FTAA.ecom/inf/122 February 13, 2002 / The U.S. approach to

Report
Public
FTAA.ecom/inf/122
February 13, 2002
Original: English
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Government Enforcement & Cooperation
Business Guidance
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Government Enforcement & Cooperation
Surf Days
To: business @xxx.com
From: pyramid @ftc.gov
Subject: A message from law
enforcers from 20 countries
If you do business in any of
the following countries, you
may be interested to know that
pyramid schemes are illegal . .
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Government Enforcement & Cooperation
Consumer Protection in E-Commerce
• Strong consumer protection laws and
regulations
• Enforcement in the context of e-commerce
• Domestic and international coordination
• Self-regulation is a critical component
• Consumer education helps consumers avoid
problems
• Business education helps e-businesses
comply
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Consumer Efforts: Protecting
Consumers Online is a Shared
Responsibility
Susan Grant
Vice President for Public
Policy
National Consumers League
Consumer Efforts
A Successful Online Marketplace
from the Consumer Perspective
• Clear, complete and accurate information
about vendor and offer on Web sites
• Good customer service
• Effective protection from fraud and abuse
• Privacy and security of personal information
• Practical recourse for complaints
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Consumer Efforts
Consumers International Online
Shopping Surveys
• Nearly 20% of vendors failed to give
clear total cost
• 37% did not provide immediate
confirmation of order
• 12% of orders arrived late
• 6% never arrived at all
• 9% never made refunds for returned
items
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Consumer Efforts
National Consumers League Online
Shoppers Surveys
• Security and privacy greatest concerns
• Delivery and misrepresentation most
common problems
• Consumers are confused
– 51% did not know delivery rights
– 55% thought that they had 3 days to cancel
– 59% did not understand credit card dispute
rights
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Consumer Efforts
Consumer Perspective on ADR
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Must be easy to access
Free or very low-cost
Easy to use
Fair
Transparent
Not ask consumers to waive legal rights
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Consumer Efforts
Why Ask What Consumer Groups
Think?
• Provide insight based on direct contact with
consumers
• Contribute valuable information from studies and
surveys
• Bring balance of views on issues
• Promote mutual understanding and cooperation
For example: TACD Working Group on E-Commerce
(www.tacd.org)
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