Be ready for new consumer protection rules NFDA reminds car dealers

Vehicle dealers need to be ready for new consumer protection rules coming into force in May, according to the RMI National Franchised Dealers Association (NFDA).

The Unfair Commercial Practices Directive (UCPD), passes into law on 26 May 2008, and will provide better protection for the consumer. The Directive will harmonise unfair trading laws across all EU Member States, and introduces a general prohibition on traders not to treat consumers unfairly. This prohibition is intended to act as safety-net consumer protection legislation.

Under the Directive businesses must not mislead consumers through acts or omissions, or use pressure-selling techniques.

Unfair commercial practices as defined by the Directive include:

Conduct below a level which may be expected towards consumers
Misleading practices, false or deceptive messages, and the omission of important information
Aggressive sales techniques that use harassment, coercion or undue influence

Commenting on the Directive, NFDA Director Sue Robinson said: ‘Existing rules on consumer protection do not provide a full safeguard for customers, as there are some remaining grey areas which can be exploited by unscrupulous traders.

‘The implementation of the Directive will enable car dealers to focus their internal consumer relations monitoring, but the new rules will also mean more administration for dealers to deal with, and will add more work to the existing heavy load borne by Trading Standards officers. There are also some questions on where the burden of proof will lie in disputes.’

She adds: ‘NFDA member businesses who would like more information on the Directive and its potential impact are urged to contact the NFDA.’