The recent furore over the dubious real estate properties fraudulently sold online or to some extent the E-Creator Ponzi scheme, the Consumer Protection Act [Chapter 14:44] into sharp focus, particularly the question of whether this legislative instrument affords consumers with ample safeguards vis-à-vis e-commerce transactions.
Various online platforms are now the medium on which commercial transactions are concluded, indeed it is common to find e-stores, e-catalogues etc. transacting with the world at large via the said mediums. Whilst the approach is novel, entrepreneurial and a relatively fledgling area for primed for business growth in Zimbabwe, the E-Creator debacle brings sharp focus to the need for stringent regulation of e-commerce from a consumer perspective.
Sections 52- 54 of the Consumer Protection Act [Chapter 14:44] attempts to deal with electronic transactions, regulating the information that should be provided to consumers engaging in electronic transactions, a cooling off period in the event cancellation of the transaction and the prohibition of unsolicited goods, services and communications. Notwithstanding the fact that there may be other consumer protection laws elsewhere, the heading to the aforementioned sections would infer the provisions thereunder provide a holistic and equally robust regimen to deal with electronic transactions. It is this authors considered view that the aforementioned provisions are merely a cursory attempt to regulate electronic transactions which only just but scratches the surface. It is unfathomable that with the burgeoning growth of electronic transactions that sections 52-24 will prove to be adequate and robust. Whilst e-commerce is abstract and difficult to monitor in the same way a physical shop may be, it is opined the Consumer Protection Act [Chapter 14:44] can still go a step further and create a framework to better protect consumers online.
It is suggested that the Consumer Protection Commission established in terms of Section 4 of the Consumer Protection Act [Chapter 14:44] is not sufficiently armed with a mandate to regulate and enforce consumer rights as its core remit pertains to the accreditation of consumer protection advocacy groups. It is suggested there is a role for the Consumer Protection Commission to identify online websites/stores/accounts that are infringing or likely to infringe consumer rights. This would reinforce the core consumer right of the right to education in terms of information relating to product or service on sale.
An advisory body flagging online platforms and websites infringing the Consumer protection laws in particular section 52 of the Consumer Protection Act [Chapter 14:44] would elevate the said legislation but also ensure practical solutions to the implementation and exercise of the consumer laws at a macro level. Better collaborative efforts should be fostered with the conventional law enforcement to clamp down on those who contravene the consumer laws of Zimbabwe hiding behind the thin veil that such transactions are concluded in an abstract medium that is untraceable back to the perpetrator.
It therefore follows that the sections of the Consumer Protection Act [Chapter 14:44] expected to deal with electronic transactions are anything but robust and with the exponential rate at with such transactions are changing the way we do commerce it can only be expected that there may soon be a need for legislative reform in this regard. It should be nigh on impossible that fraudsters and Ponzi schemes find safe haven online long enough to defraud innocent consumers.
In conclusion Zimbabwe’s legislative framework in respect of the protection of consumer law vis-à-vis electronic transactions leaves a lot to be desired. It is short and bereft of any robustness to counter the dynamic, entrepreneurial and innovative space that is ever changing. It follows that there is need for a more robust framework for ably govern the world of electronic/online transactions in Zimbabwe.
Fungai Chimwamurombe is a registered legal practitioner and Senior Partner at Chimwamurombe Legal Practice and can be contacted for feedback at fungai@zenaslegalpractice.com and WhatsApp 0772 997 889. Leon Gona is an Associate and can be contacted on leon@zenaslegalpractice.com
