The deadline for implementing the changes fell at the end of December, a very intense period for e-commerce, when online sellers are drowning in orders and racing against time to deliver Christmas gifts before the first star. It appears that most of them left the legal changes for later, once they have settled Christmas orders and returns.
Only 20 percent of stores made it in time
Data from Kreator Legal Geek shows that only about 20 percent of stores adapted their terms and procedures to the new regulations by 1 January 2021, when the changes came into force.
- From experience we know that every change in the law is problematic for online stores, especially smaller ones, and this one fell at a rather unfortunate time, which in my view intensified this poor result – says Zofia Babicka-Klecor, lawyer, co-founder and manager of Kreator Legal Geek.
New rights for entrepreneurs
The need to update the terms and conditions stems from the amendment to the Civil Code and the Consumer Rights Act, which grant entrepreneurs running a sole proprietorship, in certain situations, rights similar to those previously reserved exclusively for consumers (especially the right to withdraw from a contract). The changes are not minor, as the documents must take into account a new type of buyer. Updating the terms is not everything; there is also the need to verify whether in a given case we are dealing with the new type of customer, and in some cases this can be quite a challenge.
Consequences of failing to update documents
What legal changes must online stores implement
Customers selling online are not yet complaining about an increase in returns caused by the amendment and the granting of the right to withdraw from a contract to some entrepreneurs. The change, or rather its consequences, raised doubts even before it came into force – even among lawyers, let alone among people who do not deal with regulations on a daily basis.
- Perhaps the market is not fully aware of what has changed. However, failing to adapt documents can be costly for sellers; for example, it may result in the return of goods that, had the information obligations been properly met, the buyer would not have been entitled to – adds Zofia Babicka-Klecor of Kreator Legal Geek.
A busy period for e-commerce
The last few months have shown that not only is e-commerce itself changing dynamically, but so is the legal environment surrounding it. Over the past few months, most online sellers have had to make changes to the documents posted on their online stores at least twice. In July, due to the invalidation of the Privacy Shield, which was the basis for transferring personal data to the United States and forced changes to privacy policies, and at the end of last year as a result of the aforementioned amendment to national regulations.
Summary
Data from Kreator Legal Geek shows that only about 20 percent of online stores adapted their terms and conditions to the amendment to the Civil Code and the Consumer Rights Act, which came into force on 1 January 2021. The changes grant some entrepreneurs running a sole proprietorship rights similar to consumer rights, including the possibility of withdrawing from a contract.
As Zofia Babicka-Klecor notes, failing to update documents can result in costly returns. This is another major change for e-commerce in a short period of time – earlier, sellers had to modify their privacy policies after the invalidation of the Privacy Shield.
