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I think this case is interesting and everyone should know more of the details before even commenting. I took the liberty to do a quick translation (with reservations for errors) of the consumer board and the court summary. (Wikipedia uses Sales of Goods Act as the English title of Købeloven, so I will use it as well, a more correct translation would probably be Purchase of Goods Act.) The expert is an impartial competent expert of the technical matter appointed by the consumer board. The wording "genproducered" I have translated to refurbished, but in the boards text the word "remanufactured" is used and therefore not translated.

Consumer board: http://www.forbrug.dk/Afgoerelsesda...ng-med-mobiltelefon-som-indeholdt-brugte-dele

"Replacement with a cell phone containing used parts. 18th July 2014.

A replacement for a used cell phone, which contained used parts, was not in accordance to the Sales of Goods Act (Købeloven). The consumer has therefore the right to cancel the purchase.

The consumer bought a factory new iPhone, which during a year and a half was replaced twice with a phone containing used parts. After the second time being informed that the new phone contains used parts, he complained to the business because he had bought a brand new iPhone. The case was brought to the consumer complaint board, who have made the following ruling:

'This case concerns whether the business has replaced the phone in accordance to the Sales of Goods Act §78, when issuing a refurbished iPhone as a replacement, and whether the consumer in this case is entitled to demand his original phone repaired and returned, replacement with a new phone, or a cancelation of the purchase agreement.

The consumer informs, that he on 16th July 2011 bought an iPhone on the business' website. About 1 year later the phone was replaced due to a faulty home button.

At the end of November 2012 the consumer complained about recurring faults in the mute button.

The business tried to repair the phone, but as did not solve the problem, did the replace it. When the consumer received the latest phone he was informed that it was refurbished. The consumer demanded then to have his original phone back and repaired or replace it with a factory new iPhone, which was refused by the business.

The consumer has demanded his original phone repaired and returned, replacement of a brand new iPhone, or a cancelation of the purchase.

The business has refused the consumer's demands, as they have provided a replacement according with the Sales of Goods Act § 78. The business has informed, that delivered replacement phones, all was remanufactured. They have as well informed that remanufactured phones have new external parts, but may have used internal parts, including the forward camera, back camera, earpiece speaker, logic board and vibrator.

The business has in its support that the replacement was according to the Sales of Goods Act § 78, that the act legislative preparation do not prohibit replacement with a remanufactured product, that consumers who are offered such product, stands better off, than if they have been provided a repair of the originally bought product, including a new two years complaints period accordance with the Sales of Goods Act.

From the experts opinion, a remanufactured phone may contain new and used internal components. The expert also says that it does not affect the components appearance, durability, usability and sales value that they are reused.

Moreover, the expert states that the remanufactured phone have a lower sales value, as it is actually not a factory new telephone.

According to the Sales of Goods Act, the seller may avoid a buyers demand for reduction in price or cancelation of purchase, by offering a repair or replacement (§ 78 part 3). It is however a prerequisite that the seller is able to provide a goods, which is per the original purchase agreement. (§ 78 part 3 -> § 78 pt 3 sub 2). Fulfillment of repair or replacement should be within reasonable time, otherwise the buyer will retain its right to cancel the purchase (§ 78 part 4).

The board has based its decision, that the original purchase agreement provided a purchase of a factory new phone.

It is the boards assessment that the business did not offer replacement according to the Sales of Goods Act § 78. The board has emphasized that there has been a replacement with a phone which according to the business contains used parts. As the business still hasn't offered the consumer a replacement according to the provisions of the Sales of Goods Act, the board furthermore assess that the business did not provide a replacement within reasonable time.

The consumer is therefore entitled to cancelation of the purchase.'"

The Glostrup lower court:

"
Decision in a case of replacement with a "refurbished" iPhone 4 with reused modules
09-12-2016

Court in Glostrup has on 9th December 2016 passed a judgment in a case between Apple and the consumer who in June 2011 had bought a new iPhone 4. After several complaints Apple replaced in November 2012 with another iPhone 4, which later was disclosed to be a refurbished iPhone 4.

Apple has stated during the proceedings that a refurbished iPhone is a product that may contain some reused modules, but also produced and tested in the same way as an iPhone containing only new modules. A refurbished iPhone may also contain only new modules.

Apple has further stated that a refurbished iPhone 4 at that time, would contain up to 5 specified reused functional modules and up to 8 specified reused external modules, but that it is not possible to say whether, or to what extent the case is for each phone. Apple has further stated that typically it was rare that the outer modules were reused. Furthermore the reused modules would beforehand had to undergo rigorous tests and strict quality control.

As the consumer become aware that Apple had replaced with an iPhone 4 that was not brand new, he asked to get the iPhone 4, he had delivered, repaired, or that he got it replaced with a brand new iPhone 4, understood as a phone not containing reused parts.

Apple did not comply with the demand, so the consumer took the case to the Consumer Complaints Board.

