Consumer Protection Acts

Página 1

Consumer Protection

Consumers are protected from the actions of the business by a number of laws passed by the government. Theses laws ensure consumers don't get ripped off or treated unfairly.

Consumer Protection Laws are:

Sales of Goods Act 1979- Goods and services must be of merchantable quality and should be fit for purpose and do as described.

Trade Description Act- Relates to how businesses deal with and sell to customers. Prohibits false or misleading description of goods and services.

Consumer Protection Act 1987- Aim to stop business from selling dangerous and unsafe products to consumers.

Weight and Measures Act- Weight and measurements of goods must be accurate and suitably labelled on packaging.

Data protection Act- Information should be kept securely and cannot be shared or sold.

Food Safety Act- Only food that is safe for human consumption can be sold. It is also labeling and hygiene regulations.

Consumer Credit Act- Anyone offering credit to the customers must have a licence and state the annual percentage they charge.

Drawback of consumer laws

- Businesses must know the law and keep the law up to date.

- Laws restrict business operating as they would want.

- Businesses have to comply with the law by changing their products and practices and this can be costly.

- Bad publicity of laws not followed.

Benefits of consumer laws

- A business that follows the law is less likely to receive fines from the government or be sued by their customers.

- Meeting business laws can improve the businesses image.

- Improved relationship with stakeholders.

- Good publicity is followed.