Chapter 9: Protecting the Consumer

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Chapter 9 Protecting the Consumer

• Consumer Laws

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Reasons for Consumer Protection

• Unsafe or Low Quality Goods
• Overcharging and incorrect weights
• Misleading Advertisements
• Slick sales method

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Consumer Laws

• Sale of Goods and Supply of Services Act 1980
• Consumer Information Act 1978

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Sale of Goods and Supply of Services Act 1980

1. Merchantable Quality
2. Fit for their purpose
3. As described
4. Correspond to sample
5. Suppliers of services must be qualified

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• It is the seller's responsibility to put things
  right if there are problems.

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Consumer Information Act 1978

• Protects consumers against false or misleading
  claims about goods or services

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Consumer Information Act 1978

• Forbids suppliers giving any misleading info
  about
• Goods
• Services
• Price
• Quality

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Consumer Information Act 1978

• Goods on sale must have been on sale at the
  higher price for at 28 days in the previous 3
  months.
• Forbidden to publish any ad that is likely to
  cause loss, damage or injury to the public

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Food Labels

• Clear, legible and understood
• Show name of food
• Show actual selling price
• Show use by, sell by and best before date.

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Bar Codes

• Series of lines on goods that allow computers to
  identify products
• Scanned at check outs
• Less mistakes
• Records stock

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Symbols

• Symbols of quality
• It tells the buyer that the good is of good
  quality

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Unit Pricing

• Unit pricing shows the price per kilo/litre
• It enables a consumer to decide what is the best
  value.
• Food labels must show the price per kilo/litre
  rather than overall price.
• Consumers can compare prices the best prices per
  kilo/litre rather than total price by using the
  formula
• Price
• ______
• Quantity

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Consumer Protection Agencies

1. Enterprise Ireland
2. Trade Associations
3. Office of the Director of Consumer Affairs
4. Small Claims Court
5. Consumer Association of Ireland
6. Office of the Ombudsman
7. Ombudsman for Credit Institutions
8. Insurance Ombudsman of Ireland

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1. Enterprise Ireland

• State Organisation that sets new standards for
  safety and quality of new goods services and
  issues reports
• Operates the National Standards Authority of
  Ireland NSAI

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2. Trade Associations

• Suppliers of goods and services are members of
  organisations which lay down standards of conduct
  for their members
• These associations try to settle disputes between
  members and customers
• E.g. Irish travel agents association ITAA

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3. Office of the Director of Consumer Affairs

• Enforces the Consumer information act 1978
• Publishes booklets advising consumers of their
  rights

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4. Small Claims Court

• Deals with consumer claims up to 2,000
• Handles claims speedily no solicitors needed
• Fee of 15
• Need to settle dispute with seller before going
  to the small claims court

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5. Consumer Association of Ireland

• Voluntary Body
• Advises consumers about goods and services and
  laws affecting them
• Consumer Choice magazine

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6. Office of the Ombudsman

• Investigates complaints by members of the public
  against state organisations
• E.g. government departments

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7. Ombudsman for Credit Institutions

• Deals with complaints against banks and building
  societies.
• Try to deal with the dispute with the bank before
  you call upon the ombudsman

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8. Insurance Ombudsman of Ireland

• Deals with complaints against insurance companies
  about overcharging and compensation payments

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The MEDIA

• Joe Duffy Show
• Highlights complaints
• Embarrasses people into solving the problem