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The regulations for the implementation of the Consumer Rights Protection Law will be implemented in July, and relevant departments will interpret hot issues yesterday Face recognition is an excessive collection of personal information when shopping online

author:Huashang Daily

>> online consumption

It is forbidden to "speculate on orders", "forced tie-ins", and "big data killing"

Standardize "automatic renewal" to ensure "no reason to return"

If a business operator has a major business risk, it shall stop collecting advance payments

No unreasonable conditions shall be imposed on the return of the deposit

>> Overlord Clause

"It's easy for members to apply for a card, but it's difficult to return the card", "It's easy to upgrade the package, it's hard to downgrade"

霸王条款纠正一批、查处一批、曝光一批

Business operators must not excessively collect consumers' personal information

Consumers' personal information must not be illegally sold, provided, or disclosed

>> live streaming

Prominently indicate or state the true name and mark of the product

It must be clear "who is bringing the goods" and "whose goods are being brought"

The Information Office of the State Council held a regular policy briefing on April 9, at which the relevant persons in charge of the State Administration for Market Regulation, the Supreme People's Court, the Ministry of Justice, the Cyberspace Administration of China, and the China Consumers Association introduced the relevant situation of the "Regulations on the Implementation of the Law of the People's Republic of China on the Protection of Consumer Rights and Interests", which will take effect on July 1.

1. Live streaming

Live streaming must make it clear "who is bringing the goods" and "whose goods are being bringed"

In the past five years, the scale of the live broadcast e-commerce market in mainland China has increased by 10.5 times, and at the same time, the increase in complaints and reports has been as high as 47.1 times, which is significantly higher than that of traditional e-commerce, indicating that the development and regulation are still unbalanced.

According to Guo Xu, director of the Law Enforcement and Inspection Bureau of the State Administration for Market Regulation, the "Regulations" have made five provisions on online consumption, which are also applicable to live streaming. On this basis, in view of the characteristics and outstanding problems of live broadcasting, the "Regulations" also make many specifications.

In terms of strengthening information disclosure, the "Regulations" stipulate that if a business operator provides goods and services through the Internet, television, telephone, mail order, etc., it shall indicate or explain its real name and mark in a conspicuous manner on its homepage, video screen, voice, product catalog, etc. Where other business operators actually provide goods and services, they shall also provide consumers with information such as the business operator's name, business address, and contact information. Live streaming must clearly say "who is bringing goods" and "whose goods are bringing", which is also the premise and bottom line of marketing.

In terms of improving the management of platforms, the Regulations stipulate that operators of live-streaming marketing platforms shall establish and improve a system for the protection of consumer rights and interests, and clarify the mechanism for resolving consumer disputes. Where consumer disputes arise, livestreaming platform operators should provide necessary information such as information on livestreaming room operators and livestreaming marketers, as well as records of relevant business activities, as requested by consumers, and platforms shall strictly implement identity verification and routine management responsibilities, and actively assist consumers in protecting their rights and truly improve the after-sales experience when consumer disputes occur.

In terms of regulating marketing behavior, the Regulations stipulate that if the live broadcast content published by live broadcast room operators and live broadcast marketers constitutes a commercial advertisement, they shall perform their obligations in accordance with the relevant provisions of the Advertising Law. The "Regulations" elevate the relevant content in the normative document "Measures for the Administration of Online Live Streaming Marketing" to a statutory obligation, and clarify that "everyone is responsible" for platforms, live broadcast rooms and anchors.

2. Prepaid consumption

If a business operator has a major business risk, it shall stop collecting advance payments

According to Kuang Xu, the "Regulations" further strengthen the obligations of operators in three aspects:

The first is the obligation to establish a "written contract". Proprietors shall conclude written contracts with consumers, stipulating the specific content of the goods or services, the price or fees, the method of refunding the advance payment, liability for breach of contract, and other such matters, and strengthen the constraints on proprietors' compliance with commitments through written contracts, reducing the difficulty of adducing evidence when consumers protect their rights.

