Matt Shanahan welcomes protections, warns on enforcement

The View from the sunny South East Indeed, I would like to say to Deputy O.D. that I enjoyed some of his prescient remarks that he made there. Mr. Minister, you have outlined that this Consumer Rights Bill will transpose two directives, the Digital Content Directive and the Sale of Goods Directive, which relate to contracts for the sale of goods and contracts for the supply of digital content and digital services also. It also transposes elements of a third directive, the Omnibus Directive, that relates to better enforcement and modernisation of EU consumer protection rules. You have outlined your hopes that this would provide a more modern legislative framework that would create clearer rules for business and bring about substantial improvements for customers. Once an act of this legislation, you say we will strengthen the CCPC and Comrade's protections for consumers by also creating clearer rules for businesses, ensuring that the market works fairly and effectively for both consumers and traders. So I welcome, with many others, the additional consumer protections and remedies that you have outlined in this bill, particularly a price reduction on faulty goods and flawed services. I think this is long past time that consumers will be entitled to withhold payment for goods and services that have been partially paid for if they are not satisfied with the quality of the item or the service received. Importantly, this bill stipulates that any form of redress must be free of charge and must be carried out as soon as possible. That brings up the whole issue of enforcement in terms of that protection. You say new protections for consumers in relation to digital content. As we all know, the internet is fast becoming as already the global marketplace, but it is becoming a marketplace for consumers of all ages and many are easily exploited by unscrupulous sellers. In areas like audio and video files, computer games and digital streaming services, social media, they are all open to unfair and substandard sales services. And I suppose I would have a question as to the degree to which this legislation that you propose is going to be able to target international media providers and possibly their Irish subsidiaries. And I think that will remain to be seen as this bill is rolled out and the legislation enacted. You have under the new digital rights the right to include a full refund exchange or repair when a good or a service is not described as not fit for purpose. I would say that happens quite a lot with internet purchases, unfortunately. Consumers will be entitled to any required upgrades to the product or service to ensure the goods continue to work as expected and agreed free of charge. So again, Minister, I just wonder is this legislation pertaining solely to Irish purveyors on the internet? And if it is not, how do you intend to enforce this legislation on foreign companies? I welcome the blacklist of contract terms and conditions that are automatically deemed to be unfair and which I agree with you should not be included in any consumer contract. Clearly outlining what is legally binding on a buyer and seller is, I suppose, a transparent right, but often not there. The idea that you cannot change the terms of the contract exclusively, one or other party, and I suppose in this instance it is often thought it would be the person merchandising would be the one that potentially might do that. The proper representation of product, which is difficult, and the full transparency refining taxes and charges. And again, I would point out to you that where people are buying online, they often find, even through on post, after they make a purchase, that subsequent taxes and charges become notified to them, they weren't notified to them when they made the internet purchase. You outline also that the bill gives extra enforcement powers to the CCPC and the Competition and Consumer Protection Commission, which is a body responsible for enforcing consumer law in Ireland. And you have outlined that these new powers will mean that where traders engage in misleading and aggressive commercial practices, such as posting fake news, or where they do not provide the remedies or reimbursements the consumers are entitled to, that the CCPC can take such action and compliance measures as going to the circuit court or the High Court, requiring declarations or injunctions. And again, brings us back to the question of actually who you are trying to bring to court here. So I just wonder, Minister, how is all of this activity to be audited? And I think it has been said here already, what is the methodology to trigger it? And what kind of resources are you going to give to the CCPC? We had them in the Enterprise Committee some weeks ago. And one of the main issues that arose at that committee was that that body is already significantly weighed down in work, Minister. And with the best will in the world, I am not sure they are going to be able to take this on without significant additional resources. You have outlined also extra enforcement powers to Comrade in relation to electronic communication services and premium rate services, and to the central bank with regards to financial resources. And again, I am just wondering, you know, what auditing you have done in terms of the central bank? I know you have said you have had wide engagement, a very robust and productive engagement. But again, Minister, I am not sure you have outlined exactly what the situation is with that and possibly you will do that yet. Just in relation to the comrades, I might outline something that happened to me relatively recently. I got a bill for €900 on a mobile phone that was in the name of my daughter, and that was with one of our main providers here in Ireland. Obviously, she had not calculated or she had not known that she was putting up that type of fee arrangements. I got in touch with the company concerned and I was told that she had clicked on a competition, unwittingly, she clicked on a competition which basically ran a competition for a month and ergo it cost €900. So, I basically, I did not go to Comrade, but I took it up with the company concerned. I can tell you it was very difficult, Minister, and I would not like to, let us say, I suppose, to be an average Joe trying to do it. Eventually, I had to settle for half and I paid €450. They left me in no doubt that legally I had not a leg to stand on. Now, I just wonder again, Minister, where the law is going to sit within this. The other thing I will ask you about, which is becoming a feature now in business is part exchange. We would have been aware of it in the country for a long time in terms of the motor trade. It is also happening in terms of gaming and computer games and even bringing in computer peripherals and exchanging them against something that you are buying. I suppose in certain cases it is buyer beware as much as we might like to think it is not and we might like to think that this consumer legislation is going to cover that. But one of the interesting transactions that happens, Minister, in the motor trade is when you trade in your car. There are actually two exchanges going on. You do not trade in the car, you actually in law sell it to the dealership. And you give an undertaking to the dealer as to the quality and to what you understand, particularly the condition, the fact that it was not crashed and that the mileage is, as best you know, is accurate on the car, Minister. And this has led to a lot of people getting caught out because sometimes when people are in the motor trade they get caught out and sometimes unwittingly they sell a car on, which turns out to have a significant history. And again, I just wonder, you know, where this, under the sale of goods, under this new bill that you are proposing, Minister, is there anything there to tighten up on some of that? Because sometimes those that are selling merchandise need to be protected in that situation also. So, look, Minister, overall I welcome the bill. As I say, we had it in the Enterprise Committee. I think people have already said your office and your department has done a great deal of work here and hopefully it will tighten up a lot and it will give better protections. As I said, I have concerns in terms of internet sales, how you are going to manage to police those when they are resident outside of the estate. But maybe there is no simple answer and the answer is let us just shop at home where people have consumer rights and where they can have them enforced in the courts or enforced legally to other areas. So, anyway, Minister, look, as we say, the best of luck. We look forward to your amendments when you press them. Thanks. Thank you.