Misleading, aggressive practices

A year ago, the Unfair Commercial Practices Regulations came into force with the main aim of banning, once and for all, unfair and abusive trading practices across the European market. This common set of rules and principles reassures consumers and traders of their rights and make it clear which commercial practices are allowed and which aren't.

These regulations apply to any business or consumer transaction, irrespective of the product or service, or the circumstance of the transaction, being it face to face, via telephone, internet, or mail.

Besides reinforcing existing EU standards on misleading advertising, these regulations set new EU standards against aggressive sales practices. According to these regulations, a commercial practice is aggressive when it significantly impairs through harassment or coercion, including physical force, the consumer's freedom of choice. This includes making the consumer take an unwanted decision, or obliging him/her to purchase goods or services that they don't really need.

Besides prohibiting aggressive practices in general, these regulations also point out others on its black list. For example, it is considered aggressive if the trader creates the impression that a consumer cannot leave the premises until a contract is drawn up and signed; or conducting personal visits to a consumer's home and ignoring requests to leave; or explicitly claiming to the consumer that if he/she does not buy, the salesperson's job is in jeopardy; and also taking a consumer to a remote destination with no apparent return transport unless the consumer signs the contract.

Regarding misleading practices, any practice that either contains false information or is likely to deceive the average consumer, even if the information presented is correct, is prohibited. Misleading omissions are also banned because consumers need information to make informed choices.

Any information provided to the consumer needs to be clear, intelligible and unambiguous. Misleading commercial practices on the black list include claiming that something is free when it is not; falsely saying "only available today" when this is untrue; falsely claiming that a product is able to cure illnesses/disabilities; giving the wrong impression that after-sales service is available in another EU member state; and also falsely creating the impression that the trader is not acting in the course of his/her trade but on behalf of a consumer.

These regulations only protect the economic interest of consumers. Other interests, such as health, safety, taste and decency, are outside the scope of these regulations. In other words, practices which do not directly harm the economic interest of consumers are not regulated.

Ms Vella is senior information officer, Consumer and Competition Division.

customer@timesofmalta.com, odette.vella@gov.mt