Executive Summary
The Act commenced on 7 November 2022 to modernise and consolidate Irish consumer protection law and align with EU law. The Act enhances consumer rights, increases obligations on traders and provides specific provisions for faulty goods, digital content and service, and unfair contractual terms.
The Guidance
Michael McGrath, European Commissioner for Democracy, Justice, the Rule of Law and Consumer Protection, on a visit to the CCPC, launched two sets of guides for traders in respect of consumer remedies:
- Consumer Remedies in Sale of Goods Contracts; and
- Consumer Remedies in Service Contracts.
(together the “Guidance”)
In the Guidance the CCPC provide their interpretation of key concepts in the Act such as what does “in conformity with a contract” mean, the timeliness in delivery of goods or services, and definitions of terms such as “ancillary contract” and “consumer”.
The Guidance goes into detail on remedies available to consumers when a good or service is not supplied in “conformity”. It goes on to provide examples of such circumstances, such as a car dealership providing a faulty vehicle. The guidance then explains the obligations of traders in such circumstances under the Act.
Enforcement Powers
We recall the Act provides the CCPC with enhanced enforcement powers to ensure consumer rights are upheld. The Act provides for new and reinforced powers of enforcement for failure by natural persons or bodies corporate to comply with its provisions including increased fines of up to 4% of turnover in the relevant Member State or Member States, or up to €2 million.
The new Guidance is an important reminder for consumer-facing businesses to ensure their sale practices comply with these strong consumer protection obligations or face significant penalties.
Further information on this topic can be found here.
Footnotes
CCPC, a Guide for Traders: Consumer Remedies in Sale of Goods Contracts
CCPC, a Guide for Traders: Consumer Remedies in Service Contracts