Cam,
Your post is close to home because I've spent the last few months resolving situations such as this on behalf of some clients interstate, but simply this: Based on the information you have provided, it is my opinion that a complete refund is what you are entitled to, and nothing less. Apart from the poor communications from the retailer, you are entitled under Australian Consumer Law which is set out under the guidelines of the ACCC here:
http://www.accc.gov.au/content/index...itemId/1023610
http://www.accc.gov.au/content/item....%20refunds.pdf
And the NSW fairtrading information:
http://www.fairtrading.nsw.gov.au/Co...lacements.html
Your contract of sale is with the retailer who is acting on behalf of the agent (manufacturer/wholesaler).
In summary, the item is faulty and does not meet the expectation of the contact of sale. The retailer can be given allowance to provide a replacement but this must be with the agreement of both parties. I would say their time is well and truly up.
From:
http://www.fairtrading.nsw.gov.au/Co...lacements.html
"Replacements:
The person or business giving the replacement must provide goods of the same type and similar value. If such a replacement is not reasonably available, you may choose a repair or a refund.
You must return goods to them. If this involves significant cost, they must collect the goods at their own expense.
The consumer guarantees that applied to the original goods will apply to the replacements.
For example, a consumer buys a new mobile phone. Due to a problem, the supplier replaces it. Consumer guarantees apply to the replacement phone as if it were a new mobile phone."
and...
"
Refunds:
The person or business giving the refund must repay any money you paid for the returned goods, and return any other form of payment you made – for example, a trade-in.
If this is not possible, they must refund the value of the item.
They must not:
- offer a credit note, exchange card or replacement goods instead of a refund. You cannot accept this kind of offer
- refuse a refund, or reduce the amount, because the goods were not returned in original packaging or wrapping."
Based on my recent experience, situations like yours are generally not isolated. Some retailers are ignorant when it comes to the most basic understanding of consumer law.
If it was me, my money would be going to a different retailer in the future.
I hope this helps...