Consumer Law.docx

Consumer Law Sale of Goods and Supply of Services Act 1980 (SOGSOS 1980) -consumer law -gives statutory rights to consumers regarding goods, services and other rights Rights on Goods -under the sale of goods and supply of services act 1980 -goods must be of merchantable quality -goods must be fit fo...

Consumer Law Sale of Goods and Supply of Services Act 1980 (SOGSOS 1980) -consumer law -gives statutory rights to consumers regarding goods, services and other rights Rights on Goods -under the sale of goods and supply of services act 1980 -goods must be of merchantable quality -goods must be fit for the purpose intended -goods must match their description -goods must conform to their sample -buyer has right to quiet possession Rights on Services -under the sale of goods and supply of services act 1980 -services must be carried out with proper care and diligence -services must be carried out with sound materials fit for purpose -goods supplied by service must be of merchantable quality -services must be carried out using the necessary quality skills Additional Rights -under the sale of goods and supply of services act 1980 -retailer is responsible -guarantees -unsolicited goods/inertia selling -illegal signs -renting and hiring -redress entitlements Merchantable Quality -under the sale of goods and supply of services act 1980 -goods must be of an acceptable standard -taking into account what is said about them -taking into account what they are supposed to do -taking into account their durability -taking into account the price paid -eg a new smart phone battery shouldn't explode and catch fire Fit for Purpose -under the sale of goods and supply of services act 1980 -goods must do what they are supposed to do -goods must do what they are designed for -this includes any purpose that has been stated by a sales person -eg sales person says these boots are waterproof thus boots should not leave in water Match Description -under the sale of goods and supply of services act 1980 21 -goods must be exactly as described on the packaging/brochure or by the sales person -eg a ham and egg sandwich must contain ham Match Sample -under the sale of goods and supply of services act 1980 -goods must match the sample of which they were sold by -eg tiles purchased from a sample in store must be the same as the sample upon delivery Quiet Possession -under the sale of goods and supply of services act 1980 -the buyer has the right to quiet possession -meaning the buyer trusts and relies that the seller has proper title and claim of the goods/services being sold -the seller can only sell goods he or she has full title to -the seller has the legal right to sell Retailer Responsibility -under the sale of goods and supply of services act 1980 -the seller is ultimately responsible for the contract, not the manufacturer -the seller and customer are in the contract together -seller’s responsibility (not manufacturer’s) to resolve any issues Guarantees -under the sale of goods and supply of services act 1980 -these are given by the seller in addition to consumers’ statutory legal rights -they do not infringe on consumers’ statutory consumer rights Unsolicited Goods/Inertia Selling -under the sale of goods and supply of services act 1980 -payment cannot be demanded for unordered goods -inertia selling is when unordered goods are sent to someone and a demand for payment is made by the sender for the unordered goods -consumer has right to keep the goods without payment after 30 days if the consumer has sent a written notice to the sender and informed the sender where the goods can be retrieved -consumer also has right to keep the goods without payment after 6 months if the sender has not collected them and the consumer has not prevented the sender from doing so -eg book club sends you a book you did not order and asks for payment Illegal Signs -under the sale of goods and supply of services act 1980 -consumers’ rights cannot be infringed upon by illegal signs -it’s an offence for the retailer to display signs that give the consumer the impression that they have no legal rights -signs can be legitimate if it contains ‘this does not affect consumers’ statutory rights’ -eg no refunds, credit notes only (credit notes are not valid refunds as they restrict customer to the specific shop), no exchanges Hiring and Renting -under the sale of goods and supply of services act 1980 -consumers renting or hiring have the same rights as consumers buying Redress -under the sale of goods and supply of services act 1980 -if the goods/services do not satisfy the above rules the consumer is entitled to a remedy -customer with proof of purchase (doesn’t necessarily have to be receipt, could be credit card statement) is entitled to a refund, a replacement or a repair Redress Not Allowed -consumer changes their mind about product/service 23 -damage caused by consumer themselves -unreasonable time has elapsed between purchase and time of complaint -fault was pointed out to consumer prior to consumer purchasing -consumer has no proof of purchase Consumer Protection Act 2007 (CPA 2007) -consumer law -it is illegal for traders to make false or misleading claims about goods, services and prices -bans unfair commercial practices -does not give any rights to the consumer, instead, it draws up a list of offences by sellers -bans misleading practices -bans aggressive practices -bans prohibited practices -outlines rules regarding prices -outlines redress -set up the Competition and Consumer Protection Commission (CCPC) Misleading Practices -under the consumer protection act 2007 -it is illegal for a business to give false product descriptions about its goods -includes misleading claims -includes misleading advertisements -includes the withholding of information -eg a sweater labelled 100% wool but this is actually only 90% wool -eg advertised that delivery is free but delivery is only free on purchases over €50 Aggressive Practices -under the consumer protection act 2007 -it is illegal for traders to