E-shoppers get right to change their minds

A directive from Brussels that gives consumers the right to cancel orders made over the internet comes into force this week. But legal experts have questioned how effective the ruling will be.

John Leyden

A directive from Brussels that gives consumers the right to cancel orders made over the internet comes into force this week. But legal experts have questioned how effective the ruling will be.

Under the European Commission's Distance Selling Directive, shoppers buying goods or services online will be given an automatic right to cancel an order and claim a refund of any money paid - even after goods are dispatched. Unless agreed beforehand, consumers can also claim a refund for goods that are not dispatched within 30 days.

Advertisement

The directive applies to all contracts not conducted face-to-face. As such, this includes orders made by phone, fax or mail - not just those made over the internet.

However, there are exceptions, including business-to-business contracts, time-sensitive items such as airline tickets, and goods for everyday use such as food or drink. Financial service contracts, for example insurance, are also outside the scope of the directive.

Dai Davis, head of the IT group at law firm Nabarro Nathanson, said the regulation would give extra protection to consumers and establish a "cooling off" period for ecommerce similar to what already exists for credit finance, but he is sceptical about how effective the ruling may be.

"The directive protects people to a certain extent, but there is no requirement for US vendors to obey it," he said.

Davis added that consumers tend to buy from the cheapest website rather than the nearest, and that many may not want to wait seven days to receive goods.

"If people have to wait a week to get things sent to them within Europe it'd be quicker to get it air mailed from America," said Davis, who added that it is the location of the consumer that determines whether the legislation applies.

The UK government is required to implement the directive by 4 June, but this deadline will not be met because officials have entered into further consultation.

A spokesman for the Department of Trade and Industry said that rapid advances in technology had prompted the government to look again at the draft regulations it would enact to meet the directive's requirements. He said the government hopes to put regulations in place by July.

When the directive comes into force in European Union countries, suppliers involved in distance selling will be required to notify customers of their right to withdraw from a contract and provide shoppers with a suitable cancellation form.

  • Have your say
  • Send to a friend
  • Print
  • Digg
  • Reddit
  • Share

Tags:

Do you agree?

Further reading

Europe to harmonise cross-border banking

The European Commission has published a plan which aims to increase consumer confidence in buying from pan-European banks and insurers.

Online shoppers given greater protection

Revised laws to protect online shoppers finally came into force today, giving customers seven days to decide whether or not they want to keep goods bought over the internet.

Ecommerce: where there's a will, there's a way

Although three out of four adults in the UK now use the internet in some shape or form, very few actually take the plunge and buy goods online. Julian Patterson looks at why ecommerce is not taking off in Europe as quickly as might be expected.

Profits rule in the new internet economy

To compete in the second phase of the internet economy, businesses need to wake up to a new set of commercial realities, warns IDC. This is accentuated by the fact that there is no such thing as a single online Europe, which is divided in terms of internet adoption and a willingness to embrace ecommerce.

Related whitepapers

Related jobs

Most watched

Summit: Views From the Valley

V3.co.uk's US office weighs in on the information overload crisis

John Chambers speaks on collaboration

Cisco boss talks up new offerings

Analysis and Reports

Remote access - Three steps to getting connected

3.4 million UK professionals now work from home – is your company equipped?

Cost benefits of a global collaboration network

This white paper is a must read for organisations looking for evidence of the bottom-line benefits of high-definition video and voice communications

Poll

Impact of Information Overload poll

Impact of Information Overload poll

What is the biggest problem your firm faces as a result of the data explosion?

View poll results

Advertisement

White paper library

Keep up to date with the latest products, services and technologies from the world's leading IT companies; IThound.com brings you over 6,000 white papers, case studies and analyst reports.

Advertisement

Newsletter signup

Sign up for our range of FREE newsletters:

Existing User

Newsletter user login:

Enter email address to edit your newsletter preferences

Job of the week

Search thousands of IT jobs :

Search thousands of IT jobs:

Advanced search

Hiring now on ComputingCareers:

Related IT jobs

Search thousands of IT jobs :

Search thousands of IT jobs:

Advanced search

Advertisement

Spotlight

Information management

Summit: Quiz IBM experts on information strategies

Join our live chat session on Thursday at 11am to...

RIM discusses new developer tools

Blackberry exec on the latest offerings for programmers

Houses of parliament

Summit: Doubts raised over Tory plans for NHS records

Experts say data quality could be an issue

Researchers take down spam botnet

Researchers from security firm FireEye have been able to effectively...

Primary Navigation