Resolving consumer conflict ch2

• Non-legislative methods of solving consumer conflicts

  The consumer and the shop try to solve the conflict themselves or with the help of others, but without reference to the laws of Ireland or to any legal agency
• Non-legislative Method 1: Negotiation


  1. Consumer goes back to shop

  2. Consumer explains problem and what they want

  3. Shop sets out its position

  4. Consumer and shop continue talking until they reach a compromise
• Consumers' Association of Ireland (CAI)

  Non-profit/non-governmental organisation that aims to ensure consumers get good quality products and services, good value, and know their rights
• CAI


  • Gives consumers expert advice on their rights and who to contact in case of conflict
  • Publishes a magazine called Consumer Choice with articles about consumers' rights and buying decisions
  • Lobbies the government about consumer issues such as consumer laws and availability of consumer advice services
• Legislative methods of solving consumer conflicts

  Trying to solve the conflict by referring to the laws of Ireland or by using a legal organisation
• Sale of Goods and Supply of Services Act, 1980


  Law that gives consumers rights regarding goods and services
• Consumer rights for goods under the Act

  • Goods must be of merchantable quality
  • Goods must be fit for their purpose
  • Goods must be as described
  • Goods must be identical to any sample shown
• Remedies for goods not meeting the Act's requirements

  • Full refund if major fault and complained about quickly
  • Replacement product
  • Repair if used for some time or delayed complaint
• Consumer rights for services under the Act

  • Service provider must be fully qualified
  • Service must be provided with proper care and attention
  • Materials used must be of good quality
  • Any goods sold as part of the service must be of merchantable quality
• Remedies for services not meeting the Act's requirements

  • Full refund if major fault and complained about quickly
  • Replacement service
  • Repair if obtained some time ago or delayed complaint
• Retailer responsibility


  Retailer is always legally responsible for solving the consumer's complaint, cannot tell the consumer to contact the manufacturer
• It is an offence for a retailer to put up any sign that gives consumers the impression that they have no legal rights
• Guarantees


  • Formal assurance from manufacturer or retailer that a product will be repaired or replaced if not of a specified quality
  • Cannot remove consumer's legal right to a refund, can only give extra protection
• Unsolicited goods


  If a business sends a consumer goods they did not order, the consumer does not have to pay for them and can keep them after 30 days or 6 months
• Consumer Protection Act, 2007


  Law that deals with unfair business to consumer commercial practices
• Types of unfair commercial practices banned by the Act

  • Misleading practices
  • Aggressive practices
  • Prohibited practices
• Misleading practices


  Commercial practice that contains false information or misleads/deceives the average consumer and causes them to buy something they wouldn't have otherwise
• Examples of misleading practices


  • False or misleading claims about the product/service
  • False or misleading claims about price
  • Misleading advertising
• The Advertising Standards Authority for Ireland (ASAI) is an independent self-regulatory body set up and financed by the advertising industry to ensure commercial marketing communications are legal, decent, honest and truthful
• Misleading advertising


  Misleading information offered by a salesperson and leaving out important information that a consumer would need to make an informed purchasing decision
• The judge ruled that the ads included false information that was likely to mislead and deceive the average consumer, as the comparisons were not like-for-like
• Advertising Standards Authority for Ireland (ASAI)

  An independent self-regulatory body set up and financed by the advertising industry and committed, in the public interest, to ensure that all commercial marketing communications are "legal, decent, honest and truthful"
• Aggressive commercial practice


  A business practice that harasses or coerces the consumer or puts him under unfair pressure so that he cannot make a decision of his own free will and he is pressurised into buying something that he otherwise would not
• Aggressive practices


  • Staff in a funeral home putting pressure on a person whose relative has just died to buy a more expensive coffin
  • A builder calling to the door of an elderly person, telling her that her gutters are in a dangerous condition and need replacing immediately, refusing to leave when she says she cannot afford it, and starting work without her permission
• Prohibited practices


  • Making unsupported or untrue claims that the product can cure illnesses
  • Advertising that the business is holding a "closing down sale' or 'moving to new premises sale" when the trader has no intention of closing down or moving premises
  • Telling consumers they have won a "free gift" when in fact it will cost them to claim the gift
  • Running a competition offering a top prize that is not actually available at all
  • Demanding payment for unsolicited goods
• Compliance Notice

  A written notice directing the business to remedy the relevant contravention of consumer protection legislation
• Consumer Protection List

  A list published by the CCPC of businesses that break the law, for all consumers to see
• Compensation Order


  A court order that forces a business to pay financial compensation to a consumer for any loss or damages suffered as a result of the business breaking the law
• The Consumer Protection Act, 2007 helps protect consumers by ensuring they get fair and honest information about what they are buying and the price they will have to pay
• Competition and Consumer Protection Commission (CCPC)


  The statutory body responsible for enforcing consumer protection and competition law in Ireland
• Functions of the CCPC

  • Informing consumers of their rights
  • Encouraging compliance with consumer law
  • Enforcing consumer law
  • Advising government and influencing policy
• Small Claims Court


  A court where consumers can sue retailers for up to €2,000 over faulty goods or services without involving a solicitor
• Ombudsman for Public Services

  An independent body that investigates complaints against most organisations that deliver public services in Ireland
• The Ombudsman's findings are not legally binding, but if the public body disobeys her recommendation, she will include this in her annual report to Dáil Éireann