Consumer Protection Laws Year 1 Business Learning Objectives

Consumer Protection Laws Year 1 Business

Learning Objectives To understand the purpose of consumer protection laws

Class Discussion Think of a product, which you have bought and it did not work, or broke very soon after your bought it. What did you feel? What did you do? Did you take it back to the shop? Did you keep it? What was the seller's reaction when you went back to him/her with the product?

What would you do? Lauren’s new car broke down when she was driving it home from the garage. It was secondhand but the garage had advertised it as being in perfect working order.

Tyler should take shoes back as they should last longer than 2 weeks. The label said they were leather and they were plastic. Lauren should complain to the garage as they have lied to her! That must be illegal!

Protecting the consumer Consumer Rights Act 2015 http: //www. bbc. co. uk/news/magazine-37620366

Why have consumer protection? To protect from exploitation Stop inferior goods Stop high pressure sales Health & Safety – dangerous goods http: //www. youtube. com/watch? v=HRv. FOf 34 H 14 http: //www. youtube. com/watch? v=E_On 9 tb. Md 0 E http: //www. youtube. com/watch? v=56 -g. Qq 62 Hyc

Principles of Consumer Protection Law Seller has to make sure the product has 3 characteristics Match the description Satisfactory quality Fit for purpose If the product does not meet the above they must give a refund, replacement or repair for up to 6 months after purchase

Customers have the legal right to reject goods after 30 days if there is something wrong with them and receive a refund Digital content, such as streaming services, must be of a suitable quality The retailer is responsible for safe delivery of goods A business providing a service should do so with reasonable care and skill, and if they don’t, the service should be redone or corrected Businesses cannot enforce unfair terms when selling goods or services http: //www. which. co. uk/consumer- rights/regulation/consumer-rights-act

Task Research and explain your rights as a customer under the Consumer Rights Act 2015 Who should you complain to if you have a problem? What happens if there is a complaint against a retailer? Use examples to explain your research

How does legislation affect businesses? Compliance Costs Training Equipment Pay Administration Licences Lawyers Refunds Fines

The consequences of meeting or not meeting legal obligations Revenue & Profits Marketing advantage – good publicity – good reputation Court & fines – bad publicity – loss of sales

Positive Consequences Negative consequences Positive Reputation Fines or prison sentences Customer Loyalty Negative press & reputation Motivated workers Potential injury to employees or customers Higher sales & profit The business may be closed down Lower employee turnover