CONSUMER PROTECTION ACT("Off. Herald of RS", Nos. 62/2014, 6/2016 - other act and 44/2018 - other act) |
Article 1
In order to protect the position of the consumers this Act regulates the rights and obligations of consumers, instruments and ways of protecting consumer rights, information and improving knowledge of consumers about their rights and how to protect them, the rights and obligations of associations and federations whose area of activity is the realization of the objectives of consumer protection, extrajudicial consumer dispute resolution, rights and obligations of state authorities in the field of consumer protection and other issues of importance for the position and protection of consumers.
Article 2
Basic consumer rights include the right to:
1) Satisfaction of basic needs - availability of most essential goods and services, such as food, clothing, footwear and housing, health care, education and hygiene;
2) Security - protection from goods and services that are dangerous to life, health, property or the environment or goods whose possession or use is prohibited;
3) Awareness - access to accurate data necessary for a reasonable choice of offered goods and services;
4) Choice - a possibility of choice between a number of goods and services at affordable prices and with appropriate quality;
5) Participation - representation of consumers' interests in the process of adoption and implementation of consumer protection policy and the possibility to be represented through associations and federations of associations for consumer protection in the process of adoption and implementation of consumer protection policy;
6) Legal protection - protection of consumer rights in the legally stipulated procedure in the event of violation of their rights and compensation of pecuniary and non-pecuniary damages incurred to them by a merchant;
7) Education - acquisition of basic knowledge and skills necessary for the proper and reliable choice of products and services, as well as knowledge of basic consumer rights and responsibilities and the manner of their implementation;
8) Healthy and sustainable environment - to live and work in an environment that is not harmful to the health and well-being of present and future generations, timely and complete information on the state of the environment.
Article 3
The consumer may not waive the rights established under this Act.
The provisions of a contract that directly or indirectly deny or restrict consumer rights deriving from this Act are null and void.
The nullity of an individual provision of the contract referred to in paragraph 2 of this Article does not involve the nullity of the entire contract if the contract may have legal effect without such provision.
An offer for conclusion of a contract which consumer gives to the merchant does not oblige the consumer to keep his offer.
This Act also applies to the contracts whose purpose or consequence is circumventing the implementation of its provisions.
In interpreting and applying this Act, the position of a consumer as economically weaker party shall be taken into account, especially the position of an endangered consumer.
The act regulating contracts and torts applies to the relationships between the consumer and the merchant which are not regulated by the provisions of this Act.
In defining and implementing measures and activities of state authorities, objectives of consumer protection shall be taken into consideration.
Article 4
Provisions of this Act apply to the relationships of consumers and merchants which are the subject of this Act, unless in case of existence of special provision with the same purpose which regulate the actual relationships which provide a higher level of protection in accordance with the specific regulations or acts.
The provisions of this Act governing consumer protection in the exercise of rights from the distance contracts and contracts concluded away from business premises do not apply to contracts which have been concluded by using vending machines for the sale of goods or services, or in the business premises that are automated, and contracts for the sale of food or drinks in temporary facilities.
The provisions of this Act governing the protection of consumers in exercising rights under the sale contract also apply to contracts for the delivery of goods, which is the subject of production.
The provisions of this Act governing the liability for defective products does not apply to liability for damage caused by nuclear accidents and to liability for damage which is regulated by ratified international treaties.
The provisions of this Act governing the protection of consumers in exercising rights under the contract on tourist travel and timeshare use of real estate also apply to consumer rights under the contract of stay of pupils or students in a family abroad or in other appropriate accommodation, with regular attending the lectures in school or at a university for a duration longer than three months, or with the consent of the contracting parties in a shorter duration, as well as for the purpose of regular attendance at a certain training course.
Provisions of a special Act apply to the issues of protection of users of financial services, i.e. protection of participants in the capital market.
