How to resolve a dispute with a local business

Even with careful planning, things sometimes go wrong. A job runs late, the finish isn't what you agreed or a repair fails a week later. Most of these problems are resolved quickly once the business knows about them. When they aren't, there's a well-trodden path, from a phone call to a written complaint to outside help.

This guide follows that path, based on guidance from the ACCC. It's general information, not legal advice. For help with a specific problem, contact your state or territory consumer protection agency.

Step 1: Get clear on the problem

Before you contact the business, take a few minutes to get your facts straight:

• What went wrong? Describe it specifically: "The new tap drips constantly", not "the job was bad".
• When did it happen? Note the date of the work and when you noticed the problem.
• What was agreed? Find the quote, contract, variations, invoices and any messages.
• What do you want? A repair, a refund, a partial refund, completion of the work, or compensation?
• What evidence do you have? Photos, videos and records of earlier conversations.

Knowing your rights helps too. Under the Australian Consumer Law, services must be provided with due care and skill, be fit for any stated purpose and be supplied within a reasonable time. See consumer guarantees.

Step 2: Contact the business

The ACCC says the first step is to contact the business itself. Phone or visit, explain the problem and the outcome you want, and do it as soon as possible. The owner or manager may be able to fix it quickly, or tell you how and when they will.

Stay calm and specific. Most business owners want to keep customers happy and protect their reputation. Give them a fair chance to put things right.

Make a note of the date, who you spoke to and what was agreed.

Step 3: Put it in writing

If a conversation doesn't fix the problem, write to the business by email or letter. According to the ACCC, a complaint should:

• describe the problem and the outcome you want;
• include key dates, such as when you bought the service and when the problem occurred;
• say what you've already done to fix the problem and what you'll do if it isn't resolved;
• ask for a response within a reasonable time;
• attach copies of supporting documents, such as the receipt or invoice.

The ACCC has a free complaint letter tool that helps you write one. Keep a copy of everything you send and receive.

Step 4: Contact your state or territory agency

If the business still won't help, contact your local consumer protection agency. The ACCC lists them:

• ACT: Access Canberra
• NSW: NSW Fair Trading
• NT: NT Consumer Affairs
• Queensland: Office of Fair Trading Queensland
• South Australia: Consumer and Business Services
• Tasmania: Consumer, Building and Occupational Services
• Victoria: Consumer Affairs Victoria
• Western Australia: Consumer Protection

These agencies can explain your rights and options, and may be able to help negotiate a resolution. Many also deal with residential building and construction issues and licensed industries.

Step 5: Industry ombudsmen

Some industries have an ombudsman or complaint body that resolves disputes for free. Examples the ACCC mentions include the Telecommunications Industry Ombudsman, the Australian Financial Complaints Authority and state energy ombudsmen. Small businesses in dispute with another business can seek help from the Australian Small Business and Family Enterprise Ombudsman and state small business commissioners.

Step 6: Small claims courts and tribunals

Each state and territory has a small claims court or tribunal that hears consumer disputes, such as the NSW Civil and Administrative Tribunal (NCAT) or the Victorian Civil and Administrative Tribunal (VCAT). There's usually a fee, and the tribunal can explain its process. Tribunals are designed to be accessible without a lawyer, but good records make a big difference.

Getting legal advice

For bigger or more complex disputes, independent legal advice can help. The ACCC points to community legal centres and legal aid services in each state and territory, some of which give consumer law advice.

Reporting to the ACCC

You can report a consumer issue to the ACCC. It says it doesn't resolve individual complaints or give legal advice, but it uses reports to inform its education, compliance and enforcement work, focusing on issues that can cause widespread harm.

Things to avoid

• Don't withhold payment without thinking it through. If a dispute is about part of a job, consider paying for the undisputed part and putting the reason for holding back the rest in writing. Get advice if you're unsure.
• Don't get someone else to fix it without telling the business, unless it's an emergency. For a minor problem, the business usually gets the first chance to fix it.
• Don't post an angry review in the heat of the moment. Give the business a chance first. If you do review, stick to the facts.
• Don't lose your paperwork. Keep everything together in one place.

Keeping a dispute log

A simple log helps: date, what happened, who you spoke to, what was said and what was agreed. Attach photos and emails. If your dispute reaches an agency or tribunal, this record will be invaluable.

Common disputes and how they're usually resolved

Some problems come up again and again. Knowing the usual way through them can save time.

• The job is running late. Check what the contract says about timing and delays. Ask for a revised schedule in writing. If no time was agreed, the consumer guarantees say the service must be supplied within a reasonable time.
• The finish isn't what was agreed. Compare the work with the quote, contract, plans or samples. Photograph the problem and ask the business to fix it. For a minor problem, the business usually gets to choose how.
• The final bill is higher than the quote. Ask for a breakdown and check it against agreed variations. Variations should have been agreed in writing before the extra work was done.
• A repair failed soon after. Contact the business promptly. Your rights under the consumer guarantees can continue after any warranty has ended.
• Damage to your property. Businesses must take care to avoid loss or damage while providing a service. Record the damage and raise it straight away.

Staying calm and constructive

Disputes are stressful, especially when your home is involved. A few habits help keep things on track:

• focus on the problem and the outcome you want, not on blame;
• keep messages short, factual and polite;
• put agreements in writing, even if it's a quick email after a phone call;
• give the business a fair chance and a clear deadline;
• take a break before replying if you feel angry.

Most businesses want to fix problems, and a calm, well-documented approach makes that much easier. If it doesn't work, the same records will support you at every later step.

Key points

• Start by contacting the business, explaining the problem and the outcome you want.
• If that fails, write a clear complaint with dates, documents and a deadline.
• Your state or territory consumer protection agency can explain your rights and may help.
• Some industries have free ombudsman schemes; tribunals hear consumer disputes for a fee.
• Keep records of everything from the start.