Web traders warned on consumer rights

THE OFFICE of Fair Trading yesterday warned online traders to clean up their act after an investigation uncovered a series of potential breaches of consumer law by web-based retailers.

A survey conducted by BDRC Continental on behalf of the watchdog found a large number of the UK’s premier online retailers were failing to adhere to laws designed to protect consumers.

The ‘web sweep’ saw BDRC investigators look for potential breaches of distance selling regulations (DSR) by 156 online shops and service providers.

The survey found 33% of sites appeared to impose “unreasonable” restric- tions on customers’ rights to a refund, with the most common problem being that unhappy consumers were told they had to return goods in the original packaging — a constraint that impacted on the right to inspect a product.

The survey also found 60% of companies had opted to provide a web contact form rather than an email address, contrary to e-commerce regulations, and 2% offered customers no means of contact at all.

BDRC also found that 24% of the sites surveyed added unexpected charges at the point of checking out.

On a positive note, the group found the majority of sites were compliant with DSR in providing required information to the consumer and 99% gave details of when goods or services were to be delivered or start.

The OFT yesterday said that, as a result of its investigation, it had written to 62 online retailers highlighting its concerns.

None of the websites were named yesterday and the OFT said it had not formally considered whether those who appeared to be in breach had actually committed an offence.

However, the watchdog — which has produced new online guidance — said traders that did not make amendments to their operating practices risked formal enforcement action.