A contract of sale can be made verbally or in writing. Both types of contracts are legally binding on the parties involved in the sales agreement. However, in case of a dispute, written contracts are more beneficial to both consumers and traders as these provide tangible proof. Hence, a verbal agreement should ideally be backed up with a written agreement.

Since consumers are the ones forking out the money to purchase the goods and services they need, it is in their best interest to have proof of everything agreed with the seller. In situations where the written contract is provided to consumers after the verbal agreement has already been made, consumers should carefully read the written contract to ensure that it is in line with the verbal agreement. In case it is not, consumers should immediately contact the trader, remind them of the verbal agreement and request a corrected written confirmation. If this is not done, then consumers become legally bound by the written contract which cannot be cancelled unless an important term or condition of the contract has been breached by one of the parties.

Consumers are responsible for ensuring that the written sales agreement includes a detailed description of the goods or services ordered or agreed on, the time of delivery or date when the service will start, the price agreed and the method of payment.

Consumers should always bear in mind that once a sale is confirmed they cannot simply change their mind. Hence, before consumers decide to conclude a sale they should have a look at what happens if they need to withdraw from the agreement. They may, for instance, lose any deposits or payments made. In case of long-term contracts, consumers should also pay particular attention to the termination procedure.

While consumers should read a contract before signing it, it is legally considered unfair if consumers are irrevocably bound to contract terms which they had no real opportunity to read and understand before the contract was concluded. In fact, terms and conditions in consumer contracts become unenforceable if they are deemed unfair.

Consumer law also stipulates that consumer contracts should be written in plain and intelligible language that can be easily understood by the average consumer.

Should there be a dispute over a sales contract concluded with a seller, consumers may seek the assistance of the Office for Consumer Affairs within the MCCAA. When registering such complaints, consumers are advised to also submit a copy of the breached contract together with any other evidence which proves that the trader has not honoured his obligations according to the sales contract.

odette.vella@mccaa.org.mt

Odette Vella is director, Information, Education and Research Directorate, Office for Consumer Affairs, Malta Competition and Consumer Affairs Authority.