Definitions of Certain Expressions
Article 5
Certain terms used n this Act have the following meanings:
1) The consumer is a natural person that acquires goods or services in the market for purposes which are not intended for his business or other commercial activity;
2) The merchant is a legal or natural person acting in the market as part of its business activity or for other commercial purposes, including other persons acting on his behalf or for his account;
3) The seller is, in terms of the provisions governing the protection of consumers in exercising rights under the contract of sale, and consumer protection in the exercise of rights under service provision contract, the merchant with whom the consumer has concluded a contract on the sale of goods, i.e. provision of services;
4) Organizer of a tourist travel is a merchant who organizes a tourist travel and sells it or offers it for sale directly or through an intermediary in the sale of a tourist travel;
5) Intermediary in the sale of a tourist trip is a merchant who sells or offers for sale a tourist trip made by the organizer;
6) Contract of sale is every contract by which seller transfers or agrees to transfer the title to goods to consumer, and the consumer pays or undertakes to pay the price, including a contract whose subject is the sale of goods and provision of services;
7) Commodity is each bodily movable thing, except the thing which was sold in the procedure of enforcement or otherwise by operation of law, water and natural gas that are not sold in a limited or predetermined quantity, and heat energy;
8) Distance contract is a contract concluded between a merchant and a consumer within organized sale or provision of services remotely without the simultaneous physical presence of the merchant and the consumer, with the exclusive use of one or more means of distance communication up to the moment of conclusion of the contract, including the very moment of conclusion;
9) Means of distance communication is a tool that allows the conclusion of a contract between the merchant and the consumer who are not in the same place at the same time;
10) Digital content means data which are produced and supplied in digital form;
11) Contract concluded, as well as the contract for which the consumer made an offer out of business premises is every contract between a merchant and a consumer concluded away from business premises of the merchant, with the simultaneous physical presence of the merchant and the consumer; contract concluded at the business premises of the merchant or through means of distance communication, and whose conclusion is negotiated away from business premises of the merchant, with the simultaneous physical presence of the merchant and the consumer; contract concluded during a trip organized by the merchant and whose aim or result was the promotion and sale of goods or services to the consumer;
12) Business premises are stationary retail premises wherein the merchant regularly conducts its business, as well as movable retail premises in which the merchant usually carries out its activity;
13) Purchase order is written or electronic message, containing contractual provisions signed by the consumer away from the merchant's business premises with the intention to conclude the contract
14) The product is, in terms of the provisions of this Act which govern unfair business practice, any commodity or service, including immovables, rights and obligations, as well as in terms of the provisions of this Act which govern liability for defective products, a movable thing which is separated or incorporated in other movable or immovable thing, including the energy that has been produced or collected for emitting light, heat or movement;
15) Professional care is increased attention and skill reasonably expected of a merchant in legal transactions when conducting business with consumers, in accordance with good practice and the principle of bona fide;
16) Manufacturer is a person who:
(1) Manufactures or imports finished products, goods, raw materials and components on the territory of the Republic of Serbia for the purpose of sale, rental, lease, or other kinds of transactions;
(2) Presents itself as a manufacturer by putting its name, trademark or some other mark on the goods;
(3) Merchant of the product that does not contain data about the manufacturer if in a given period of time does not inform the injured party of the identity of the manufacturer, i.e. person who supplied the product;
(4) Merchant of imported product that contains information about the manufacturer, but does not contain information about importer.
17) Related contract is a contract under which the consumer acquires the goods or services which are related to the distance contract and the contract concluded outside of the business premises of the merchant or a third party with whom the merchant has an agreement;
18) Public auction is a procedure of selling goods by bidding of consumers, headed by the auctioneer and where consumers attend the sale or are given the opportunity to participate, provided that the auction participant who gives the best bid has the obligation to buy the goods;
19) Business practice is any act or omission of the merchant, the manner of his conducting business or representation and business communication, including advertising, which is directly connected with the promotion, sale or supply of products to consumers;
20) Average consumer is a consumer who is well informed and reasonably careful, taking into account social, cultural and linguistic particularities;
21) Contractual provision is every provision of the contract, including special bargains on whose contents the consumer negotiated or could have negotiated with the merchant, and the general provisions whose content has been previously determined by the merchant or a third party;
22) The damage is, under the provisions of this Act that govern the liability for defective products, the consequence which ensues from death, or bodily harm, as well as consequence which is the result of the destruction or damage of some part of the assets which injured party usually uses for personal needs or consumption;
23) Contract on provision services is each contract that is not a sales contract, according to which the seller provides or undertakes to provide a service to the consumer, such as making or repair of a certain thing, or performance of a certain physical or intellectual work, and the consumer pays or undertakes to pay the price for the service;
