Most UK web sites selling consumer goods appear to be breaching the
Distance Selling Regulations introduced in October last year,
according to the Office of Fair Trading which yesterday launched a
consumer and business awareness campaign.
The Regulations require that consumers must be given clear and
full information for goods or services bought from home, including
information on their cancellation rights. The OFT and trading
standards departments reviewed 637 UK web sites and found that 52%
of them failed to give easily accessible information on refund or
exchange policies.
The OFT is now working with trading standards authorities to
follow up with these companies to ensure that their sites are
amended to comply with the law.
The findings of the internet sweep coincide with the OFT's
launch of an awareness campaign on the Distance Selling
Regulations.
Under the Distance Selling Regulations consumers are entitled
to:
- Clear information before placing orders;
- Written information (by letter, fax or e-mail) about
purchases;
- A cooling off period, during which an order can be cancelled
for any reason and a full refund received;
- Full refunds if goods/services are not provided by an agreed
date or if no date was agreed then within 30 days of placing an
order; and
- Further protection against credit card fraud.
John Vickers, Director General of Fair Trading, said:
"The results of the internet sweep conducted
by the OFT and the trading standard service are of concern.
Consumers are now entitled to clear information when they buy from
home, whether over the internet, telephone, digital tv or by mail
order. Failure to tell consumers about their right to cancel and to
a full refund is a breach of the new Distance Selling Regulations
and something which must be put right. It is in the interests of
consumers and good businesses to make ways of buying from home as
robust as possible."
The internet sweep saw the OFT and 28 trading standards
authorities join forces with consumer organisations from five
continents. Web sites selling books, music, toys, software, clothes
and electronic goods to consumers were viewed to see what
information was given before purchase.
Most of the 637 UK sites examined did provide basic business
contact details. These included a postal address, e-mail address
and telephone number and an itemisation of costs. But they fell
short in providing any easily accessible information on both refund
and exchange policies, and how they would handle customers'
personal details.
For further information, see our article, The Distance Selling
Regulations – A Practical Overview.