The Secretariat of Domestic Trade issued Resolution No. 270/2020 (hereinafter, the “Resolution”), published in the Official Gazette on September 8, 2020. Through this regulation, Resolution No. 37 of the MERCOSUR Group dated July 15, 2019, was incorporated into the national legal framework. The latter resolution includes provisions regarding consumer protection in electronic commerce.
Preliminary Matters
The Resolution forms part of the common commitments assumed by the Argentine Republic in the establishment of a Common Market through the Treaty of Asunción, approved by Law No. 23981.
In line with this objective, the Common Market Group (hereinafter, the “Group”) had previously issued Resolution No. 21 on October 8, 2004. On that occasion, providers were required to provide clear, accurate, and easily noticeable information on their websites about the characteristics of the goods and services offered, as well as the terms and conditions of sale.
Although that regulation established the standards and information necessary to allow consumers to make informed choices when purchasing products and services, it is worth noting that over 15 years have passed since its adoption. In this context, the Group issued Resolution No. 37 on July 15, 2019. This newer regulation introduced a much-needed update to consumer rights in electronic commerce within the Southern Common Market (hereinafter, MERCOSUR).
Key Provisions Introduced by the Resolution
The Resolution first establishes a general duty for providers to guarantee consumers, throughout the transaction process, the right to clear, sufficient, truthful, and easily accessible information regarding the provider, the product and/or service, and the transaction itself.
The Resolution further specifies that the following information must be available to consumers on the provider’s website and any other electronic means:
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The provider’s trade name and legal name;
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The provider’s physical and electronic address;
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The consumer service email address;
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The provider’s tax identification number;
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The manufacturer’s identification, if applicable;
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Identification of product registrations subject to prior authorization regimes, if applicable;
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The essential characteristics of the product or service, including any risks to the health and safety of consumers;
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The price, including taxes, and a breakdown of any additional or ancillary costs, such as delivery or insurance fees;
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Payment terms, including the number of installments, their frequency, and the total financial cost of the operation in case of installment sales;
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The terms, conditions, and/or limitations of the offer and product or service availability;
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The conditions applicable to the legal and/or contractual warranty of the product or service; and
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Any other relevant terms or characteristics of the product or service that consumers should be aware of.
In addition, the Resolution requires that providers ensure easy and clearly visible access to the terms and conditions of the transaction. These terms must be made available to consumers in a format that can be both read and stored. The contract must be written in full, clear, and easily legible language. It must not refer to other documents that are not provided at the time of the transaction. The provider must also supply a summary of the contract highlighting the clauses of greatest relevance to the consumer.
The Resolution further states that providers must offer consumers the technical means to review and correct any errors in data entry before completing the transaction. There must also be an explicit confirmation mechanism, as consumer silence must never be construed as consent.
The Resolution leaves the time frame for exercising the right of withdrawal to be governed by local laws. It also mandates that providers maintain an efficient customer service system for handling inquiries and complaints.
Moreover, it establishes that providers must implement online dispute resolution mechanisms that are swift, fair, transparent, accessible, and low-cost. Special attention must be given to consumers in vulnerable or disadvantaged situations.
The Resolution applies to providers based in any of the MERCOSUR member states or those conducting commercial operations under any of its internet domains.
Finally, the Resolution will enter into force 180 days after its publication in the Official Gazette, i.e., on March 7, 2021.
You can find the publication in the Official Gazette at the following link:
https://www.boletinoficial.gob.ar/detalleAviso/primera/234662/20200908?busqueda=1
