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Dell reworks small print after customer backlash

With a little help from the OFT...

Tags: oft, dell

By Tom Espiner

Published: 10 July 2006 09:25 BST

The Office of Fair Trading (OFT) has negotiated changes to Dell's sales contracts, after a large number of consumer complaints over terms and conditions.

The OFT declined to identify the exact terms it found contentious but said Dell has agreed to improve the transparency of its consumer agreements, and separate terms that are applicable to consumers from those that apply to business.

Although Dell has accepted the changes, it has not yet reprinted its contracts or updated its website - where the original terms and conditions can still be seen.

An OFT spokeswoman said: "The OFT received advice from Consumer Direct and Trading Standards of a large number of consumer complaints, so met with Dell to review its terms and conditions."

Dell has agreed to change terms that could limit "liability for negligence to the price of the product," said the OFT. The computer giant will also change terms that exclude "liability for consequential loss arising out of breach of contract".

The OFT spokeswoman said: "Any liability for loss arising out of breach of contract can't be excluded. If you had a business that relied on the use of a computer, and suffered loss of money or any other loss because the contract was breached, you can't exclude liability for that loss."

Dell also agreed to change terms that "excluded liability for oral representations not confirmed in writing", and those that "required the consumer to notify Dell of any errors in its confirmation of the consumer's order immediately".

Dell itself said it had agreed to "routine" changes to its terms and conditions, and said the review related "only to the document itself and not to Dell's business behaviour or operational practices". Dell had not commented at the time of writing on the "large number of consumer complaints" the OFT said had led to the review in the first place.

A Dell spokeswoman said: "As a result of the review, our terms and conditions are now written in a much clearer language to the benefit of our customers."

Dell declined to comment on the specific changes but said the new terms would be posted online after paper contracts had been reprinted.

Tom Espiner writes for ZDNet UK

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