On the initiative of the president of the OCCP, new regulations were introduced in 2023 to increase consumer protection against unfair practices during direct sales. The changes were necessary because many companies, holding product presentations outside their premises, targeted mainly elderly people, often misleading them.
- The elderly are particularly vulnerable to unfair practices during sales at presentations. Dishonest salesmen often take advantage of their health problems. Seniors are invited to meetings under false pretenses, such as free eye or lung tests. This has been the case with companies we have investigated recently. Most of the contracts are concluded with consumers over the age of 60," says OCCP Chairman Tomasz Chróstny.
The elderly are particularly susceptible to manipulation due to their health problems and lack of knowledge of current legislation. Many of these people have been invited to presentations under the pretext of free health screenings, such as eye or lung tests, designed only to attract them to the show. On the spot, attendees were encouraged to purchase the products offered, often under pressure or with false promises of favorable financial terms.
Regulations to protect consumers
As of January 2023, new regulations are in effect that prohibit companies organizing trade shows from accepting payment before the end of the cooling-off period, and from entering into contracts for financial services, such as consumer loans, during shows. The new regulations aim to protect consumers, especially those who may have been manipulated into making purchasing decisions under unfavorable conditions.
Penalties for fraudulent companies
As a result of the inspections, the president of the OCCP filed notices to the prosecutor's office regarding eight companies whose practices raised serious doubts. Three of these companies have already been fined a total of more than PLN 3.6 million, and their boards have also faced financial consequences for obstructing inspections.
Particularly harsh penalties hit a company that invited consumers to supposed health screenings, but in reality held a trade show. The company was fined more than PLN 1.8 million, and its president was fined an additional PLN 325,000.
Applications for consumers
The OCCP's actions show the importance of exercising caution when attending trade shows, especially for the elderly. The regulations introduced in 2023 are designed to protect consumers from unfair practices, but the most important step is awareness and information.
Consumers, especially seniors, should remember that they have the right to cancel a contract concluded during a trade show within 14 days, and up to 30 days for contracts concluded during tours or non-contracted visits. It is also important to avoid signing credit agreements under pressure, especially in situations where they are offered as the only way to finance a promotional purchase.
Source: OCCP
