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Proposed EU Law May Change Ecommerce Store Policies In Some Countries

Written by Miva | Mar 28, 2011

Owners of ecommerce stores based in Europe may soon be faced with new regulations governing online return policies. A proposed new law, which if passed could take effect in June of this year, increases the number of days allowed for online customer returns in Europe from the average 7 days to 14 days.

Additionally, the bill would require merchants to offer free returns for any order over 40 Euros, and free shipping and returns across Europe. Merchants would also be required to issue a full refund for items returned before receiving the returned merchandise.  The proposed law has many European merchants, particularly those with small to medium-sized businesses that lack the capital to pay for these costs, understandably concerned.

Several groups, including the Business Software Alliance, have criticized the proposed law, saying that it undermines online rights, particularly when it comes to the sales of software programs.

Although software sales would be exempt from the 14-day return period proposed by the legislation, the law would still pose potential problems for businesses that sell software programs online, says the BSA.

“A software program is supplied to the user under a license agreement, which is quite different than delivery of physical goods such as a toaster or personal computer,” Francisco Mingorance of the BSA told PCWorld recently.

“For digital services like software, safeguards are needed that protect consumers, given the unique ways in which digital services are acquired, delivered, and used,” added Mingorance.

Before becoming too concerned, though, remember that 1. the law still has yet to pass and 2. that wording and legalities in proposed legislation undergo many revisions before the legislation becomes final.

If the law does pass, while it is true that it could make things difficult for some, it may serve as a challenge for others to improve their customer service policies in order to reduce instances of returns and shipping confusion.

Incomplete or missing information when it comes to return policies, shipping costs, and the ability to contact a customer service representative when a problem occurs are all common frustrations that most all ecommerce shoppers worldwide have experienced at some point.

Only time will tell if and how strongly this proposed legislation will impact European ecommerce merchants.