your understanding.

Thanks to your reply, Eagle, I will just have to be patient.

i guess this is prob a stupid question, but is it still possible to get gmc tools? If so, where from? i have a gmc cordless drill and its awesome. i was hoping to go router shopping

I just rang GMC regarding purchasing a RTA300 router table and was told the new owners should be coming in within the next 8 weeks, and new stock would start flowing then. They won't be bringing in any new stock over that time

I guess I will have to wait to use my jigsaw kit a bit longer

Eagle, will I have to wait eight weeks for the new owners before I receive my replacement bandsaw fence? Do you know if they've even located the old one that TNT collected from me yet?

For anyone looking for Triton gear, I would suggest ringing around the Bunnings' / Mitre 10 all over the place. I have recently purchased the following items, all since late December, from about 4 Bunnings stores. I had to get the Router Table sent to me, but the other stores were local. Even if they SAY they've got nothing in stock, walk in store and look everywhere in the tool shop, you may be pleasantly surprised (as I was) and ask for a discount if the sale price is not already marked on the item. Here's what I've bought:
* Workcentre 2000
* Router Table RTA300
* Height Winder Kit
* Retractable Wheels Kit
* 1/2" Precision Router
* 235mm Precision Power Saw
* Mini-sliding extension table
* Biscuit Joiner
* Jigsaw kit
* Superjaws
* Multi-stand
* Bevel Ripping Guide

There may be more that I've left out. For anyone in Newcastle/Hunter in NSW, if you're chasing anything up send me a PM or email me at [email protected] - I may know where to get it. I have seen a couple or Workcentres and the like still floating about that I can direct you to.

Simon

Home Hardware in Atherton have all their GMC gear on special, no warranty, no returns, no refunds.

Many of these selective markets are best selling direct on line at least their spare parts and service options. They could become the Dell of Tools. Compaq before the HP merger had the same issue. They saw Dell computers eat into their market share. Compaq had better service delivery support BUT dell was a phone call/Email away and corporate businesses that knew what they wanted found Dell simple to order

A friend of mine bought many of the spare parts on offer cheap and has made a killing in warehousing sales direct to the public.

Of course bunning will not like it But half the time you had to order in the otems anyway.

I troied to order a bench just yesterday and was told that Bunnings were no longer ordering in Triton stock. If spare parts are not readily available then you can expect the run out of stock to be signofoicantly less then other brands. No spare parts is the main killer. What do you do if you need a new kniofing bald or saftey guard.If you have the ware house then now is the time to start talking to the receivers.

I for one would love to visit the Tullamarine Warehouse - stock run-out sale

Originally Posted by spartan

Sad news indeed. I think the idea of george coming back doesn't seem to make much sense to me - I know its just wishful thinking of some. His days as a start up for this company are gone.

I really think that with the Bunnings saga helping nail the coffin lid shut here that GMC/Triton need to change their business model. Direct to the public via the web is the go I think.

Anyone who goes into Bunnings tool shop lately will see that there is a whole heap of crap on the shelves.

At any rate Eagle, I hope you and your colleagues come out ok from this.

Anyway...nuff said by me....

If you visit the http://triton.com.au Website there is no notice of the company being under receivership. I thought by law they had to list it on all advertising/promotional material.

It is a real worry when you are looking at buyring their product.

Originally Posted by jw2170

The company has had receiver/manager AND Administrators appointed (as confirmed at the ASIC web site)

We don't have to work at GMC to figure out what that means.......

If the 'brand' is lucky, this may survive if sold of to a new entity.


James