NZ Desktop users (NOT hosted) who purchased their software are now being charged an annual licence fee, which contravenes the NZ Fair Trading Act (Sections 7, 8 and 9). In brief, Reckon cannot force us (by serious threats or pressure) to accept a new annual contract, when we originally purchased a perpetual licence. Their threat of disabling our software and removing our access is duress, which is not allowed. The Fair Trading Act also covers unfair contract terms, where the supplier varies the services provided, without the customer's agreement. I doubt if anyone has willingly agreed to pay an annual fee to use software which we purchased outright.
We are being forced to make payment because we need access to our software, but we can do the following:
- Notify Reckon that you are making payment under duress (in response to their threat to disable the software).
- Notify Reckon that you do NOT accept their new terms and conditions.
- Remind Reckon that you purchased software without an expiry date and you are entitled to use it.
Then you can apply to the Small Claims Court for a refund of the annual licence fee(s) that you have been forced to pay. Please do this, it's cheap and easy.
You can also make a complaint to the Commerce Commission, about Reckon's threats and unfair terms. I hope that everyone will do this, too. It's the Commission's job to protect consumers when we are powerless to prevent a supplier from changing the terms of a contract.
Please note that the IRD requires us to keep records for 7 years, yet Reckon's new terms disallow "read only" access unless we pay an annual fee. That means that we would have to keep paying licence fees for 7 years after we stop using Reckon, just to access our own records. I have asked Reckon for clarification on this but they have not replied, so I believe I am correct in this assumption. That's why we must fight to retain our perpetual licences.
Australian users: I am sure that you have robust customer protection legislation similar to our Fair Trading Act (and hopefully a Small Claims Court so you can also obtain a refund of your fees).