24) Service of general economic interest is a service whose quality, conditions of providing, i.e. price, is regulated or controlled by a state authority or other holders of public powers, in particular, due to the high value of the initial investments, limitations of resources necessary for its provision, sustainable development, social solidarity and the need for balanced regional development, in order to meet the general public interest, in particular the electronic communication services, distribution and public supply of electricity, distribution and natural gas supply, distribution and supply of heating energy, potable water supply, drainage and purification of rainwater and waste water, transportation of passengers in public transport, postal services, cleaning, waste disposal, management and maintenance of cemeteries, funeral services, cleaning of areas of public use, maintenance of public green areas and performing of chimney-sweeping operations;
25) Touristic travel (package deal), which generally includes transport, accommodation and other tourist services, is a prepared combination of two or more travel services determined by the merchant, independently or at the request of the consumer, lasting longer than 24 hours or shorter, which includes one overnight stay as well as longer stays which only include accommodation service at specific dates or for a specific duration, regardless of the separate calculation or billing of individual services;
26) Contract on the sharing for the use of immovable property (sharing) is a contract by which the merchant undertakes to surrender the use of one or more immovables to the consumer, two or more times, wherein one might stay overnight, and the consumer undertakes to pay him compensation for that, and is concluded for a period of at least one year, or with the possibility of tacit extension;
27) Contract on a permanent benefits for holiday is a contract which the merchant undertakes to give the consumer a discount or other benefits in respect of holiday accommodation, separately or along with other tourist services, and the consumer undertakes to pay him a compensation, and is concluded for a period of at least one year, or with the possibility of tacit extension;
28) Contract of assistance during resale is a contract by which the merchant undertakes to provide assistance to the consumer when buying or selling shared usage of immovables or permanent benefits for a holiday, and the consumer undertakes to pay him a compensation;
29) Contract on facilitating the exchange of shared usage of immovables is a contract under which the merchant undertakes to involve the consumer in the system of exchange of shared use of immovables, whereby consumers may mutually assign for a certain period the rights under the contract on the shared use of immovables, and the consumer undertakes to pay him compensation for that;
30) Extrajudicial resolution of consumer disputes is a way of resolving disputes between the consumer and the merchant, by mediation or arbitration, in accordance with the acts governing mediation and arbitration, or other way of dispute settlement in accordance with other regulations governing the extrajudicial settlement of disputes;
31) Guarantor is a merchant, whether it is manufacturer, importer, wholesaler or retailer who takes over liabilities towards the consumer on the basis of given guarantee;
32) Technical goods is a complex thing, i.e. device originating from industrial production for long-lasting use (household appliances, computers, phones, motor vehicles, etc.) for whose work electricity, other means of power supply (e.g. battery or accumulator) or the internal combustion engine are required;
33) Code of good business practice is an agreement or set of rules not stipulated by law, secondary legislation or administrative rules, which define the behavior of merchants who accept the obligations contained in the Code in relation to one or more particular commercial practices or business activities;
34) Issuer of the Code of good business practice is a person, including a merchant or group of merchants, who is responsible for the formulation and revision of a Code of good business practice and/or monitoring of the implementation of the Code by those who have committed themselves to it.
II INFORMING OF CONSUMERS AND EDUCATION
Article 6
The merchant shall, unless the Act provides otherwise, in an unambiguous, legible and readily apparent manner, display the selling, i.e. unit price of goods or a service, in accordance with the regulations governing trade.
Article 7
The merchant shall draw up a price list or a fee schedule for services.
The merchant shay display the price list or fee schedule referred to in paragraph 1 in the window, i.e. in the business premises, or elsewhere where he offers the provision of services.
If the merchant offers the provision of services in a special department of the sales facility, the price list or fee schedule may be displayed in that department.
Electric Energy, Natural Gas, Heating and Water
Article 8
A merchant who offers or advertises provision of the service of supply of electricity, natural gas, heating energy or water through a pipeline shall, in an offer or advertisement, clearly indicate:
1) Unit price of consumed electric energy or heating energy;
2) Unit price of used water or natural gas.
The merchant shall, apart from the unit price referred to in paragraph 1 of this Article, clearly display the prices that are not calculated according to the consumed measuring unit, including the price to be paid for connection to the distribution network.
Article 9
The merchant shall display the unit prices of fuel in a way that allows a person who drives a motor vehicle in the direction of the gas station to easily and timely see the prices.
The merchant that offers space for parking of motor vehicles, i.e. lease of parking spaces in garages shall, at the entrance, display the price list which allows a person who operates a motor vehicle in the direction of the parking lot, to easily and timely see the prices and the number of vacancies.
Eateries and Lodging Establishments
Article 10
The merchant shall, in an eatery serving food and drinks on tables, display or hand out the price list to each consumer before receiving the order, and at the request of the consumer, even when paying.
The merchant shall also display the price list of food and beverages at the entrance of the eatery referred to in paragraph 1 of this Article.
The merchant shall, in a lodging establishment (hotel, motel, tourist resort, camp, guest house, hostel, hostel, bed and breakfast, boarding house, house, apartment, room, etc.) display:
1) Selling price of accommodation, full board and half board, and the amount of the residence fee in a conspicuous place in each room and at the front desk;
2) Sale price of food and drinks in the price lists which must be available to consumers in sufficient copies and in places where consumers are served.
