Upheld: non-delivery of goods / breach of consumer credit agreement complaint against EE Limited

Decision detail

Summary

Mr A purchased a phone for approximately £1,500 financed through a fixed sum loan agreement with EE Limited in September 2025. When the phone was delivered in October 2025, Mr A found only a phone case in the parcel and immediately reported the missing phone to EE. EE investigated but concluded the phone had been dispatched correctly and held Mr A liable for the loan. Mr A brought the complaint to the FOS, providing a video showing the parcel contained only the case. The Ombudsman upheld the complaint, finding Mr A's video and testimony persuasively demonstrated the phone was not delivered, and therefore EE could not fairly hold him liable for the finance agreement. EE was ordered to end the agreement, refund any payments with interest, remove it from Mr A's credit file, and pay £100 compensation for inadequate investigation.

The Ombudsman's reasoning

The Ombudsman applied the Consumer Rights Act 2015, which implies that traders must deliver goods to consumers and that goods remain at the trader's risk until physical possession is taken. The Ombudsman found Mr A's video to be strong evidence that the phone was not in the parcel, supported by his consistent testimony about the parcel feeling too light, the matching parcel in delivery photos, and the absence of any white phone packaging visible in the video. While EE raised concerns about video clarity and parcel depth, the Ombudsman found these arguments unpersuasive given the overall circumstances, including the delivery failure creating a wider window for interception and Mr A's prompt reporting. The Ombudsman also found EE's investigation inadequate because it failed to request supporting evidence from Mr A, which could have resolved the matter sooner.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website