engage in aggressive practice such as harassment, coercion, or using undue influence (deemed as non-consent under COALCIC contract validity) -eg trader cold calls to a person’s home and ignores request to leave Prohibited Practices -under the consumer protection act 2007 -certain practices are completely prohibited -making false claims for cures for illnesses is prohibited -offering free prizes when it costs money to claim the prizes is prohibited -running promotions or competitions when the top prize is not available is prohibited -demanding payment for unsolicited goods (inertia selling also protected under SOGSOS 1980) is prohibited -cold calling is prohibited -pyramid schemes are prohibited Prices -under the consumer protection act 2007 -it is illegal for a business to make false/misleading claims about prices -consumers have the right to clear and accurate information on the price of goods and services so that you can compare prices and make informed choices -shops must display both the overall selling prices and the ‘per unit’ price inclusive of all VAT, tax and charges -certain business are required by law to display their prices in a certain manner so they can be seen externally or immediately inside the premises eg petrol stations, hairdressers -it is illegal for sellers to give a false/misleading previous prices when running price promotions/special offers, in order for something to be considered on sale, it must have been at the higher price in the same outlet/a significant number of outlets for at least 28 consecutive days within the previous three months Redress -under the consumer protection act 2007 -consumers can apply to the courts for damages if they suffer loss due to misleading practices by a business 25 -the CCPC can also apply to the courts for an order that requires a business to pay compensation to consumers for any loss or damage resulting from an offence of the Competition and Consumer Protection Commission (CCPC) -amalgamation of the Competition Authority and the National Consumer Agency -statutory body -has a dual mandate responsible for enforcing consumer protection and competition law in Ireland Functions of CCPC 1. Informs Consumer Rights 2. Enforces Consumer Protection Law 3. Enforces Competition Law 4. Assesses Mergers 5. Advises Government and Influences Policy Informs Consumer Rights -CCPC informs consumers of their rights by providing them with information to enable them make informed decisions when buying goods and services -eg CCPC website, helpline, shoppers rights leaflets, information campaigns Enforces Consumer Protection Law -CCPC enforces a wide range of consumer protection legislation through its enforcement tools -prosecution enforcement tool (prosecuting a trader who has broken the law is the ultimate sanction) -on the spot fine enforcement tool (CPA provides for the issue of on the spot fines in respect of breaches of price display legislation, this sanction may be used as an alternative to prosecution) -undertaking enforcement tool (CCPC may seek and obtain a written undertaking that a trader involved in a prohibited act or practice will comply with the requirements of the CPA) -consumer protection list enforcement tool (name and shame of sellers in breach of law, CPA requires that enforcement actions taken by the CCPC are recorded the consumer protection list) -prohibition order enforcement tool (any person, including the CCPC, can apply to the Circuit or the High Court for an order prohibiting a trader from committing or engaging in a prohibited act or practice) -compliance notice enforcement tool (CCPC may issue this notice if seller has committed a prohibited practice, asks the seller to take comply with the CPA and take corrective action) -eg CCPC issued a Vodafone a compliance notice issuing them to amend the information provided to consumers so as to ensure that customers of Vodafone have the correct cancellation process available to them Enforces Competition Law -CCPC enforces Irish and European Competition law in Ireland -it conducts investigations -civil or criminal enforcement proceedings may follow where it finds evidence of breaches of competition law -CCPC can take legal proceedings to compel parties to stop their illegal activity -eg members of home heating oil cartel were once convicted of price fixing which is illegal as it reduces fair competition Assesses Mergers -CCPC examines mergers and acquisitions to ensure that competition is not reduced which could impact on prices/services provided to consumers -CCPC must be notified about proposed mergers, acquisitions and takeovers which reach a certain turnover standard -CCPC may approve the transaction, block the transaction or impose merger terms and conditions which will address competition concerns -eg CCPC clears Panda to take over the waste-collection business of rival Greenstar 27 Advises Government and Influences Policy -CCPC advises the government how proposed legislation or regulations could affect markets in terms of competition and/or consumer welfare Small Claims Procedure -provided under one’s local district court -can be used by consumers against businesses -as of January 2010 can be used by businesses against other businesses -for claims under €2,000 -cheap, district court fee of just €25 to bring forward a claim -informal -no solicitors involved -claims can be filed online -if the claim is disputed by the seller, the claim is brought to the district court for a hearing and a judgement will be issued Ombudsman for Public Bodies -ombudsman examines complaints from people who feel they have been unfairly treated by certain public bodies eg government departments, local authorities, HSE -independent service -impartial service -free service -before contacting the ombudsman you must have tried to solve the problem with the body concerned and exhaust any local appeals systems with that body -complaints must be made within 12 months of occurrence -separate ombudsman for Gardaí and the army -current public bodies ombudsman is Ger Deering