The Consumer Protection
Act of the Maldives 1996
Introduction
1. This Act provides for the establishment
and protection of the rights of consumers.
This Act shall be cited as the “Consumer
Protection Act”
Provision against subjecting
consumers to unfair discrimination
2. Unless otherwise specifically provided
by any other law, consumers shall not
be unfairly discriminated by sellers in
the course of selling of goods or by service
providers in the provision of services.
It shall be an offensive not to sell goods
to any particular party or provide services
to a particular party.
Circumstances in which
goods may be hoarded
3. It shall be prohibited, except under
the circumstances provided below, to hoard
commercial goods in order to prevent its
sale to a buyer.
a) Prohibition of sale of such goods
by law.
b) Being in possession of permission
from the Ministry of Trade and Industries
to temporarily hoard the goods in order
to carry out stock accounting or similar
purposes.
c) Sale of goods in a reasonable quantity
to a buyer on any given occasion.
d) Request to buy goods from a wholesaler
in a quantity lesser than which is offered
by the wholesaler.
Display of prices of
goods
4. Except in respect of goods exempted
by the Ministry of Trade and Industries,
the retail prices shall be affixed to
commercial goods sold in retail, and the
wholesale prices shall be affixed to commercial
goods sold in wholesale. Such prices shall
be affixed to the goods or displayed in
the place where the goods are sold, in
a manner clearly visible to buyers. Goods
shall not be sold to a buyer at a higher
price than which is affixed to the goods
or displayed in such place.
Selling of goods without
any conditions except the requirement
to make payment
5. It shall be prohibited to offer commercial
goods for sale or to sell commercial goods
subject to a condition requiring the purchase
of any other goods or to any other condition
other than the condition that the buyer
shall pay the price of such good. This
section does not prevent the sale items
of same or various descriptions where
packed together by the manufacturer or
supplier of the goods to be so displayed
for their sale, or where a particular
item of goods is available for sale in
a single unit, the sale of such goods
packed together with items of various
other descriptions.
Display of rates and
conditions of services
6. (a) The rates of a service rendered
by a service provider and conditions of
a particular service, where such service
is provided under specific conditions,
shall be displayed in Dhivehi Language,
in a clearly visible manner, at the place
where the service is provided. Or a document
containing such details shall be made
available at the request of the seekers
of such service.
(b) Where a form for request of services
is in foreign language, arrangements shall
be made for the form to be completed in
Dhivehi Language as well.
Control of prices
7. (a) Based upon the availability of
certain commercial goods in the Maldives
or the economic conditions of the country,
where it is found by the Ministry of Trade
and Industries that prices of such goods
be controlled, the Ministry shall have
the discretion to control the price of
those goods and to vary the controlled
price in respect of various regions of
the country taking into account, the costs
involved in the carriage of such goods
to those regions.
(b) Based upon the necessity of a service
given in the Maldives or the economic
condition of the country, where it is
found by the Ministry relevant to such
service that the rates of the service
be controlled, such Ministry shall have
the discretion to control the rates of
the services and to vary the controlled
rates in respect of the various regions
of the country taking into account, the
costs involved in the provision of such
services.
(c) It shall be prohibited to sell goods,
the prices of which have been controlled
under sub-section (a) of this Section
for an amount exceeding the controlled
price, and to provide services, the rates
of which have been controlled under sub-section
(b) of this Section for an amount exceeding
the controlled rates.
Acts prohibited in relation
to sale of goods, provision of services
and their advertisements
8. It shall be prohibited to commit or
cause the commission of the following
acts orally or by visible representation
in relation to the sale of goods; the
delivery of goods for its sale; the provision
of services; or the advertisement of goods
or services.
a) To sell by misrepresentation, goods
other than those requested by the buyer
or to provide by misrepresentation, a
service other than which was requested
by a seeker of service.
b) To falsely state or represent that
goods are of a particular quality, description
or model.
c) To falsely state that services are
of a particular standard.
d) To falsely state or represent that
goods are new or unused.
e) To falsely state or represent that
sellers or service providers have approval
or affiliation to a particular party or
that the goods are manufactured by a certain
party.
f) To falsely state or represent or express
in a manner that could cause a mistaken
belief, that prices of goods or rates
of services have been reduced.
g) To falsely state or express in a manner
that could cause a mistaken belief, the
use of goods or services were available
when they were not.
h) To falsely state or represent or express
in a manner that could cause a mistaken
belief, the benefits available under a
warranty or guarantee of goods.
