UAE Fortifies Consumer Rights: 46 New Violations and Dh1 Million Fines
The UAE Ministry of Economy has introduced 46 new violations with fines ranging up to Dh1 million under the Federal Decree Law No. 5 of 2023. This amendment is aimed at bolstering consumer protection and ensuring business practices that enhance consumer satisfaction. Abdullah Al Saleh, the undersecretary of the Ministry of Economy, highlighted that the fines cover various violations such as failure to repair, maintain, or provide after-sales services within a specified time limit after a defect is discovered. Some penalties may lead to license cancellation or deregistration of the business for repeated offenses, reducing the need for litigation and promoting transparency in consumer transactions.
The new regulations also emphasize dispute resolution, streamlining the process and avoiding the necessity for consumers to go through the judiciary in every case. Additionally, the amendments prohibit clauses that could harm consumers and discourage monopolistic practices. The Ministry of Economy is collaborating with local government entities to develop an efficient system for managing and promptly addressing consumer complaints, intending to boost consumer confidence and safeguard their rights.
One significant change introduced by the amendments is that merchants must not only put a selling price on goods but also price products by unit. This move aims to enhance transparency in pricing, prevent misleading offers, and empower consumers to compare prices easily and make informed choices. It aligns with the goal of ensuring fair business practices and protecting consumers from deceptive tactics.
Abdullah Al Saleh encouraged consumers to be aware of their legal rights outlined in the new legislation and familiarize themselves with the mechanisms for claiming rights, submitting claims, and following up on them. Simultaneously, sellers, including manufacturers, merchants, distributors, and service providers, are urged to understand their obligations toward consumers and uphold their rights. The strengthened role of local authorities in enforcing consumer protection laws is emphasized, granting them necessary legislative powers to receive, follow up on, and act on consumer complaints, impose sanctions, and address grievances against punitive measures.
The comprehensive set of amendments reflects the UAE's commitment to ensuring a fair and secure marketplace for consumers, promoting ethical business conduct, and streamlining dispute resolution processes. By introducing stringent penalties for various violations and enhancing the role of local authorities, the government aims to create an environment where consumers can confidently engage in transactions, knowing that their rights are protected and that businesses must adhere to ethical and transparent practices.
For More Related Updates Please Visit Our Official Website
By- Sahiba Suri
Comments