Marketing Control Act - Section 6, 8 and 9

Definition

Unfair commercial practices, including misleading and aggressive tactics, are prohibited, targeting vulnerable groups and emphasizing disclosure of material information for informed consumer decisions.

Excerpt

Section 6 - Unfair commercial practices shall be prohibited.
A commercial practice shall be unfair if it conflicts with good business practice towards consumers and is likely materially to distort the economic behaviour of consumers, causing them to make decisions they would not otherwise have made.
If a commercial practice is directed at a particular group of consumers, or if only a clearly identifiable group of consumers is particularly vulnerable due to mental or physical infirmity, age or credulity, and the trader should have understood this, the unfairness of the practice shall be assessed from the perspective of the consumer group in question. The protection of vulnerable groups shall not affect the common and legitimate practice of making exaggerated statements which are not meant to be taken literally.
A commercial practice shall always be unfair if it is misleading pursuant to section 7 or section 8, or aggressive pursuant to section 9.
The Ministry shall by regulation lay down the forms of commercial practice that are to be considered unfair in all circumstances.

Section 8 - A commercial practice shall be considered misleading if, in its specific context and pursuant to an overall evaluation, it omits or hides material information that consumers require in the context to be able to make an informed economic decision, or if it presents the information in an unclear, unintelligible, ambiguous or unsuitable manner. In the assessment of whether information has been omitted, account shall be taken of limitations of space or time on the medium used to communicate the commercial practice, and of any measures implemented by the trader to make the information available to consumers by other means.
The practice shall nevertheless only be regarded as misleading if it is likely to cause consumers to make an economic decision that they would not otherwise have made.
In the case of an invitation to purchase, the following information shall be regarded as material, if not already apparent from the context:
(a)      information about the main characteristics of the product, to an extent appropriate to the medium and the product,
(b)      information about the geographical address and identity of the trader and, if applicable, the geographical address and identity of the trader on whose behalf the person is acting,
(c)      information about the arrangements for payment, delivery, performance and complaint-handling, if these depart from the requirements of good business practice towards consumers,
(e)      for products and transactions involving a right of withdrawal or right of cancellation, information about the existence of such a right.
The same shall apply to information about the price inclusive of taxes or, if the nature of the product means that the price cannot reasonably be calculated in advance, about how the price is calculated. Where appropriate, all additional freight, delivery or postal charges shall be disclosed. If the charges cannot reasonably be calculated in advance, the fact that such additional charges may be payable shall be disclosed.
“Invitation to purchase” shall mean a commercial communication which indicates the characteristics and price of the product in a way appropriate to the means of the commercial communication used and thereby enables consumers to make a purchase.

Section 9 - A commercial practice shall be considered aggressive if it, in its specific context and pursuant to an overall evaluation, by harassment, coercion, including the use of physical force, or undue influence, is likely significantly to impair the freedom of choice or conduct of consumers with regard to a product. “Undue influence” shall mean exploiting a position of power in relation to consumers so as to apply pressure, even without using or threatening to use physical force, in a way which significantly reduces the ability of consumers to make an informed decision.
In determining whether a commercial practice is aggressive, account shall be taken of:
(a)      timing, location, nature and duration,
(b)      use of threatening or improper language or behaviour,
(c)      the exploitation by the trader of a specific misfortune or circumstance that is so serious that it may impair the consumer’s judgement, of which the trader is aware, to influence the consumer’s decision with regard to the product,
(d)      onerous or disproportionate non-contractual barriers imposed by the trader where consumers wish to exercise rights under the contract, including rights to terminate a contract or to switch to another product or another trader,
(e)      any threat of unlawful acts.
The practice shall nevertheless only be regarded as aggressive if is likely to cause consumers to make an economic decision that they would not otherwise have made.

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