Due to the rapid development of e-commerce, online transactions have become increasingly complicated. In order to deal with the various challenges that consumers are facing, and to build a consumer-friendly e-commerce environment, the Department of Consumer Protection, Executive Yuan (the DCP), referenced relevant documents released in recent years by the Organization for Economic Cooperation and Development (OECD) and the United Nations. The DCP revised nearly sixty percent of the Guidelines for Consumer Protection in the Context of Electronic Commerce (Electronic Commerce Guidelines) promulgated in 2001. The guidelines have been approved and promulgated by the Executive Yuan, and will be very helpful in safeguarding the rights and interests of consumers engaged in e-commerce.
The DCP has stated that to ensure the amendments of the Electronic Commerce Guidelines are in accordance with domestic conditions and requirements, relevant authorities have also been asked to make amendments to the preliminary draft, and representatives from governments, industries and consumer protection groups have been invited to discuss on the matter. The focus of said revisions is as follows:
1) In order to be in line with relevant international trade agreements and international trends, “e-commerce” is not defined in a certain way; moreover, duplications of the term of Consumer Protection Laws are to be deleted.
2) Improve the fairness in commercial, advertising and marketing activities: Clauses are added as follows: Important terms and conditions, along with the total price of goods, cannot be hidden, and they should genuinely reflect recommended ideas, assessments and other specifications. The guidelines also stipulate that business operators cannot sell unsafe products online, and if a product poses risks, business operators must cooperate fully with the government to resolve issues about this product.
3) Enhance the disclosure of online information: Clauses are added as follows: When multiple languages are used on website, important information should be in each language. The disclosure of information should take into account the characteristics of various platforms or mobile devices. If a transaction includes an automatic renewal or if it is related to in app purchase, relevant information should be disclosed, and consumers should be allowed the choice of using it or limiting its use.
4) Specifications for the transaction confirmation process: Prior to confirming a transaction, consumers should be given the opportunity to review it and make any necessary corrections. After confirming a transaction, consumers should be informed appropriately, and be allowed to save it and print it out. When a payment is made but the transaction is not concluded for some reason, consumers should be reliably informed of the matter and the necessary assistance provided.
5) Specific regulations that protect the rights and interests of children: While provisions regarding the collection of children' information should comply with the principles of privacy, and advertising directed at children should avoid excessive or inappropriate content. Before children make purchases or use a product or service, parents and guardians should also be made aware of possible costs, and a warning or notification mechanism should be provided as well that enable parents to control purchases made by children.
6) Coordinate the levels of protection in different means of payment: Clauses are added as follows: The government should fully cooperate with relevant stakeholders in order to develop specific protection measure, and so that consumers can enjoy a minimum of protection no matter which payment mechanism is used.
7) Expand the handling of consumer disputes: Clauses are added as follows:
The government should encourage the payment service industry to provide appropriate, affordable and easy-to-use dispute resolution and redress mechanisms; the payment service provider should ask payment platforms to save records in order to facilitate consumer claims.
8) Reinforce the promotion of consumer education: Clauses are added as follows: Consumer education should take the characteristics of different consumer groups into consideration, strengthen education on the rights and obligations when involve in cross-border transactions,consideration should be giving to integrating consumer protection education into schools, and strengthen the training of the relevant qualified teachers.
9) Strengthen international cooperation: Clauses are added as follows: The government and stakeholders should use bilateral and multilateral agreements to strengthen international cooperation and exchanges, and an appropriate response should be given to international assistance on investigations and joint enforcements.
Since the Electronic Commerce Guidelines are the cornerstone of e-commerce consumer protection, the DCP will urge central and local competence authorities to study and formulate relevant laws, regulations and policies and measures in reference to the contents of this amendment. In order to safeguard the rights and interests of consumers, the DCP will also ask business operators to implement this amendment when they engage in e-commerce business.