During the proceedings, the Board was seeking the opinion of an IT expert. The IT experts stated, that the modules used in the refurbished iPhone 4 had the same appearance, usability, durability and sale value as new modules, as well as a refurbished phones have an appearance, a durability and usability, which corresponds to a brand new phone, but has a lower resale value.

The Board ruled in the case July 14th, 2014 and said that the consumer was entitled to cancel the contract. The Board stated that Apple had not made replacement in accordance with the Sale of Goods Act § 78, as it was replaced with a phone that contained used modules.

As Apple disagreed with the Board's decision, Apple brought the case before the Court in Glostrup, where the case has been tried by the involvement of three judges. There has now been delivered a judgment in the case and the court reached the same conclusion as the Consumer Complaints Board. Apple was therefore not entitled to replace them with a so called refurbished phone, as this may contain some reused modules, and the consumer were right in canceling the agreement.

From the court's reasoning:

'...

In assessing whether Apple made a proper replacement, it must be given weight if replacement with a refurbished iPhone using an objective assessment meets the offer given in the original agreement.

In the examination there must - in addition to the phone's usability, appearance, durability and technical reliability - also emphasis the consumer's legitimate expectations to the replaced phone, as well as there must be considerations of economic value.

It is not seen in the preparatory work for the Sale of Goods Act, or reasons to include environmental considerations, in assessing whether a replacement product qualifies for the Sale of Goods Act § 78 part 1 subpart 2. The fact that environmental concerns can speak for the recycling of reusable modules and components production in general, is not relevant in determining whether a replacement product complies with the agreement.

After an overall assessment, the court finds that David Lysgaard by replacement had a legitimate expectation of receiving a brand new product equivalent to the original purchase. Since the refurbished phone that David Lysgaard was given could contain reused modules, the phone can not qualify as a brand new phone. In addition, as stated above, that the circumstance that the phone was not brand new, by information given, affects the phone sales value.

Replacement with a refurbished iPhone therefore did not match the original purchase agreement, as required under the Sale of Goods Act § 78 part 1 sub 2.

David Lysgaard has rightly canceled the agreement under the Sale of Goods Act § 78 part 4. David Lysgaard should be acquitted as indicated.

... '

Case number BS 10E-3689/2014.
"
 
Not an accurate comparison. Moving parts are quite different than circuits, chips, and solid state components.

Also, the auto industry has the same rules. If your car needs a part replacement its more than likely the replacement will be a refurb.

I don't see moving parts as so different. You replace the wear items and put the assembly on the shelf as a refurb. Solid state car components are same. With electronics, you go down to component level and replace what is bad. Then it goes back on the shelf as a refurb.
 
How long before Apple leaves the Danish market.
Never, unless the expenses to comply with Denmark's consumer law outweight the profits Apple makes in that country. Very likey not to be the case...
 
I think you do not quite understand civil law... Yes, the judge goes back to the statute, but also considers the precedents. And if you think that the judge has misinterpreted the precedents, than you can appeal and you might win, because the higher the court, the more a civil law suit looks like a common law suit.

You can refer to other cases but they do not form precedents.
 
I didn't realise there were so many legal experts on here. Apple could really use you blokes especially if you speak Danish.....
It's always useful to know your consumer rights and you don't need to be a legal expert to do that.
 
I could see apple skirting this issue by offering a replacement with a brand new device only if you return everything that came with the original purchase, box, headphones, charging cables, and a new device would take between 2 and 4 weeks. Or you could walk out the door today with a refurb.
You must of course be an expert on Danish law.
 
To everyone defending Apple on this, the customer bought a new iPhone, not a refurbished one. When the phone turned out to be defective within the warranty period, he expected the same product he originally had bought. It is not about whether reforms are as good as new or whatnot. It's about getting what you buy. If I buy a refurb, I don't expect a new device if I get it replaced. If I buy a new one, I do though. The man they talk about here said on Danish television that it's a matter of principal, and he does indeed believe the phone to be as good as a new one, but the package was opened, and it had minor scratching on the back - not something he would normally care about as he uses a case, but he had bought a new phone, so it was his legal right to get a replacement that was new as well
Ohhhhh... by the image used to illustrate the story, I thought the man had damaged/sat on the phone and was demanding a new one.
 
the only thing I took from this is how much I want an updated iPhone 4. The smaller the better...
 
But if Apple just repaired the defect, you'd be worse off with your used, non-refurbished phone. Be careful of what you wish for
I would be quite sure that Apple doesn't have to give you a replacement, they also can repair your phone or refund the money. And with these possibilities, they can give you the choice: Take a refurbished phone and have a working phone in good condition right now, possibly in a better condition than your old phone before you needed a repair, or leave the phone in the store, and pick it up two weeks later when it is repaired. I would think that you have no legal right to a loaner phone in between.
 
You say a refurbished item has lesser value. But so does a used iPhone. In this specific case, the person had his iPhone for a year. Apple should replace it with an item of equal or greater value. Since it's been used for a year, a refurbished phone has equal and, as some have argued, possibly greater value. Apple can replace it with a new one at their discretion. (Actually happened to me when I had my iPhone 5 replaced under warranty. The genius told me it was a new and not a refurbished phone.)

