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Lowest Bid: Danish Internet Auctions Fail to Observe Marketing Law

Most Internet auctions fail to meet the test in one way or another when it comes to knowing the law. This is the surprising conclusion reached by DCO staffers following an examination of seven major Danish internet auction sites.

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Lack of information about statutory cooling-off rights seems in particular to cause problems still; and the sites’ compliance with the rules in the Danish Sale of Goods Act leaves in many cases a lot to be desired.

The DCO Hagen Jørgensen states:
“The number of problems to deal with amazes me – especially since most Danish Internet auctions are covered by the rules concerning distance selling. In fact this was hammered home already in 2004. Therefore they are required to provide online bidders with cooling-off rights.”

The investigation also caused the DCO to remark and criticise terms and conditions regarding payment, delivery and compensation as well as unsolicited distribution of emails.

A result of media interest and an increasing number of consumer enquiries, the project was launched in 2005 to review the terms and conditions offered in connection with online auctions.

The DCO has notified the individual auctions about the breaches encountered, and he will now keep them under close watch to make sure that the breaches are corrected.

In so far as the breaches are criminal or otherwise unambiguous, i.e. failure to inform about the cooling-off rights, further legal action may be taken.

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