The second is to strengthen the obligation of "fulfilling according to the contract". Proprietors shall provide goods or services in accordance with agreements with consumers, and must not reduce the quality of goods or services, and must not arbitrarily increase prices. If the proprietor fails to provide the service as agreed, it shall perform the agreement or refund the advance payment in accordance with the consumer's request. For the first time, the Regulations give consumers the right to terminate the contract, and the operator has to refund not only the balance of the advance payment, but also the performance of the contract and the breach of contract.

The third is to clarify the obligation to "inform during the matter". Where business operators decide to suspend business or relocate service venues, they shall inform consumers in advance that they will continue to perform their obligations or refund the balance of advance payments that have not been consumed. Even if the operator is not subjectively at fault, it will lead to the inability to perform the contract or significantly increase the cost of performance for the consumer, and the Regulations also give the consumer the right to terminate the contract.

In addition, although the deposit is a guarantee rather than an advance payment, there is also a form and risk of "prepayment", and it is also easy to cause refund disputes, so the "Regulations" also make corresponding provisions on the deposit, requiring the operator to agree with the consumer in advance on the method, procedure and time limit for returning the deposit, and shall not set unreasonable conditions for the return of the deposit, and shall return it in a timely manner if it meets the requirements. When a consumer defaults, the operator should deduct the deposit based on the actual loss, rather than simply "all or nothing".

3. Overlord Clause

Problems such as "easy account registration and difficult cancellation" should be corrected in a timely manner

In response to the problems encountered by netizens such as "no return or exchange of orders", "registration is deemed to be consent", and "jurisdiction is limited to local", Guo Xu said that overlord clauses are not uncommon, and consumers hate them. The Regulations focus on the overlord clause and refine it on the basis of the Consumer Rights Protection Law.

The Regulations stipulate that business operators shall not use standard clauses to unreasonably exempt or reduce their liabilities, increase consumers' liabilities, or restrict consumers' rights to modify or terminate contracts in accordance with the law, choose litigation or arbitration to resolve consumer disputes, or choose the goods or services of other business operators.

In economic life, some refuse to cancel or charge high liquidated damages in the name of industry practice, and the number of disputes on individual performance booking platforms even ranks among the top of all enterprises in the country. Some limit consumer disputes to arbitration and eliminate other settlement methods such as complaints and lawsuits, which increases the cost of protecting consumers' rights. Some restrict consumer disputes to the jurisdiction of the court at the place where the operator is domiciled, which excludes the right of consumers to choose the place of contract performance and the place of tort litigation, and raises the threshold for consumer rights protection. In addition, "it is easy for members to apply for cards and it is difficult to return cards", "it is easy to upgrade packages", "it is easy to cancel account registration", etc., these problems have caused strong dissatisfaction among consumers and should be corrected in a timely manner.

In the next step, we will vigorously carry out the "iron fist" action in the field of people's livelihood and the special law enforcement action to protect consumption, aim at the overlord clause, correct a batch, investigate and deal with a batch, and expose a batch, so as to effectively improve the consumer experience. To further make good use of the national contract model text library, 565 kinds of contract model texts have been included, and everyone is welcome to inquire and use.

4. Protection of Personal Information

Business operators must not illegally sell, provide, or disclose consumers' personal information

Regarding issues such as personal information protection and excessive collection and use of personal information by some apps, You Xueyun, head of the Cyber Rule of Law Bureau of the Cyberspace Administration of China, said that facial recognition is an excessive collection of personal information when shopping online.

When providing goods or services, proprietors must not excessively collect consumers' personal information, and must not use methods such as one-time general authorization or tacit authorization to compel or indirectly compel consumers to consent to the collection or use of personal information that is not directly related to business activities. Proprietors handling consumers' personal information shall follow the principles of legality, propriety, necessity, and good faith, and must not handle personal information through methods such as misleading, fraud, or coercion. The principle of clarity of purpose is observed, with a clear and reasonable purpose, and directly related to the purpose of the processing. The principle of minimization of processing should be followed, and methods with the least impact on individual rights and interests should be adopted, limited to the minimum scope to achieve the purpose of processing, and excessive collection should not be allowed. The principle of openness and transparency should be followed, and the rules for handling personal information should be disclosed, and the purpose, method, and scope of processing should be clearly stated. It shall also comply with the rules for the handling of personal information with "notification and consent" as the core, and only after the consumer is fully informed and gives voluntary and explicit consent before processing personal information. In addition, the consumer has the right to withdraw consent and may not refuse to provide goods or services on the grounds that the consumer does not agree or withdraws consent.

