WA Misleading Price on Certificate of Purchase - What to Do?

Australia's #1 for Law
Join 150,000 Australians every month. Ask a question, respond to a question and better understand the law today!
FREE - Join Now


1 September 2015
A well known Jewellery store advertised a closing down sale in Perth everything 70% off. A friend purchased me a necklace and bracelet. Both items came with a certificate of Purchase with retail price, description and photo.

The retail price shows value for the necklace is $5099 which was the ticketed price in the store
The retail price shows value for the bracelet is $2425 also the ticketed price in the store.
The register receipt clearly shows there was a discount applied of 70% on both.

Upon a recent insurance claim on the necklace the store came back with replacing the necklace for $1500 with $600 of that mine for excess. Upon calling head office to the store asking how they can replace a $5099 necklace for $1500. Their response was that they can supply to insurance companies cheaper.
The only thing is the new certificate of purchase was going to state that it was worth $2999. I then looked on the website to see it was for sale for only $2999 and in store and the bracelet was only $599.

I contacted consumer protection as I totally believe the products were double ticketed and didn't believe I should be paying any excess to them especially for something that is clearly overpriced to begin with. They declined and said the only thing they would offer would be an in dependent valuation with it. I declined.

In regards to the bracelet I had a verbal evaluation on it and was told no way it was worth their ticketed and selling price of $2425 which I was quite prepared to get a written quote for.

Within the two days my friend and I were in that store. There was a lot of people in there purchasing quite significant items which I believe would of been marked up as well and nowhere near the value of the ticketed price.

I would like to take this further and I would like to know if there's something I can do under Australian Consumer Law and if I can take it to the media as a lot of people out there that purchased items for the store within the 2 weeks would have been misled as we were. People would also be paying more premiums on insurance if they are going of the certificate of purchase which is clearly not correct.

Any suggestions on how to proceed and who would be the best legal rep would be great.

Sarah J

Well-Known Member
16 July 2014
Melbourne, Victoria
Hi Dee.I,

Stores mark up their prices because it need to account for overhead, wages, rent, profit etc. Nearly all items bought are worth much less than what you end up paying for them either because of the brand and/or the overhead and "extras". What exactly are you disputing here? Is it just the insurance excess or do you feel like it's unfair that you were made to pay $2,999 or $2,425 for an item that is actually valued at much less by an appraiser? Note also, that goods depreciate over time, and often depreciate quite significantly as soon as it is purchased.

If you're asking for compensation, Fair Trading (the usual department that deals with consumer complaints under the Australian Consumer Law) would not have power to deal with it. Therefore, you would need to start an action in State Administrative Tribunal of WA.

If you're searching for a lawyer, you can get connected with one through this link: Get Connected with the Right Lawyer for You - LawAnswers.com.au.


1 September 2015
Hi Sarah j.....

Thank you for your response. Due to a very ill mother I had to put this issue on hold.

In regards to your question, I am disputing the value of the item. I understand what you are saying about items purchased at a greater cost but this all happened within a period of 3 months.
I know that in some cases items do depreciate over time but Gold Jewellery is based on mostly Gold prices and quality and of course mark up for profit but This necklace dropped a apparently $2000 in value in 3 months and that is not right.

I purchased a gold bracelet 10 years ago and the current valuation it has doubled in price so there is no way possible that the store can justify this.

With speaking to an independent jeweller, their comments were based on the same. Even on a sale, a normal solid gold necklace wouldn't be $2000 cheaper in store with in the small period of time.
I will look now at starting action with the Tribunal of WA.

Thank you for your help.