A SOLAR company that approached a pensioner, signed her up for a $9000 contract and failed to inform her of her right to cancel has been fined $15,000 in a West Australian court.
The pensioner gave her details to Solar Harness at a temporary stall in a shopping centre so she could participate in a competition to win solar panels.
She later received a phone call offering an in-person quote for installation and subsequently signed a contract and payment plan.
But under Australian Consumer Law, that action was an "unsolicited consumer agreement" because the consumer was approached by the seller, rather than the other way around, Consumer Protection commissioner Anne Driscoll said.
She said consumers had a cooling-off period during which they could cancel the contract, but the pensioner was never informed of her right.
It was only thanks to a friend that she was able to terminate the contract before any payments were made or goods installed, Ms Driscoll said.
Solar Harness pleaded guilty in the Mandurah Magistrates Court on Wednesday to five offences and was also ordered to pay court costs of $1320.
Ms Driscoll said the case was the first successful legal action of its kind undertaken by Consumer Protection.
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