Where business operators handle sensitive personal information, they shall comply with the provisions of relevant laws and administrative regulations. Sensitive personal information may only be processed when there is a specific purpose and sufficient necessity, and strict protective measures are taken, and the consumer's separate consent or written consent shall be obtained. If the personal information of minors under the age of 14 is processed, the consent of the minor's parents or other guardians shall be obtained, and special rules for the handling of personal information shall be formulated.

Business operators shall protect consumers' personal information in accordance with law. Business operators shall protect consumers' right to know and make decisions in personal information handling activities, including the right to consult and reproduce, the right to correct and supplement, the right to delete, the right to explain, and so forth, and establish convenient mechanisms for accepting and handling applications for consumers to exercise their rights. Consumers' personal information must not be illegally sold, provided, or disclosed, and necessary measures shall be employed to ensure the security of personal information to prevent unauthorized access and the leakage, alteration, or loss of personal information, and where leaks, alterations, or losses of personal information occur or may occur, business operators shall immediately employ remedial measures and notify the departments and consumers performing personal information protection duties.

5. Online consumption

It is forbidden to "swipe orders and speculate on letters", "forced tie-ins", and "big data killing"

Liu Jun, deputy director of the State Administration for Market Regulation, introduced that the "Regulations" have made a series of new provisions in response to the problems existing in online consumption and in order to better protect consumers' right to know and the right to choose.

The first is to prohibit "swiping orders and speculating on letters". Some business operators have "batch likes", "false grass planting", "fictitious evaluations", "positive feedback cashback", "deletion of bad reviews" and other behaviors, which have harmed fair competition and fair trade. The "Regulations" stipulate that business operators shall not fabricate transaction information and business data, and shall not tamper, forge or conceal user evaluations, etc., so as to prevent deception and misleading consumers.

The second is to prohibit "forced tie-ins". Some operators scan QR codes to pay for compulsory registration, online booking bundled vouchers and other behaviors, infringing on consumers' right to make their own choices. The "Regulations" stipulate that business operators shall not use technical means to compel or indirectly compel consumers to purchase goods and receive services. Where proprietors provide goods and services through methods such as collocation or combination, they shall draw the attention of consumers in a conspicuous manner.

The third is to prohibit "big data killing". The Regulations stipulate that business operators shall not set different prices or charging standards for the same goods or services under the same transaction conditions without the knowledge of consumers. This is also the first time that the mainland has regulated differentiated pricing in administrative regulations.

The fourth is to standardize "automatic renewal". Nowadays, there are more and more paid members of websites and apps, some of which are discounted in the first month and high prices in the next month, some are checked by default and deducted without authorization, and some cannot be canceled after five or six steps, so that consumers are unable to prevent it. The Regulations stipulate that the relevant business operators shall draw the attention of consumers in two conspicuous ways before the consumer accepts the service and before the date of automatic extension and automatic renewal, and shall also provide consumers with a conspicuous and simple option to cancel or change at any time.

Fifth, it is guaranteed to be "no reason to return". Seven-day no-reason returns have become the standard for online shopping, but there are still some merchants who excuse themselves for various reasons. The "Regulations" stipulate that business operators shall not limit the scope of statutory no-reason returns, and shall mark the goods that are not applicable to no-reason returns, prompting consumers to confirm at the time of purchase, and shall not be used as an option for consumers' tacit consent. At the same time, without the consumer's confirmation, the return of goods without reason shall not be refused. Comprehensive Chinese government network, etc

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