BusinessCritical Thinking: Lemon Law
Q1: The term “burden of proof” means that the retailer has to provide the authentication such as receipt, agreement or contract to prove there are no flaws that exist at the time of delivery. It doesn’t lie on the consumer to prove otherwise.
Q2: Based on the passage, the purpose of implementing the “Lemon Law” was to ensure that the retail laws in Singapore is brought on par with global standards. Also it is to protect the customer’s rights and ensure that both natives and tourists can buy high quality products with a peace of mind. Consequently, the good reputation of Singapore retail industry will build up gradually around the world.
Q3: With the passing of the Lemon Law, certain practical problems will arise. According to the “Lemon Law”, “the consumers can report a defective item within six months of delivery” ("Lemon law passed in Parliament”, 2012).During this duration, the consumers might take advantage of the situation by claiming that they have received defective products when in fact they have damaged it themselves. This will not only cause substantial monetary losses for the retailers but also impede the decision of major retailing brands from selling in the market.
Besides this practical issue, there is also a problem in enforcing the “Lemon Law”. The reason is because, for instance, if perishables are applied in the framework of the law, it would be hard to determine when the product had actually become a “lemon”, prior or after the purchase.
In order to mitigate these issues, the government can set up a special department to deal with these cases. Disputed cases can be forwarded to the official website for an officer to attend to the case and mediate by considering all relevant evidences that is presented by both customers and businesses.
Q4: I do agree with Mr Teo Ser Luck on his comments made in Parliament on the scope of the law in trying to remedy the situation. He mentioned this: “the amendments will...