Cancelled weddings and COVID-19

On 18 March 2020, the Australian Competition and Consumer Commission (ACCC) released guidance on their expectations regarding weddings that are cancelled as a result of COVID-19 restrictions and lockdowns.

First and foremost, the ACCC “expect” businesses to treat consumers “fairly” in connection with cancellation or refund requests resulting from COVID-19 restrictions.

While the cancellation of the wedding as a result of government restrictions may impede your ability to receive the benefit of the consumer guarantees under the Australian Consumer Law (ACL), the terms of your bookings may provide that you are entitled to a refund, and the ACL may entitle you to a refund for amounts paid to third parties (such as musicians or car hires).

Additionally, you may have rights under common law doctrines on the basis that the contract cannot be performed.

If you have already paid for goods (such as a cake or a wedding dress) then under the ACL the supplier must still supply you with those goods by the specified date (or if no date was specified, in a timely manner). If the business cannot provide you with those goods, then the ACCC “expects you will receive a refund or other remedy such as a credit note or voucher”.

However, under the ACL, you will only be entitled to a refund for a product that you purchased (such as the wedding dress) if a consumer guarantee under the ACL is not met by the supplier. This means that if you have called off your wedding entirely, no longer have a need for those goods and wish to return them, then you will not be entitled to a refund.

If you have wedding insurance, you may also be covered by the insurer for any losses suffered by you as a result of the cancellation. If the insurer refuses to cover you and you disagree with that decision, the insurer is required to have internal dispute resolution processes in place under law.

If you unfortunately had to cancel or postpone your wedding as a result of COVID-19, or are in the business of supplying goods or services for weddings and want to know your rights, please do not hesitate to contact:  

James Hickey
Graduate Lawyer
T 03 5225 5239
E jhickey@ha.legal

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