Law revision gives new rights to online customers

The revision, the first since the consumer law was enacted in 1994, also stated that business owners should take strict measures to protect the personal information of buyers and they must take remedial action immediately if such cases happen.

Advertisers should not send commercial information to consumers without their approval.

In order to solve the long-lingering problem that people have faced difficulties in claiming their rights, the revision has clauses stating that business owners of durable commodities, such as vehicles, computers and washing machines, are legally liable to provide proof of the integrity of their products if buyers find flaws in the products within the first six months of use.

The revision also provides higher compensation for customer losses because of quality problems. Business owners will not only have to compensate purchasers for economic and psychological losses but also pay "punitive" compensation totaling a maximum of twice the amount of the loss. The revised law also added clauses covering mental damage caused by flawed products.

"It is big progress because business owners will have to not only pay compensation for their flawed products but also for all the damage the products have done," said Wu, the law professor.

Another major amendment to the law is that consumer associations at provincial levels and above have been designated as the only party that can file public interest litigation.

"The party that can file public interest litigation was restricted to provincial levels and above to protect against regional protectionism," said Liu Junhai, a professor of economic laws at Renmin University of China, who was involved in the legislative process.

It could also help prevent the misuse of public interest litigation, he said.

The revision is expected to boost the role of consumer associations at regional levels because it means they could receive government funding.

"Consumer associations in many areas are struggling to exist because of a lack of funding. The new law will ensure that they will play their role in the protection of consumer rights in the future," said Wu, the law professor.