Communicating defect of goods prior to
sale
9. Where commercial goods are damaged
or not fit for the purpose, the buyer
shall be informed of such defect prior
to the sale of such goods.
Presentation and testing
of goods
10. Where the buyer requests to test
and examine any commercial goods so as
to ascertain if such goods are not damaged
or defective, such goods shall be presented
to the buyer for examination and where
such goods can be subjected to a test,
such test shall be performed in the presence
of the buyer.
Knowing of defect after
buying
11. Where no agreement has been entered
into between the seller and the buyer
as regards dissolution of the transaction
of sale, the buyer shall, upon finding
within 24 hours that the goods bought
were defective and after giving the details
of the defect to the seller, have the
right to reclaim the price of the goods
bought or the same type of goods in exchange
and return the goods.
Display of details and
periods of use of packaged items
12. The type, ingredients, weights, quantity,
date of manufacture, date of expiry and
directions of use, shall be marked in
accordance with the regulations determined
by the Ministry of Trade and Industries
on items of good either imported into
the Maldives or goods manufactured in
the Maldives in packages, cans, bottles
or in boxes.
13. It shall be prohibited to display
goods for sale in a place where such goods
are sold or to sell goods after the expiry
of the period of use of such goods and
to display in places where it is sold,
any goods which have been perished or
contaminated to the extent injurious to
human consumption.
Provision of receipt
14. Every seller who sells any commercial
goods or service provider who provides
any service shall, on demand, issue to
the buyer or service seeker, a receipt
containing the following details.
(1) name, amount and type of the goods
or services.
(2) price of goods or rate of service.
(3) the date on which the goods were
sold or services were provided.
(4) full name and address of the seller
or service provider.
Formulation and enforcement
of regulations
15. (a) All regulations which are required
to be made under this Act shall be formulated
and enforced by a party or parties appointed
by the President.
(b) The relevant Ministries of the Government
shall have the discretion to ensure whether
the sellers and service providers comply
with the provisions of this Act and regulations
made under it.
Penalty
16. (a) the relevant Ministries of the
Government shall have the discretion to
fine a party who commits an offence prescribed
in this Act or who commits an act in default
of a provision of this Act, by an amount
between Rf 500/- and Rf 100,000/- on the
first instance, and by an amount between
Rf 5000/- and Rf 100,000/- where such
offence is repeated.
(b) Where a party having been fined in
accordance with sub-section (a) of this
Section is in default of the period given
for remedying the default, or where an
offence is repeated, the relevant Ministries
of the Government shall have the discretion
to close the establishment for a period
not exceeding sic months or to suspend
the license granted to such establishment
for a period not exceeding six months,
in addition to the imposition of the fine
prescribed in sub-section (a) of this
Section.
Exemption
17. Any sale by auction shall be exempted
from the provisions of this Act.
Definition
18. In this Act:
a) “Service” means any service
rendered for a price.
b) “Commercial” means goods
displayed for the purpose of sale in a
place where such goods are sold
c) “Hoarding of goods” means
the denial of possession of goods while
keeping them in possession, or denial
of sale of goods at prices for which such
goods are generally available for sale
on a commercial basis, or the denial of
sale of commercial goods to desirous buyers
while keeping them in display at a shop
or any other place.
d) “Warranty or guarantee”
means a document issued by the manufacturer
or seller of goods stating that the goods
sold are of a particular quality, or durable
for a certain period, or that the goods
will be replaced or repaired without any
additional charge during the guaranteed
period of durability.
Repeal
19. Upon the coming into force of this
Act, Law No: 57/78 (Law relating to the
hoardings of goods and controlling of
prices of various goods) shall be repealed.
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