DEFINITION

Consumer protection comprises rules and legislation for the protection of the consumer = private client (as opposed to business client). Consumers are considered as deserving specific protection to avoid an unfair situation in a market place. This is valid in particular for distance selling, i.e. when consumers buy not in a face-to-face situation but "remotely" via catalogues, TV or the Internet.

IMPACT ON e-BUSINESS

Rules for consumer protection are laid down in particular in the Directive 97/7/EC in respect of distance contracts. Any business who sells over the Internet should be aware of these rules as they may have a substantial impact on business performance (see for example cooling off period).
Art. 4 determines what is the minimum information given when selling "at a distance", e.g. via a website:
Prior information
1. In good time prior to the conclusion of any distance contract, the consumer shall be provided with the following information:
(a) the identity of the supplier and, in the case of contracts requiring payment in advance, his address;
(b) the main characteristics of the goods or services;
(c) the price of the goods or services including all taxes;
(d) delivery costs, where appropriate;
(e) the arrangements for payment, delivery or performance;
(f) the existence of a right of withdrawal, except in the cases referred to in Article 6 (3) (these are: perishable goods, newspaper, goods made to specification of consumer, services with a specific date such as hitel reservations, tickets, catering etc.)
(g) the cost of using the means of distance communication, where it is calculated other than at the basic rate;
(h) the period for which the offer or the price remains valid;
(i) where appropriate, the minimum duration of the contract in the case of contracts for the supply of products or services to be performed permanently or recurrently.

USEFUL LINKS

Text of the proposed Directive on consumer rights of 8 October 2008 that foresees harmonised, strong protection of consumers in particular in an on-line, cross-border shopping context.

DG Health and Consumer Protection's 10 principles of European consumer protection

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