Unfair commercial practices
When you buy goods and services anywhere in the EU – from a website, a local shop or a seller outside your home country – EU law protects you against unfair commercial practices.
When promoting, selling or supplying products, companies must give you enough accurate information to enable you to make an informed buying decision. They must provide all mandatory details in a 'clear and comprehensible manner' and in 'plain, intelligible language'. Find out more about contract information.
If they fail to provide this information, their actions may be considered unfair. You have the right to seek redress if you are treated unfairly.
Misleading and aggressive practices
You are protected against 2 main categories of unfair commercial practices:
- misleading practices, either through action (giving false information) or omission (leaving out important information)
- aggressive practices that aim to bully you into buying
Certain commercial practices are prohibited in all circumstances. Some of the most common are listed below:
Bait advertising
Sellers are not allowed to advertise products/services at a very low price when they do not have enough stock available. They must tell customers how many items are available for sale and for how long offers remain valid.
Sample story
Alex saw an advert on offering a special promotion for flights: "Bask in Barcelona for just €1!"
When he tried to book the flight, the €1 ticket was no longer available. He phoned the company's customer services and was told that a very limited number of seats had been offered at the reduced rate.
He complained to his national consumer centre. They confirmed that the airline should offer a reasonable number of seats at the advertised price, depending on the scale of the advertising campaign and/or (at least) show the number of seats available at the special price.
Although Alex couldn't get a ticket at the advertised price, the national consumer centre advised the company to remove the advert, saving other consumers from falling into the same trap.
Non-transparent ranking of search results
EU rules require websites to clearly indicate when a search result is sponsored or made more prominent as a result of paid advertising (with a label such as ”Sponsored” or “Ad”). Online platforms are obliged to disclose the advantages given to sponsored products in the ranking and to explain to you the parameters upon which the ranking is based. To find unbiased choices, you usually need to scroll beyond the first page of any search results.
Sample story
Alice always scans the search results to check the status of the products in the list. If she sees a 'Sponsored' or ‘Ad’ label affixed to a listing, she knows this is actually an advertisement.
Phony 'free' offers
Sellers must communicate the real prices of their goods and services. They may not portray a paying service as "free" or offer you an additional "free" service when in fact the real costs of such "free" services are already included in the regular price.
Sample story
Francesca signed up for a text-messaging service. She noticed a box at the bottom of the webpage saying "5 free texts per day." When she clicked, she was taken to another page which again said "5 FREE TEXTS PER DAY."
She followed the instructions and was informed that she was now registered and that the charge for the service was €3 per week. When she checked on the website, she saw in small print that it was a paying service.
You should pay close attention to such offers and carefully check the conditions.
Manipulation of children
Sellers cannot tell your child to ask you to buy their products. Direct appeals like "Go buy the book now" or "Get your parents to buy you this game" are banned. This ban applies to all media, including television and – most importantly – internet.
Sample story
Cécile was surprised when her daughter suddenly started ask her to buy a collection of DVDs with her favourite book character.
Cécile understood why, when she saw an advertisement for the release of the DVD set stating, "Your favourite book is now out on DVD – tell your mum to buy it for you."
She consulted a consumer protection authority,. They confirmed this was an unfair practice and filed a complaint against the company in order to stop the campaign.
Dark design patterns
Dark design or deception design patterns are tricks used on websites to encourage, deceive or steer you to take a certain action. Fake countdown timers are one example. Used by businesses to drive e-commerce sales, they convey a sense of urgency to influence customers and encourage them to make a purchase before an offer expires. Another example is consent forms that are so complex and unclear that you're not entirely sure what you've signed up for. EU consumer rules protect you from these deceptive patterns, and prohibit companies from creating online user interfaces designed to trick you into buying things you do not really want.
If you have become a victim of unfair commercial practices you can seek redress.
Sample story
Alexander from Cyprus wanted to surprise his nephew with front row tickets to his favourite football team’s final match. His online search took him to a ticketing website that was ranked first. He assumed that because it had such a prominent listing, it must be both the official site and the best.
Nowhere did it say that the site was actually a ticket reselling platform. The website claimed that only four tickets were available for the match and other users were also looking to buy them. When he clicked on the tickets to find out more information, a 10-minute timer was activated, adding to the sense of urgency. Under the pressure of missing out on the deal, he decided to buy the tickets.
Alexander expected to receive the tickets immediately. Instead, he got an email confirmation saying that they would be issued sometime before the event, which was four months away.
Thanks to EU rules, he could raise a complaint concerning these practices and demand redress for having been misled..
