New consumer legislation governing European trade could make it ‘virtually impossible’ for internet traders to sell outside of the UK, it has been claimed.
The British Retail Consortium (BRC) has expressed concern that proposals, being debated in the European Parliament today, could force internet companies to comply with the legal regimes of all EU member states simultaneously.
Under the proposed ‘Rome 1’ legislation, an internet trader would be obliged to settle any consumer dispute according to the laws of the country from which the product was ordered, not the country from which the trader operates.
“If the law is passed in its current form internet sales across European borders would, at best, be seriously stifled and, at worst, killed off completely, especially for smaller businesses,” said Alisdair Gray, BRC Brussels director
“This would damage both retail entrepreneurs looking to expand and consumers, who have benefited from the increased choice and competition that free and open internet trade has brought so far.”
The BRC has accused the European Commission of creating a ‘disaster in the making’, by not properly assessing the impact of the laws before publishing them.
“We can only hope that the right amendments are made further into the decision making process to ensure Europe’s consumers can continue to choose the goods and services that most suit their needs from across the European Union, and that businesses have the confidence to continue to offer a full range of goods and services to those who want them,” added Gray.
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