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The law for consumers

Consumer remedies for faulty goods

Every year millions of consumers return faulty goods to the shop or supplier, but the law is complex. There are two legal regimes: Under traditional UK law, consumers are entitled to reject the goods and receive a full refund ('the right to reject'), provided they act within 'a reasonable time'. This has been supplemented by the European 1999 Consumer Sales Directive, which states that consumers are entitled to a repair or replacement. If the retailer is unable to repair or replace the goods in a reasonable time or without significant inconvenience, the consumer may then ask for a refund ('rescission') or a reduction in price. There has been little attempt to integrate these two regimes. Consumers may use either, leading to confusion and complexity. The European Commission's proposal for a new directive on consumer rights would reform the law in this area and remove the right to reject. The Commissions recommend that the right to reject should be kept as a short-term remedy of first instance. It is a simple remedy which inspirers consumer confidence. Consumers should normally exercise the right to reject within 30 days, and should be entitled to ask for a refund or price reduction after one failed repair or one failed replacement; or where the goods have proved dangerous. Other recommendations cover: right to reject for minor defects; rescission and the 'deduction for use'; proposed two-year cut-off; and, better integration of the two regimes.

The law and economics of enforcing European consumer law : a comparative analysis of package travel and misleading advertising

In the internet age, the need for effective consumer law enforcement has arguably never been greater. This timely book is a comparative law and economic analysis of the changing landscape of EU consumer law enforcement policy. EU member states are moving away from purely public or private law enforcement and now appear to be moving towards a more mixed approach, not least due to European legislation. This book reflects on the need for and creation of efficient enforcement designs. It examines the various economic factors according to which the efficiency of different enforcement mechanisms can be assessed. Hypothetical case scenarios within package travel and misleading advertising, dealing with substantial individual harm and trifling and widespread harm are used to illustrate various consumer law problems. Design suggestions on how to optimally mix enforcement mechanisms for these case scenarios are developed. The findings are then used as a benchmark to assess real life situations in countries with different enforcement traditions - the Netherlands, Sweden and England. The book is of value to both researchers and policy-makers working in the area of consumer protection.