FAQs related to Competition and Consumer Affairs.
The information provided in the answers should serve only as guidance and does not have any legal force.
WHAT IS THE MCCAA?
WHAT DOES THIS AUTHORITY CONSIST OF?
HOW IT CAN BE OF ASSISTANCE TO TRADE PERSONS?
The MCCAA is an Authority established by Law.
The functions the Authority are the following:
(a) to promote and enhance competition;
(b) to safeguard consumers’ interests and enhance their welfare;
(c) to promote voluntary standards and provide standardization related services;
(d) to promote the national metrology strategy;
(e) to promote the smooth transposition and adoption of technical regulations; and
(f) to perform such other function that may be assigned to it under this or any other law or regulations.
WHAT OBLIGATIONS EXISTS ON THE TRADER WHO SELLS GOODS TO CUSTOMERS, ESPECIALLY ON PRICE INDICATION?
Traders who sell goods to consumers on a retail basis have the following obligations:
- Display, in clear way, by means of proper marking, the price of the goods for sale;
- Exhibit plainly in their place of business a sample of every kind, size, type or brand of goods stocked with a label showing the price
- Clearly and boldly print the figure indicating the price on the said label or mark
- Indicate clearly any charges for postage, package or delivery of goods
- Show price, or price per unit in euro currency
- If there is more than one item of the same kind, size, type or brand, it will be sufficient to show the price on just one of these items
- Goods displayed in shop windows must also display the final selling price.
For price indication legislation refer to: https://mccaa.org.mt/media/2715/37809__consumer_affairs_act_-price_indication-_regulations.pdf
DO MCCAA OFFICIALS HAVE THE LEGITIMATE RIGHT TO ENTER MY BUSINESS PREMISES WITHOUT PRE-NOTICE, TO INSPECT WHETHER I AM LEGALLY COMPLIANT ESPECIALLY WHEN IT COMES TO PRICE INDICATION?
Yes.
IS IT ONLY IN SHOPS THAT OFFICIALS CAN CARRY OUT INSPECTIONS, OR THEY CAN DO IT IN ALL SORT OF BUSINESS ACTIVITY?
MCCAA can carry out inspections in all sort of retail outlets.
ONLINE BUSINESS TRADERS MUST BE AWARE THAT A 14 DAYS COOLING-OFF-PERIOD RULE EXISTS. HOW AND WHEN THIS SHOULD BE APPLIED?
For any distance contract the consumer shall have a period of at least 14 days in which to withdraw from the contract without penalty and without giving any reason.
When purchasing goods online, the consumer can decide to return the goods or withdraw from the service without giving reasons and without incurring any costs.
The period of the right of cancellation begins from the day of receipt of the goods or from the day of conclusion of the contract in case of services. This right of cancellation is extended to twelve months where the supplier has failed to meet his obligations as regards information.
Where the consumer has exercised the right of withdrawal, the supplier is obliged to reimburse the sums paid by the consumer free of charge. The only charge that may be made to the consumer because of the exercise of his right of withdrawal is the direct cost of returning the goods, such as shipping costs.
The reimbursement must be made to the consumer by the supplier as soon as possible and in any case not later than 14 days after the return of the goods or cancellation of the contract.
SHOP OWNERS AND FACTORIES ARE ALSO BOUND TO COMPLY WITH THIS 14-DAY-COOLING-OFF-PERIOD?
No, all sort of premises-based retail activities are not bound to comply with this regulation. Only distance sellers, and off-premises sellers,( e.g. door to door selling ), are bound to comply with the 14-day cooling off period.
WHAT ARE THE RULES WHICH REGULATES SALES? HOW AND WHEN A SALE CAN BE ORGANISED? FOR HOW LONG A SALE MUST LAST? CAN A SHOP OWNER/TRADER ORGANISE A SAKE ON PART OF HIS STOCK ONLY?
IF YES HOW HE/SHE SHOULD DO IT TO BE COMPLIANT WITH EXISTING CONSUMER RULES AND REGULATIONS?
There are no consumer rights legislations that regulate Sales.
A trader can organise a sale period whenever he/she decides that it is convenient and advantageous for him/her.
There are no restrictions regarding the duration of a sale period.
Yes a trader can organise a sale on part of his displayed stock, but he/she has to clearly identify and inform the consumers which products will be on sale.
During Sales consumers’ rights can neither be reduced nor diminished. Even though the selling price is reduced by the seller, consumers may still claim a remedy if the product purchased either results defective or it does not conform to the contract of sale. Moreover, any information that is advertised during a Sale has to be correct and does not include any misleading information.
