Member Article

A new Consumer Protection Act is currently in the process of being adopted in Croatia, and has revamped areas of the Act dealing with the sale of products at reduced prices and obligations for public service providers.

The new Act imposes traders the obligation to point out two types of prices – regular and reduced. This obligation is related to seasonal reductions in prices, which may be applied up to three times a year and may last no longer than 60 days under the provisions of new Act. These provisions are also related to general sales, which can be applied upon the termination of a traders work, retail closure or the conclusion of the sale of certain products and/or seasonal sales, which is now limited to a duration not more than 30 days. This obligation is applied to other price reductions, for example the sale of defected products and products which have expired. The new Act will grant consumers the possibility to reconsider the contract within a 14 day period without being obligated to state a reason.

Another new obligation has been imposed on public utility and service providers (water and electricity distributers and postal services) to inform consumers of their unpaid obligations when issuing invoices. It will no longer be possible to begin execution proceedings if a consumer has disputed an invoice, until judicial or extrajudicial proceedings have been completed, which is intended to encourage consumers to actively protect their consumer rights.

The Act should be adopted by 14 June 2014.