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Voices for Change: the Consumer Right to Representation

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World <strong>Consumer</strong> <strong>Right</strong>s Day 2002: <strong>Voices</strong> <strong>for</strong> <strong>Change</strong><br />

Annex B: Examples of Success<br />

This annex highlights examples of<br />

<strong>the</strong> impact of successful consumer<br />

representation. For fur<strong>the</strong>r details,<br />

please contact <strong>the</strong> person listed.<br />

Armenia: <strong>Consumer</strong>s have <strong>the</strong>ir say on<br />

legal changes<br />

The Union <strong>for</strong> <strong>the</strong> Protection of <strong>Consumer</strong>s’<br />

<strong>Right</strong>s and <strong>the</strong> National Association of<br />

<strong>Consumer</strong>s carried out a survey in 2001 on<br />

consumer concerns in relation <strong>to</strong> a proposed<br />

consumer protection law. As a result, <strong>the</strong>y<br />

were able <strong>to</strong> recommend changes in <strong>the</strong> draft<br />

law <strong>to</strong> <strong>the</strong> authorities, and 60 per cent of <strong>the</strong>se<br />

were adopted.<br />

Contact person: Abgar Yeghoyan<br />

E-mail: abgar@freenet.am<br />

Australia: E-commerce and<br />

spam guidelines<br />

Australia, like most o<strong>the</strong>r countries, had no<br />

government-endorsed guidelines <strong>for</strong> <strong>the</strong><br />

protection of consumers in e-commerce. As a<br />

result of OECD work on consumer protection<br />

in this area, Australia set up an advisory body<br />

<strong>to</strong> <strong>the</strong> Ministry <strong>for</strong> Financial Services and<br />

<strong>Consumer</strong> Affairs on which <strong>the</strong> Australia<br />

<strong>Consumer</strong>s’ Association (ACA) was<br />

represented, along with legal people, <strong>the</strong><br />

Internet industry and private businesses<br />

involved in e-commerce. ACA canvassed<br />

hundreds of consumers through its website,<br />

and <strong>to</strong>ge<strong>the</strong>r with <strong>the</strong> Internet Industry<br />

Association successfully lobbied <strong>the</strong> Minister<br />

<strong>to</strong> take an “opt-in” position on spam<br />

(unsolicited mail). This means that businesses<br />

may not e-mail consumers unless <strong>the</strong>y have<br />

<strong>the</strong>ir permission <strong>to</strong> do so or <strong>the</strong> consumer is<br />

already a cus<strong>to</strong>mer. Australia is currently <strong>the</strong><br />

only nation <strong>to</strong> date <strong>to</strong> have clearly articulated<br />

this position.<br />

See <strong>the</strong> Australian government guidelines <strong>for</strong><br />

consumer protection matters in e-commerce at:<br />

www.ecommerce.treasury.gov.au/<br />

Contact person: Louise Sylvan<br />

E-mail: lsylvan@choice.com.au<br />

Australia: Price gouging prevented<br />

The Australia Competition and <strong>Consumer</strong><br />

Commission (ACCC), a governmental body,<br />

introduced a provision in<strong>to</strong> federal legislation <strong>to</strong><br />

prevent exploitation of consumers following <strong>the</strong><br />

enactment, in July 2000, of a Goods and Services<br />

Tax. It was concerned about <strong>the</strong> possibility of<br />

exploitation due <strong>to</strong> lack of awareness of <strong>the</strong><br />

effects of <strong>the</strong> new tax on prices.<br />

The ACCC also set up a government-funded<br />

consumer consultative group <strong>to</strong> gauge how best<br />

<strong>to</strong> distribute relevant in<strong>for</strong>mation <strong>to</strong> empower<br />

consumers in relation <strong>to</strong> price exploitation.<br />

Included in this group was a broad range of<br />

national consumer represen-tatives. The group<br />

lobbied compensation <strong>for</strong> consumers in <strong>the</strong><br />

event of exploitation and <strong>for</strong> intensified price<br />

moni<strong>to</strong>ring of products and services that most<br />

impact disadvantaged or low-income groups.<br />

As a result of this consultation with consumer<br />

advocacy groups, <strong>the</strong> ACCC produced<br />

explana<strong>to</strong>ry publications and delivered <strong>the</strong>m<br />

<strong>to</strong> every residential address in Australia.<br />

It produced versions in six languages and<br />

established an indigenous officer <strong>to</strong> take phone<br />

complaints and enquiries. It also conducted<br />

en<strong>for</strong>cement actions, resulting in almost $9.5<br />

million in refunds <strong>to</strong> 528,000 consumers.<br />

This contributed <strong>to</strong> a low incidence of price<br />

exploitation, due <strong>to</strong> consumers’ vigilance and<br />

<strong>the</strong> pressure placed on business <strong>to</strong> alter prices<br />

carefully and correctly.<br />

45

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