False claims about cures
Whenever a product is advertised as therapeutic – curing allergies, reversing hair loss, helping you lose weight, etc. – you have the right to know if such claims have been scientifically confirmed. In many cases, claims like these are not medically backed up and are simply too good to be true.
Sample story
Mario received a letter from a company in another country claiming that their product would help his hair grow back in 3 weeks.
Mario decided to order the product, as the letter said that it was "tried and tested". However, the product had not in fact been tested and did not work.
Mario contacted his national consumer protection authority and learned that plenty of other misled consumers had also complained. He was advised to join the legal proceedings against the company which were already underway.
False green claims or greenwashing
It is illegal for a business in the EU to advertise false, inaccurate, or exaggerated claims about its environmental achievements or commitments. This is a form of deceptive advertising called ‘greenwashing’. If you consider you have experienced greenwashing, you have the right to report misleading claims and demand appropriate remedies.
Sample story
Athena from Greece cares about the environment and make a conscious effort to buy products that are environmentally friendly and produced under fair conditions.
Recently, Athena purchased some ‘eco-friendly’ branded cosmetics. Convinced by the salesperson that she was making the greenest possible choice, she was surprised to find so much single-use packaging inside the box.
Hidden advertisements in media (advertorials)
You have the right to be informed if a newspaper article, TV programme or radio broadcast has been sponsored by a company as a way to advertise its products. This must be made clear by images, words or sound.
Sample story
Yann read an article in a travel magazine on trekking in Ireland. The article, published as a story by one of the readers, mentioned that a certain brand of equipment used during the trip was particularly good.
Yann decided to double check on an online forum and learned that the brand's equipment was not considered to be very good quality. Many forum users said they were tricked into buying it, as they didn't know that the article had been sponsored by the producer of the equipment (known as an "advertorial").
When Yann contacted a consumer organisation, he learned that, under EU law, the travel magazine should have made it clear that the article was an advert. The consumer organisation contacted the publisher of the magazine who published a clarification and apologized to its readers for misleading them.
Ads by social media influencers
Under EU law, you have the right to know if your favourite athlete, singer, blogger etc. is paid to endorse specific products and services. Sponsored (i.e. paid) endorsements need to be identified as such. Sponsoring can also be free gifts, trips or discount codes. It is obligatory for influencers acting as product sponsors to make it clear that they are not merely consumers of the product. The rules apply for every payment, discount, partnership arrangement, free product (including unsolicited gifts), free trip or event invitation.
Sample story
Olivia from Denmark is a passionate Instagrammer. She follows hundreds of people, many of them popular influencers.
While the people that she follows on Instagram may share something about a product or a service because they loved it, it is obvious that they can sometimes also be paid or given free benefits for doing so. Olivia’s favourite yoga coach, for example, has a few partnerships with specific companies that sell yoga equipment. Olivia is OK with this. However, like most consumers, she wants to know when somebody is paid or receives benefits for endorsing a product or a brand, so she checks bios and posts for this information.
Ads in games
Many games have in-app ads. They appear suddenly and are hard to get rid of. Sometimes, it’s not clear what is part of the game and what is the ad. Under EU rules, you have the right to know whether ads, endorsements and paid content are present in games or on gaming platforms. They must be clearly marked as such and comply with all relevant rules.
Sample story
Emma from Ireland is an avid on-line gamer. She noticed that ads were increasingly getting in her way and spoiling her enjoyment. She felt there were too many interactive game previews (which encouraged her to install new games). It became difficult to distinguish between her games and the ads.
Fake consumer reviews
Under EU rules, traders publishing reviews must disclose how they ensure the reviews have been submitted by real consumers who have purchased the product or service. These rules explicitly prohibit traders from altering customer reviews and ratings of their products or services.
Similarly, traders are also prohibited from paying people to write fake reviews or make endorsements, including 'liking' or otherwise endorsing social media posts. Traders can only present them as consumer reviews if they have taken reasonable and proportionate efforts to verify the origin and authenticity of the reviews.
Sample story
As an avid online shopper, Barbara from Austria always checks size charts and reviews about how the garments fit on real people, before she makes a purchase. She also checks the photographs customers have uploaded and trusts their feedback. That is why she did not even hesitate when purchasing her wedding dress online. What she saw in the photographs and customer review reflected reality, and her wedding dress was exactly as she expected it to be.
Pyramid schemes
These are promotional schemes that you pay to join in exchange for the opportunity to receive compensation. That compensation, however, comes primarily from your bringing new people into the scheme. The actual selling or consumption of products plays a minor role. At some point, pyramid schemes collapse, and the last to enter lose their investment.
Sample story
Oana was offered a job in a marketing network selling beauty products. She was told she would make a lot of money in her spare time from the comfort of her own home.
