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Consumer Rights Directive to be transposed by 13 December 2013


New EU consumer protection laws will have to be introduced in the UK and other member states before 13 December 2013 following the publication of the Consumer Rights Directive in the EU's Official Journal.

The text (25-page / 937KB PDF) of the Directive was published in the Official Journal on Tuesday and included an express provision that EU member states "adopt and publish, by 13 December 2013, the laws, regulations and administrative provisions necessary to comply with this Directive".

Last month the EU's Council of Ministers voted to adopt the Consumer Rights Directive following previous approval given by the European Parliament. Both bodies must approve new EU directives proposed by the European Commission before they can come into force.

Under the Directive all EU consumers will generally be able to return goods bought online within a fortnight of receiving them in order to receive a full refund. Current laws give consumers the right to return distance-sold goods within seven days. Customer-specified or personalised products are among the goods to which the new right of return will not apply.

The traders will have to issue online consumers with a 'model withdrawal form' that could be used to return the goods, along with a number of other details before a contract will be deemed binding, the Directive said. Other information traders must provide consumers with include details of "the main characteristics" of the goods and services being sold, contact information such as name and geographical address of the business and the total price of what is being sold, including extra fees and charges.

Under the new laws traders will generally be expected to deliver goods to consumers within 30 days of an order being placed. Consumers would be entitled to terminate the contract and receive a refund if the business does not deliver the goods during "an additional period of time appropriate to the circumstances", the Directive said.

Traders are also prohibited from introducing surcharges for payment methods, such as for using credit or debit cards, above what it costs them to deliver the means of payment. Traders will also not be able to charge consumers extra for communicating with them via telephone following the conclusion of a contract. In those circumstances the consumer should only have to pay "the basic rate", the Directive said.

If there is any extra payment required for a transaction to be completed traders must "seek the express consent of the consumer" before any sale should occur, the Directive said. Consumers will be entitled to a refund of any extra payment if the trader has not received their "express consent" to the charge.

The European Commission has the power to initiate legal proceedings against EU members for failure to enact EU laws. The European Court of Justice can order EU member countries to implement EU Directives and fine them if they fail to comply with the order

The UK Government has said that the requirements of the new Directive will be transposed into a new catch-all piece of national consumer protection legislation. The proposed 'Consumer Bill of Rights' is planned in order to merge all existing UK consumer protection laws and regulations. There are 12 existing laws and regulations relating to consumer protection in the UK which the Government said is "complex and confusing" and bad for both consumers and business.

UK consumers are currently protected by laws such as the Distance Selling Regulations and the Consumer Protection from Unfair Trading Regulations (CPRs).

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