An extensive amendment to the Consumer Protection law introduced considerable changes for e-shops and brick-and-mortar retailers from the beginning of 2023. As of 6 January, websites, and legal documents, especially terms and conditions and complaints procedures, must be adapted to the new rules. Which are the most significant changes?
Discount promotions
The lowest price at which the product was sold in the last 30 days before the discount was granted must be indicated for the discounted item. The percentage discount is then calculated on the lowest price. However, there are exceptions to this obligation. The new rules do not apply to non-perishable food or goods with a short shelf life, or to “2+1 free” promotions or loyalty programmes. For loyalty programmes, these are mainly discounts that result from the consumer's previous purchases from the retailer, for example, when the consumer receives a '20% off' voucher valid for a further purchase until the end of the month or receives a discount on special occasions, i.e. when signing up for a loyalty programme or on the occasion of a birthday. Simple as this new rule may look, we are faced with a number of practical problems, which will only be definitively resolved in the practice of the Czech Trade Inspection Authority or by court case law.
Complaints
Traders are liable for defects that were already present when the consumer bought the goods. The new rule is that a defect that becomes apparent during the first year must have already existed at the time of acceptance of the goods (unless the trader can prove otherwise). Previously, this period was only six months.
Withdrawal from the contract
The consumer has the right to withdraw from the contract within 90 days of its conclusion if the trader has used so-called unfair commercial practices (e.g., violated the rules for discount promotions). Depending on how serious the unfair commercial practice is, the consumer may alternatively request a reasonable discount instead of withdrawing from the contract.
Delivery of goods
Unless contractually agreed otherwise, the trader is obliged to deliver the goods to the consumer within 30 days of the conclusion of the contract. A simple modification prolonging the delivery times in the terms and conditions is, however, insufficient. The amendment requires the entrepreneur to directly agree with the consumer on a prolonged delivery period - a sensible option might be, for instance, a specific tick box for orders.
The “Order” button
The order button must clearly state that by clicking on it the consumer is committing to the order. It is therefore no longer sufficient to have just a general "order" button, but it is now necessary to include such wording as "payment binding order”.
Customer reviews
According to the amendment, the trader is obliged to inform whether and how it verifies that the customer has actually purchased or used the product or service. If a trader verifies reviews, it must also take reasonable steps to verify that the review comes from a customer who has used or purchased the product or service (for example, sending a link in an email to customers to submit a review within a few days of purchase). It is fine if the trader does not verify the reviews; however, it is then necessary to publicly state that the reviews are not verified.
Instructions for use
The consumer should now receive the instructions on a durable medium – which can, in addition to paper, be a CD, DVD, memory card, computer hard drive, or e-mail. The trader can choose which durable medium to use, for example, to avoid printing paper manuals. Consumers are, however, entitled to request the instructions in a physical, paper form.
Return of tested goods
If the consumer uses the goods within the 14-day period in a common manner and then decides to return them, the trader is not obliged to refund the full price. The consumer is liable for any diminished value of the goods due to a higher degree of use than is necessary to become familiar with their characteristics and check whether they are functional.
Contracts by phone
The amendment tightens the terms and conditions for concluding contracts over the phone. Such a contract will now only be considered concluded once the consumer receives it in text form and subsequently confirms the offer to the trader electronically or signs it in writing.
Our consumer law team will be happy to assist you with the interpretation of these and other new legal provisions, as well as with the modification of legal documents or the correct setting of information obligations related to the amendment.
