The law provides consumers with significant protection ...



The law provides consumers with significant protection when it comes to dealing with businesses, and any start-up or small business has to ensure that it complies with this legislation. The main requirements are that:

Goods must fit their description

• E.g. organic wine really must be organic

• Businesses need to take care with descriptions – avoid inaccurate claims

Goods and services must be of satisfactory quality

• The test is whether a “reasonable person” finds them to be satisfactory

• The goods must work and have no major blemishes

Goods are fit for the purpose specified

• E.g. a watch should tell the time

• Businesses should take care when explaining what a product can be used for

These are the main requirements. However, consumer protection under the law goes much further. For example:

• Businesses may not use unfair commercial practices – e.g. misleading advertising or pressurised selling

• Customers have a right of return and full refund if goods /services do not comply with law

• Services must be done at a reasonable price and by the time stated. The customer can request that unsatisfactory work be repaired or carried out again at no cost

• Since Oct 2008, consumers buying from home or at work have the right to a “cooling off period”

• Distance selling regulations provide further protection for consumers against online businesses

The main laws that help protect consumers in the UK are:

|Consumer Protection |Gives consumers protection when they buy goods or services by mail order, phone or online. Firms |

|(Distance Selling |must give clear information about the good or service. |

|Regulations) 2000 |The information must be provided in writing. Firms must offer a cooling off period of seven days |

| |for customers to change their minds. |

|The Sale of Goods Act 1979 |Requires goods to be as described, fit for their purpose and of satisfactory quality. If they are |

| |not, the customer can reject them |

|Supply of Goods and Services|Customers are entitled to work that's carried out with reasonable skill, in a reasonable time, at a |

|Act 1982 |reasonable price |

|Trade Descriptions Act |Required any descriptions of goods and services you give to be accurate and not misleading |

|Competition Act 1998 |Businesses must not agree to fix prices at a higher level with other similar businesses. |

|Consumer Protection from |Advertisements must not be misleading or deceive. |

|Unfair Trading Regulations | |

|2008 |It must be possible for consumers to check price comparisons made in advertisements with other |

| |businesses. |

Wednesday, 2 August, 2000 BBC News

McDonald's sued over 'too hot' drinks

McDonald's has faced similar legal action in the US

Court action against the fast food chain McDonald's by customers who claim they were burned by the restaurant's hot drinks begins on Wednesday.

The case against the company in Manchester's High Court will argue that McDonald's knowingly served tea and coffee at dangerously high temperatures.

A total of 25 customers have so far taken the company to court in a joint action, five last year and 20 on Wednesday.

It is thought as many as 40 will eventually join the action, with further cases expected to be generated by the resulting publicity.

Lawyers for the customers claim that the company is breaking the Consumer Protection and Occupiers Liability Acts because its hot drinks are served at between 87 and 90 degrees.

Solicitor Adrienne de Vos, from Manchester law firm Slater Heelis Collier Littler, represents 12 customers.

"I know that some would say such drinks are meant to be hot and that people should simply take more care," she said.

Safety concerns

But "customers don't realise just how hot and dangerous these drinks are - they really don't appreciate the level of damage that can be caused," Ms de Vos said.

"McDonald's is an environment that attracts and caters for young children. By knowingly serving drinks at such dangerous temperatures they are being negligent and failing to exercise the duty of care that is every customers right."

But McDonald's said it was concerned about customers' safety and that its products were labelled with that in mind.

"All of our products, including drinks, are carefully prepared to precise specifications. All of our hot drinks are served in cups fitted with a lid and bearing the words "caution hot," the company said in a statement.

However, the company said it would not comment on the cases because of legal reasons.

"We will be examining the proceedings once issued and made available to us. However it will not be possible for us to discuss any individual cases."

McDonald's has suffered similar legal action in the US. A few years ago, it was ordered to pay a substantial amount to a customer who was scalded by its coffee.

Discuss in groups whether McDonalds has taken reasonable care to protect its consumers in the above case study.

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