HOW SHALL A TRADER ACT WHEN CONSUMERS BRING TO HIS/HER ATTENTION THAT PURCHASED GOODS RESULTS TO BE DAMAGED? ARE THERE ANY RULES WHICH GUIDES THE TRADER ABOUT THESE SITUATIONS?
The two-year legal guarantee states that if the product purchased does not conform with the contract of sale, the trader must offer the consumer a free of charge repair of replacement of the product; or a refund of part of the price or revocation of the contract.
Traders may first opt for repair if replacing the goods will cause then unreasonable costs. However the remedy opted for should not cause a significant inconvenience to consumers. If it does, consumers may refuse repair and ask for replacement. A refund may be claimed when repair or replacement are either not possible or if opted for will cause a significant inconvenience to consumers.
For further information refer to:
https://mccaa.org.mt/Section/Content?contentId=3196
WHAT IS THE DIFFERENCE BETWEEN A LEGAL GUARANTEE AND A COMMERCIAL WARRANTY?
When a good is purchased the customer is automatically entitled to the legal guarantee, which is valid for two years. It entitles consumers to a free remedy when they purchase goods that are not in conformity with the contract of sale.
The commercial warranty is an additional guarantee and it is meant to increase and improve consumers' rights and most definitely not to replace or reduce them
Such guarantee is given out voluntarily by sellers but is legally binding. Unless otherwise specified, the trader who gives the commercial guarantee is responsible for its execution.
For further information refer to:
https://mccaa.org.mt/Section/Content?contentId=3196
WHAT IS THE ECC (EUROPEAN CONSUMER’S CENTRE)
The European Consumer Centre of Malta (ECC Malta) forms part of the European Consumer Centres Network (ECC-Net) with offices throughout all European Union Member States. The aim of the ECC-Net is to help with questions consumers may have concerning their activities in the European market. The objective is to make consumers feel as confident shopping throughout the EU as they do in their country of residence.
ECC Malta informs, advises and assists consumers from EU countries in connection with cross border trade within the EU. An important objective of the Centre is that of providing information and advice to consumers on their rights and obligations in connection with cross-border trade. Consumers can turn to the ECC in order to file a complaint on a product purchased or a disappointing services received from a business based in another EU Member State.
The ultimate aim of the ECC is to help consumers reach an amicable solution with the trader. Alternatively, when an amicable solution is not possible, the ECC will guide the consumer, through the appropriate tools and mechanisms, to find an out of court settlement to their complaint. Thus another important objective of ECC Malta is to promote and encourage the development of Alternative Dispute Resolution (ADR) schemes.
For further information refer to:
https://mccaa.org.mt/Section/Content?contentId=3210
WHAT IS THE CONSUMER CLAIMS TRIBUNAL?
The right for effective redress is one of the most fundamental consumer rights. The Consumer Claims Tribunal (CCT) is the mechanism set up with the objective of resolving disputes between consumers and traders when conciliation has not resulted in an agreement on all issues in dispute between a consumer and a trader.
For further details refer:
https://mccaa.org.mt/Section/Content?contentId=1273
IS EVERYONE CONSIDERED AS A CONSUMER, IN RESPECT TO CONSUMER LAWS?
WHO ACTUALLY IS CONSIDERED AS A CONSUMER?
A consumer means any natural person who, in contracts covered by the [Consumer Rights Regulations], is acting for purposes which are outside his trade, business, craft or profession.
In other words, a trader, business people, crafts and profession people, who purchases goods and services for the scope of their business activity, are not considered as consumers, as far as the consumer rights regulations is concerned.
WHAT SHALL A BUSINESS OWNER DO TO SAFEGUARD HIS/HER RIGHTS NOT TO BE FOLLED BY OTHER TRADERS/SERVICE PROVIDERS DURING THE PROCESS OF PURCHASING A PRODUCT OR SERVICE FOR COMMERCIAL USE?
A trader / business owner, that might need to check his/her rights, in regards of purchasing damaged goods or faulty services, from other traders, they have to follow and proceed according to normal court procedures, because MCCAA cannot handle B to B cases.
WHAT IS THE "SERVIZZ BI TBISSIMA" COMPETITION? HOW A TRADER CAN PARTICIPATE?
“Servizz bi Tbissima Award” was set up to recognise those retailers/service providers who have a good customer care relationship with consumers and offer an exceptional customer friendly service whilst encouraging and promoting good commercial practices.
For further details refer:
https://mccaa.org.mt/Section/Content?contentId=1222
WHAT IS THE “TRUST YOU” INITIATIVE?
The “TRUST YOU” initiative is a scheme related to good business practice between entrepreneur/service provider and the consumer. This scheme is envisaged to enhance the trust between the two and therefore enable the consumer to purchase products and services with much greater confidence.
For further details refer:
https://mccaa.org.mt/Section/Content?contentId=1228