Also what qualifies this as a "luxury" item? Are there actual metrics that qualifies an item as a luxury?

When you can void the sale due to a guarantee issue you'll get the original purchase price back, even if the phone is several years old. Apple products drop a lot in value after the first year, so that doesn't seem like a very consumer friendly measuring stick and it would motivate drawn-out warranty processes so the company could replace the purchase with ever cheaper replacements.

Luxury items, luxury brands, luxury taxes, etc. are well known and well studied concepts. I think it's still the case that you pay a 200% (luxury) tax on new cars in Denmark (i.e. a $20 000 car would cost $60 000). Apple positions the iPhone as an exclusive luxury item. It's better, prettier, faster, and people will think you're cool if you own one.., and the price is more than twice the average in the "smartphone" category (I have an iPhone for at least some of those reasons ;-) Consumers of luxury items generally have higher expectations.
 
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I would be quite sure that Apple doesn't have to give you a replacement, they also can repair your phone or refund the money. And with these possibilities, they can give you the choice: Take a refurbished phone and have a working phone in good condition right now, possibly in a better condition than your old phone before you needed a repair, or leave the phone in the store, and pick it up two weeks later when it is repaired. I would think that you have no legal right to a loaner phone in between.

Exactly my point.
 
The ultimate result will likely be that Apple will discontinue its replacement program in countries where they have to do this.
 
I have an iPhone 4 that the guy can have. Problem is, the iPhone 4 is so old it does not function anywhere as good as newer models. Why would he want one, even a new iPhone 4 and even back in 2014.
 
How many times have you opened one to check?



Fake News Alert - Fake News Alert Headline is that "Apple is using water damaged boards" That's not what the video states. It says she found one, ONCE.! More importantly, she concedes it is exactly the type of repair that she would make, while she quibbles with the "lack of underfill" under the chip. We don't know if that is an issue or not, or how prevalent, but its all speculation.

OK, moving beyond the FakeNews the video is trying to put out, there is another major problem with this video.

At 8:30 she reveals her major bias' without realizing it. She admits she is doing the video "because Apple looks down on independent repair shops as 'the dirty industry.' " Once we know she has a grudge against Apple her credibility is shot.

Another key thing that she doesn't realize is that she is unintentionally showing what a great company Apple is. Early on she tells us that customer got the iPad as "an OUT OF WARRANTY" swap. Thus, Apple went the extra mile to take care of a customer whose warranty had expired.
 
The other option is to give the user a loaner, take his / her phone in for repairs, then give it back. In that case, they would have a used phone (Their original phone in this case) with some new components. It all depends on local laws, but it would be legal in most countries to do this, likely costing the customer more time.

I have had carrier extended warranties in the past, dealing with shipping a phone out, using a loaner, then reverse the process, is a pain in the neck. The Refurbished replacement is actually a nice service (IMO).

If he indeed received a refurbished device with blemishes, then he should be made whole by receiving a proper replacement.

A repair of his phone would still be the product he bought, and therefore ok.
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It's ridiculous to completely discount the fact that a customer gets use out of the iPhone (or any product), so it's not new when it gets turned in for warranty replacement. If Apple tried to provide an already opened iPhone, that's a different issue, because it's certainly not how they normally operate here.

Every replacement I've gotten has always come out of a new white or black box, fully cellophane wrapped, in new condition. I've always considered replacements as a great way to upgrade from the scratches and dings the phone I'm turning in had, so it's a benefit, not a negative.

This being said, one of my kids got a replacement iPhone 5s through AT&T's insurance plan and it was neither new nor an Apple certified replacement. It had issues with the home button set below the screen, making it impossible to use touch ID accurately, so I had to get a replacement for the replacement. Clearly AT&T is doing their own refurb work or outsourcing to some company doing very cheap fixes. I didn't complain, because he really just needed a replacement, but it was certainly shoddy compared to what we've gotten from Apple in the past.


According to Danish television covering the case, the official Apple refurb this guy got, came in an opened box, and had light scratching on the back. The source is the Danish TV channel, TV2 News.
 
Silly. Does the refurbished part pass electrons through it differently than the new part? As somebody who had been in Apple support for years and has replaced hundreds if not thousands of parts and devices, the worst thing that can happen isnt that something is broken within warranty, that is forgivable. Its if its broken more than once. Refurb parts are great. Apple is actually telling the truth here.
No, but the snooty buyer would discount it, because it's a refurb. Thus, it's true value is less than one acquired as a new device.
 
Ohhhhh... by the image used to illustrate the story, I thought the man had damaged/sat on the phone and was demanding a new one.

In that case, Danish law would only require the replacement to be entirely new, if he had bought special insurance for it. Standard warranty does not guarantee a new replacement product here if it's self-caused damage, it does however guarantee a product of similar age or less than what is being replaced
 
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