Warning Over Buying 'Locked' Secondhand Devices
February 4, 2016 | Technology
An Australian consumer organisation is warning people about buying second-hand devices after reports people are buying locked iPads.
The warning is applicable to Kiwis who buy thousands of secondhand smartphones and tablets.
Sydney retiree Suzanne McCarthy was excited to start using her first iPad 3, which she had nabbed at Sydney Airport's lost property auction for AU$330 (NZ$360).
But the excitement turned to anger when she realised the device was activation (or iCloud) locked, and essentially a "brick". No one could help her and she had no rights to a remedy under the Australian Consumer Law.
"Apple told me they couldn't unlock it. They were shocked, saying it should never have been sold like that," said McCarthy, 69.
"I feel angry a massive number can be sold like that, when the auctioneers would have known they were useless objects if locked."
The locked iPad was among the digital devices - nine new iPhones in original packaging, 150 phones, 1000 iPads and tablets and 150 laptops - up for grabs at Sydney Airport's lost property auction in November, run by Pickles.
Many digital devices are now activation locked as an anti-theft measure. While theft rates have reduced, locked devices are still being flogged online. A phone can also be carrier locked, which means it can only be used on the network it was sold for.
NSW Fair Trading confirmed that in general the consumer guarantees under consumer law do not apply to goods purchased at auction. That is, consumers with products that are "not fit for purpose" cannot pursue refunds, replacements or repair.
"Before purchasing digital items through auction, consumers should satisfy themselves that the item is in suitable working order. Where possible, inspect the item or contact the auctioneer prior to bidding to confirm the condition and ask specifically whether it is locked."
McCarthy said no authorised Apple repairer she contacted could unlock her iPad. One person said it could be sent overseas and unlocked for $250. She refused.
But Pickles auction manager Matthew Blunden said about 300-400 potential bidders attended a viewing day before the auction where they charged and tested digital devices.
"It's lost property. We're very aware some of this stuff may be essentially for parts only," he said.
"We had some people ringing in complaining, saying 'I paid $200, $300'. But the public sets the price. If it sells for $5, it sells at that."
They have refused Ms McCarthy a refund.
Associate Professor David Glance, director of Centre for Software Practice at the University of Western Australia, said auction houses should be aware of the activation lock and should not be selling ones that are affected.
"The industry calls them 'bricked'. There are legitimate cases where people die and don't leave their details and their family can't get access, making the device useless."
eBay's guide to locks on iPhone says it is an "easy problem to overcome when the previous owner is with you, as he or she can simply enter the necessary information to remove the device from his or her account".
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- Article originally on nzherald.co.nz.