She was asked to pay a one-off entry fee upfront and bring 5 friends into the network. The more friends she introduced to the network, the more money she would earn. Her friends would also earn extra money if they introduced 5 other friends.
Oana didn't realise that her main source of income came from recruiting people into the network, rather than from the sale of beauty products.
If you find yourself in such a situation, you should a contact consumer organisation who will tell you the redress measures you can use in your country.
False offers of prizes, gifts
Traders may not advertise free prizes or gifts, and then require you to pay in order to claim them. If you receive a letter or e mail that says: Congratulations, you have won a prize!, be cautious because this may well be an unfair practice.
Sample story
Evelina received a letter from a company congratulating her for having won a €100 prize. She was told to call to claim her prize within a week.
When she called the number in the letter, she was told that the offer was really just an advertisement. Instead of receiving a prize, she was requested to buy household appliances, after which she would be entered in a lottery.
Evelina was upset and decided to check whether the company was allowed to do this. She contacted her national consumer organisation and learned that such practices are banned. The consumer organisation contacted the company, which finally ceased the practice.
Phony 'special' advantages
Sellers may not claim that they are granting you special rights, when in fact you already enjoy those rights under the law.
Sample story
Konstantinos from Thessaloniki decided to buy a computer on the internet.
He chose an online shop that had a special offer giving buyers a 2-year guarantee covering repairs or replacement if the product turned out to be faulty or not as advertised.
Konstantinos was convinced this was a special offer, but the 2-year guarantee is an obligation imposed on every seller by law.
Many sellers or manufacturers offer their own commercial guarantees, which promise to repair a product, e.g. for 1, 3 or 5 years. These may be free or for optional purchase. However, these additional commercial guarantees never replace the minimum 2-year guarantee, which you always have from the seller as your legal right.
Konstantinos wrote to the trader, who agreed that an error had been made and agreed to give him an extra 1 year commercial guarantee.
False use of limited offers
When sellers tell you that a particular offer will only be available for a very limited time, they might be trying to pressure you to buy before taking the time to make an informed choice. It is unfair to claim that an offer is limited in time when that is not in fact the case.
Sample story
Simon from Belgium wanted to buy a bicycle. He found a special offer valid for just 24 hours on a Dutch online shop.
The bicycle wasn't exactly what he was looking for, but he didn't have time to compare as the offer was valid only for such a short time. He quickly decided to buy the bicycle to take advantage of the 50% discount.
To his surprise, when he browsed the internet shop a week later he saw exactly the same promotion. Simon realised it was a false offer to trick him into buying the bicycle. He complained to the trader but didn't get a response.
He then went to the European Consumer Centre in Belgium who transferred the case to their colleagues in the Netherlands. A short time later the Dutch centre told Simon that, thanks to their action, the trader had corrected the website.
Persistent unwanted offers
Under EU law, companies may not make persistent and unwanted offers to you by telephone, fax, e mail or any other media suitable for distance selling.
Sample story
Margus went to a shop with kitchen furniture and subscribed to a newsletter on new offers.
He then started receiving adverts from magazines on cooking, gardening, parachuting, housekeeping... Although he had never asked to be put on any mailing list, he sometimes got as many as 10 emails a day! Margus's requests to be taken off the mailing list were ignored.
A friend advised Margus to contact the national consumer centre, because they had helped her solve a similar problem in the past. Following the centre's action, the company finally took Margus off their list.
Redress for victims of unfair commercial practices
Apart from the existing options to seek redress, EU consumer rules enable national authorities to stop and prevent unfair commercial practices like false, inaccurate or misleading ads.
Under these rules you are also entitled to proportionate and effective remedies if you have been harmed by unfair commercial practices like misleading marketing. It’s the responsibility of your national authorities to ensure you have access to these remedies, in particular compensation for damage and, where relevant, price reduction and contract termination.
Sample story
After a long and busy winter, Mario from Italy simply can’t wait to book his well-deserved summer vacation. While browsing online, he clicks on the first relevant ad on his social media feed. The ad was placed by a travel intermediary which markets itself as the #1 online platform for holiday flight deals for obtaining the cheapest possible price. He books a flight right away. What luck!
Unfortunately, Mario is in for a disappointment. Checking the airline’s official website a few minutes later, he discovers a better deal. The airline is selling tickets for exactly the same flight at a cheaper price. Therefore, the travel intermediary had not been truthful about its marketing claim.
Under EU rules, Mario can raise a complaint against misleading claims and demand redress from the intermediary for having misled him with deals that were not real.
Warning
You may encounter practices that don't fall under the criteria above, but that you consider unfair. Consult your national consumer association or European Consumer Centres network for advice.