Login

DIA Mediation Resolving Damage Complaints And Restoring Online Reputations

A single negative review online can feel like a disaster for any business – especially when it follows a genuine customer complaint. For DIA members, however, support is always at hand to turn a stressful situation into a fair resolution.

Here’s how our mediation helped a Sydney drycleaner resolve a garment damage complaint and restore their online reputation.

The Challenge: Damage to a Garment and a Negative Google Review

A customer brought in a green dress with visible make-up stains to a DIA member for cleaning. The drycleaner inspected the care label and confirmed it was suitable for dry cleaning, although it didn’t specify a solvent. The drycleaner discussed the stain removal process with the customer and got to work

After cleaning, the original stains were removed, but new black marks appeared. Investigation revealed that the staining originated from a black plastic tag attached to a cord. The care label did not warn customers to remove such tags – a requirement under Australian Care Labelling Standard AS/NZS 1957:1998.

While the customer was overseas, a friend collected the dress and reported the damage. Further attempts to remove the marks failed, and the customer refused the drycleaner’s goodwill offer of $200. Instead, they demanded full compensation for the cost of the dress ($378) and posted a negative Google review.

Complicating matters further:

  • The customer did not provide purchase details or the garment’s age, which are necessary under the International Fair Claims Guide
  • Communication after the customer’s return became difficult, with no room for negotiation
  • The negative Google review was posted before the conclusion of mediation, escalating the situation
  • The customer lodged a complaint with the Office of Fair Trading (NSW), requiring official intervention


Luckily, the drycleaner knew exactly where to go for support, making the most of their membership.

The DIA Solution: Expert Mediation and Support

The drycleaner reached out to DIA for assistance. Our team stepped in to mediate the dispute, providing clear guidance and drafting a formal response that outlined:

  • The care label lacked a warning to remove the tag
  • The customer did not disclose all relevant facts (e.g. the attached tag)
  • The customer refused to provide purchase details for a fair valuation
  • The initial $200 goodwill offer was fair given the shared responsibility
  • A proposed resolution: $200 compensation, contingent on removal of the negative Google review

By presenting the facts and proposing a fair resolution, DIA helped the business manage the complaint professionally while protecting its online reputation.

Following the DIA-mediated response, the customer accepted the $200 compensation and removed the negative review. The drycleaner moved forward with their reputation intact, the customer received fair compensation, and yet another DIA member gained confidence in handling disputes.


Key Learnings for Businesses:

  • Always check garments for attached tags or accessories before cleaning and advise customers to remove them
  • Document all conversations and conditions at drop-off and pick-up
  • Refer to industry standards (Care Labelling Legislation and Fair Claims Guide) when handling disputes
  • Clear communication and written agreements can prevent escalation

 

Why It Matters: The DIA Advantage 

This case demonstrates the value of DIA membership: expert advice and mediation turn a potentially damaging complaint into a fair, manageable outcome. Members can protect their bottom line, maintain customer trust and confidently handle disputes – without facing them alone.

Protect your business and your reputation. Become a DIA member today.