Faulty Product Rights: Warranty and Returns in 2026

If a purchased product is faulty, the buyer may pursue several remedies, but the conditions are not the same. Besides the commonly used term “warranty”, it is worth understanding the meaning of a guarantee and the statutory warranty for defective performance, as these may determine the burden of proof, the time limit and the remedy that can be requested.

The following guide focuses on purchases between businesses and consumers. It provides general information and therefore does not replace personalised legal advice in individual or disputed cases.

First, establish who sold the product

According to the guidance of the Budapest Conciliation Board, consumer guarantee and statutory warranty rights can be enforced against businesses. Consequently, the same consumer protection rules do not apply to a used item bought from a private individual as to a product purchased in a shop or online store.

It is also important to establish whether there was defective performance. This generally means that, at the time of performance, the product did not meet the quality requirements set out in the contract or by law. Not every fault that develops later can be traced to a cause that already existed when the product was handed over: problems resulting from improper use, damage or normal wear and tear may be assessed differently.

Guarantee and statutory warranty are not the same

A guarantee — often simply called a warranty in everyday language — is favourable to consumers because, during the guarantee period, the business must prove its case if it claims that the cause of the fault arose after performance. This rule on the burden of proof is explained in the guidance of Hungary’s National Trade and Consumer Protection Authority.

The mandatory guarantee does not automatically cover every product. It applies to specified new durable consumer goods, and its duration depends on the sale price. Under Government Decree 151/2003 (IX. 22.), the mandatory guarantee lasts two years where the sale price is at least HUF 10,000 but does not exceed HUF 250,000, and three years where it exceeds HUF 250,000.

By contrast, the statutory warranty for defective performance stems from the seller’s obligation to perform without defects. According to the NKFH’s summary, claims under this statutory warranty may be pursued for two years in sales between a consumer and a business. During the first twelve months, a fault that comes to light is presumed to have existed when the product was handed over, unless this is incompatible with the nature of the product or the fault; after that, as a general rule, the consumer must substantiate that the defect was inherent.

An immediate refund is not available in every case

Claims relating to faulty products may be pursued in a specified order. As a first step, the consumer can generally request a repair or replacement. The choice is not unlimited: it matters whether the requested remedy is possible and whether it would result in disproportionate additional costs compared with the alternative.

A price reduction or termination of the contract may generally come to the fore if repair or replacement is not an appropriate remedy, is not carried out, or the circumstances mean that the consumer cannot reasonably be expected to accept it. The situation must always be assessed on the basis of the particular fault, the product and the measures taken by the business. A minor defect alone does not necessarily justify terminating the contract.

The three-working-day replacement rule is limited

The three-working-day rule is not a general right to return a product without giving a reason. It applies to durable consumer goods covered by the mandatory guarantee if the consumer requests a replacement within three working days of purchase or, where applicable, installation, and the fault prevents normal use.

According to the government decree, in such cases the business may not argue that replacement would result in disproportionate additional costs and must replace the product. This is not the same as returning a fault-free product because the buyer has changed their mind.

The complaint must be submitted to the retailer

According to the guidance of the European Consumer Centre Hungary, a complaint about quality must be submitted to the retailer from which the product was purchased. The retailer may not refuse to accept the claim merely by directing the buyer to the manufacturer or a service centre.

In practice, it is advisable to record clearly in writing when the fault appeared, how it manifests itself and which remedy the buyer wishes to pursue. It is sensible to keep the invoice, receipt, guarantee certificate, correspondence, photographs and all handover or service documents. These may help reconstruct events in the event of a later dispute.

According to a legal summary by Közjegyzőt Keresek, the retailer may not make the pursuit of a claim conditional on keeping and returning the original box or other packaging. The packaging may still be useful for safe transport, but its absence does not in itself invalidate the consumer’s claim.

Two separate legal grounds apply to online purchases

For orders from online stores, claims based on defective performance are often confused with the right of withdrawal without giving a reason. If the product is faulty, guarantee or statutory warranty rules may apply. By contrast, the right of withdrawal allows consumers to withdraw from certain distance contracts within a specified period without giving a reason, although exceptions apply.

It is important to distinguish between these two legal grounds because different conditions and rules on who bears the costs may apply. The complaint should therefore clearly state whether the buyer is acting because the product is faulty or wishes to exercise the right of withdrawal associated with distance selling.

Practical steps when a product is faulty

• Documentation: it is advisable to record when and under what circumstances the fault was discovered, and to take photographs or video if these clearly demonstrate the problem.
• Proof of purchase: gather all available receipts and guarantee documents.
• Written notification: provide the retailer with a brief, factual description of the fault and the chosen remedy.
• Keeping documents: it is sensible to keep documents relating to the complaint, handover, repair and the retailer’s response in one place.
• Reviewing a refusal: it is advisable to request written reasons if the business rejects the claim.

It is not advisable to dismantle or repair the product yourself if doing so could make it more difficult to investigate the origin of the fault later. A factual description in the complaint is generally more helpful than speculation about the cause.

If no agreement is reached, contact a conciliation board

If direct complaint handling does not produce a result, the consumer may initiate proceedings before a conciliation board. According to the Conciliation Board’s procedural guidance and the information provided by the Budapest Conciliation Board, this is a free, out-of-court dispute resolution option that may be initiated in writing or online.

It is useful to attach proof of purchase, the complaint, the business’s response, service documents and any other relevant records to the application. The consumer must first attempt to resolve the dispute directly with the business and be able to provide evidence of this.

The key takeaway

When a product is faulty, the decisive issue is not whether the buyer refers to a “warranty” in everyday terms, but which remedy is available under the rules governing guarantees or the statutory warranty for defective performance. For the mandatory guarantee, the price and product category are particularly important; for the statutory warranty, the origin of the fault and the time elapsed are key.

The safest first step is to document the fault promptly and notify the retailer in writing. If the dispute cannot be resolved this way, the conciliation board’s free procedure may offer an out-of-court solution.