23. 10. 2024
New Consumer Protection Act Update Your Terms and Conditions
The new Consumer Protection Act enhances consumer protection significantly. E.g. the withdrawal period is extended from 14 to 30 days for agreements concluded during unsolicited visits to consumers' homes or at sales events. The law also strengthens protection against artificial price increases prior to discounted sales events, such as Black Friday. It also enhances online protection against non-transparent purchasing practices, fraudulent reviews, and deceptive marketing.
The new law also brings several benefits for companies. It removes certain administrative obligations that previously burdened sellers without adding real value to consumer protection. It is no longer required to post a notice of planned temporary business closures at least 24 hours in advance. The new Consumer Protection Act also introduces a "second chance" mechanism. This allows sellers to avoid or reduce penalties if they voluntarily cease legal violations and take corrective measures to benefit affected consumers. It also establishes new principles for imposing fines, setting them as a percentage of the seller's turnover to avoid excessively harsh penalties.
The Consumer Protection Act clarifies, modernizes, and aligns current consumer legislation with EU regulations. It introduces significant changes in the legal regulation of liability for defects (complaints), altering rights of consumers as well as their exercise. Sellers are now required to inform consumers about such aspects as compatibility and interoperability of digital goods. Last but not least, there are changes to the terminology used in consumer law. E-shop operating sellers, in particular, should be mindful of these changes and make sure to update their terms and conditions, as well as other documentation.
By Mgr. David Benčat & JUDr. Valter Pieger
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G&P Newsletter 2/2024 (PDF)
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