Commission's plan is designed to boost shopping across
the 27 EU nations' borders. Though 150 million EU citizens shop
online, it said, only 30 million shop across EU borders.
The proposed Directive would order retailers to provide clear
information on prices and all charges before any purchase is made,
would increase the protection available in cases of late or
non-delivery and would bolster consumer rights in relation to
refunds, cooling-off periods and guarantees.
Retailers will have 30 calendar days in which to deliver
products, according to the new rules, and the seller bears all the
risks inherent in sending a product. If delivery does not happen or
is late the consumer is entitled to a refund within seven days, the
rules say.
Meglena Kuneva, the European Consumer Commissioner, said that
hidden charges were "the new plague for consumers", and that the
rules would make sure consumers always knew what they were going to
pay.
The new rules would replace the Unfair Contract Terms Directive,
the Sales and Guarantees Directive, the Distance Selling Directive
and the Doorstep Selling Directive, the Commission said. "The
proposed directive upgrades existing consumer protection in key
areas where there have been large numbers of complaints in recent
years – such as pressure selling," said a Commission
statement.
"The new rules will significantly strengthen consumer protection
across the EU and guarantee equal protection for consumers wherever
and however they shop – online or in the high street," said
Kuneva. "It is the most far reaching overhaul of consumer rights in
30 years."
Kuneva said that the rules were intended to benefit businesses
as well as consumers. "[The rules] will significantly reduce the
burden on Europe's hard pressed business community," she said. The
Commission claimed that some retailers could cut compliance costs
by 97% by having a standard set of consumer contract terms across
the EU's 27 countries.
The new rules will include action on some of the unfair terms
that appear in consumer contracts. Any pre-selected options in
contracts which cost consumers, for example, will be invalid.
"All pre-ticked boxes which apply to payments are banned – for
example, for travel insurance, priority boarding and baggage," said
Kuneva.
The Commission will also publish a new blacklist of terms which
should not appear in contracts to ensure that consumers are not
caught out by hidden terms in contracts. Those terms are
prohibited, and the use of terms on a grey list will be prohibited
unless the retailer proves that they should not be.
For distance sales, such as online sales, consumers will be
entitled to an EU-wide 'cooling off' period of 14 calendar days
during which they can change their minds about a contract they have
signed.
The Commission said that the new rules would establish the kind
of consistent system which is necessary if cross-border trade is
expected to flourish.
Though the four existing directives provided some consistency,
the Commission's statement said, it was not enough. "Member States
have added rules in an uncoordinated manner over the years, making
EU consumer contract laws a patchwork of 27 sets of differing rules
for example: a mix of differing information obligations, differing
cooling off periods ranging from 7 to 15 days and differing
obligations in relation to refunds and repairs," it said.
Before becoming a Directive, the proposals must be agreed by the
European Parliament and by governments through the Council of
Ministers.
