Introduction:
The Consumer Protection Authority has issued the Supplier’s Guideline as both a regulatory and advisory instrument. The Guideline is intended to reinforce the principle of shared responsibility between suppliers and consumers, while fostering a fair, transparent, and sustainable commercial environment.
It outlines the rights and obligations of suppliers and sets out the standards that must be observed when providing, advertising, maintaining, or handling goods and services, as well as when managing consumer complaints.
These requirements are derived from the Consumer Protection Law issued under Royal Decree No. 66/2014 and its Implementing Regulations promulgated by Royal Decree No. 77/2017. The scope and implications of these provisions will be examined in further detail in the remainder of this article.
The legal obligations of suppliers in providing goods and services:
The guidelines explained the mandatory Arabic language stipulation for all invoices issued by suppliers as well as the mandatory dual Arabic and English language stipulated for all product warnings and precautionary notices. Suppliers are required to display their commercial registration details in all official correspondence, invoices, advertisements, and documents issued in dealings with consumers, and to provide consumers with a clear invoice in Arabic evidencing the purchase of goods or receipt of services, containing the essential details thereof. Suppliers must comply with all applicable health and safety requirements, ensure that goods and services conform to approved standards, and guarantee that they are free from any risks that may harm the consumer or their property. Where improper use of a good or service may result in harm, the supplier must provide clear warnings and instructions for safe use in both Arabic and English. Suppliers are prohibited from trading in goods that violate religious values, public morals, or public decency. Without prejudice to any other legal or contractual guarantees in favor of the consumer, suppliers are obligated to guarantee the quality and safety of goods and services and to refund the value of counterfeit or spoiled goods, bearing all related costs. Failure to refund such goods entitles the competent authority to take the necessary legal measures against the supplier.
Legal prohibitions:
Any infringement of consumer rights or reduction of supplier obligations as stipulated in the applicable consumer protection laws, regulations, and related decisions is prohibited. Suppliers are prohibited from trading in, advertising, or promoting counterfeit, adulterated, spoiled, or unauthorized goods, or from engaging in any form of fraud, deception, or misleading practices regarding the nature, quality, quantity, origin, price, or characteristics of goods or services. It is further prohibited to fail to disclose risks, defects, or essential information, to sell goods at prices exceeding those announced, to increase prices during crises or exceptional circumstances, to use inaccurate measuring or weighing instruments, or to impose unlawful contractual conditions that limit consumer rights or exempt the supplier from liability. Any contractual term that waives or restricts the supplier’s civil liability or the consumer’s statutory rights shall be deemed null and void. Suppliers and advertisers are required to act with transparency and good faith, obtain all necessary approvals prior to trading or advertising, and provide consumers with clear and accurate information in Arabic regarding prices, specifications, origin, and other mandatory details, without prejudice to the legal accountability arising from any violation.
Procedures followed in case of violations or complaints:
Violations of the provisions of the Consumer Protection Law, the Commercial Fraud Law, and their implementing regulations are subject to criminal and administrative penalties, including imprisonment and fines, which vary depending on the severity of the violation. Penalties are aggravated in cases involving fraud, deception, or the circulation of counterfeit, adulterated, or spoiled goods, particularly where such acts involve the use of falsified or inaccurate weighing or measuring instruments or result in harm to human or animal health or death. Administrative fines may be imposed for regulatory breaches, with increased penalties for repeated or continuing violations.
Without prejudice to criminal liability, courts may order the confiscation or destruction of the infringing goods, and the tools used in committing the offense, the publication of a summary of the final conviction judgment at the offender’s expense, and the temporary closure of the establishment where the violation occurred. The person responsible for the actual management of a legal entity shall be subject to the same penalties where knowledge or negligence contributing to the offense is established and shall be jointly liable with the legal entity. Offenses shall be deemed repeated when committed within the legally prescribed period, resulting in the doubling of the prescribed penalties.
Finally, the guidelines provided a list of goods that would not require writing its specifications such as fresh produce, gold and silver, small goods and other goods. The description must be written on a separate card displayed next to the goods. The guidelines also listed the goods and services that must be covered with warranty.
Key Contacts
Kadhiya Al Rashdi, Associate, K.AlRashdi@tamimi.com