I hired a lawnmower from a landscaping business. Due to personal circumstances I was 5 days late in returning the lawnmower. At the time I returned it there was no mention of any late fee however a few days later I received a bill in the mail that made reference to late payment fees of over a hundred dollars. When I hired the lawnmower the business made reference to late payment fees but they weren’t clear and we didn’t have a written contract. Do I have to pay the fee?
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Answer by Shamaila Khan, Kingsville 3012 VIC
- The answer will depend on how clear the business was in communicating the late fee to you. You will be most likely liable to pay the late fees if the business:
- provided you with clear, verbal advice and mentioned a specific figure that would apply to you for each day the item was late in being returned; or
- directed you to written advice either signage or a letter or a statement on the receipt.
- However if as you say the first time the business made reference to a late fee was after the item had been returned then you would not have to pay the late fee.
- A business is required to provide honest representation of all relevant fees and charges that may apply to the transaction before the transaction is entered into.
- If they fail to do this it is likely that they have waived their rights to having those fees and charges paid.