If the use of means of distance communication is provided for in the establishments referred to in paras. 1 and 3 of this Article, the merchant shall display the price of use next to such means of communication as per unit of time or the selling price of one usage.
Prices for services provided under paras. 1, 2, 3 and 4 of this Article include the fees for services rendered and additional costs.
Article 11*
(Repealed)
Article 12
The merchant shall issue a bill to a consumer for the purchased goods or services.
The bill referred to in paragraph 1 of this Article shall include in particular the following:
1) Name or business name, address and information relevant for determining the identity of the merchant;
2) Data on the sold goods or service provided;
3) Selling price;
4) Date of issue of the bill;
5) Specification of the sales price referred to in Article 76, paragraph 3 of this Act.
The merchant shall comply with the displayed price and conditions of sale.
It is prohibited to charge the issue and delivery of the bill to the consumer.
It is prohibited to charge the issue and delivery of a warning to the consumer in order to collect overdue monetary claims.
The bill referred to in paragraph 1 of this Article also contains other information in accordance with special regulations.
Duty of Notification prior to the Conclusion of the Contract
Article 13
The merchant shall, prior to the conclusion of the contract of sale of goods or services, in a clear and understandable way in the Serbian language, and in the language and alphabet of a national minority, in accordance with the law, notify the consumer about the following:
1) Basic characteristics of the goods or services;
2) Business name, identification number, address of the seat, and the phone number;
3) Selling price or the manner in which the selling price shall be calculated if the nature of the goods or service renders the calculation of the price in advance impossible, as well as about any additional postage fees and costs of transport and delivery and the possibility that these costs may be put at the consumer’s expense;
4) Method of payment, manner and deadline of delivery, manner of execution of other contractual obligations;
5) Existence of legal liability for non-conformity of goods or service with the contract;
6) Manner of lodging a complaint to the seller, and in particular about the place of acceptance and methods of acting of the merchant upon complaints, as well as about the conditions relating to the exercise of the rights of consumers on the basis of conformity;
7) At the occasion of the offer and sale of technical goods, about the availability of spare parts, connecting devices and similar parts, technical service, i.e. maintenance and repairs during and after the expiry of the period in which the merchant is liable for the lack of conformity with the contract, i.e. after termination of the production and import of goods;
8) Conditions for termination of the contract, if it is concluded for an indefinite period or if it is extended automatically.
Depending on the circumstances of the case and the type of goods or service, the merchant shall, prior to the conclusion of the contract, also inform consumers about:
1) Duration of the contract;
2) Minimum duration of the contractual obligations;
3) Functionality, including the measures of technical protection of digital content;
4) The relevant interoperability of digital content with the hardware and software of which the merchant is aware or may be reasonably expected to have been aware;
5) Existence and terms of after-sales services and guarantees.
The merchant is not obliged to inform the consumer of the information referred to in paras. 1 and 2 of this Article, if those details apparently arise from the circumstances of the conclusion of the contract.
In the case of public auction, the merchant may, instead of the notice on the data referred to in paragraph 1, item 2) of this Article, inform the consumer about the address and the data that are relevant for determining the identity of the auctioneer.
If the merchant and the consumer conclude a contract, data from paras. 1 and 2 of this Article become its integral part.
The burden of proof of execution of obligation to inform the consumer of the information referred to in paras. 1 and 2 of this Article is borne by the merchant.
If at the occasion of the conclusion of the contract, the merchant fails to comply with the obligation of notification from paras. 1 and 2 of this Article, the consumer may request annulment of the contract, regardless of whether the merchant had the intention to influence the consumer to conclude the contract by omitting the mentioned notification. The right to request the annulment of the contract terminates upon the expiry of one year from the day of conclusion of the contract.
The provisions of paras. 1 and 2 of this Article also apply to contracts for the supply of water, natural gas or electricity when they are not offered for sale in a limited or predetermined amount, to the contracts for the supply of heating energy and to the delivery of digital content which is not supplied on a durable medium.
Article 14
The consumer is not obliged to pay any kind of additional costs, including postage costs and costs of transport and delivery, if the merchant has not obtained the express consent of the consumer for the specific additional costs in addition to the agreed fee for the main contractual obligation of the merchant.
The merchant shall obtain the consent of the consumer referred to in paragraph 1 of this Article before the consumer is bound by the contract or offer.
If the merchant has not obtained the express consent of the consumer for additional costs, but has informed him by implicit option which requires the consumer to reject it in order to avoid their payment, the consumer is not obliged to pay the compensation to the merchant for additional costs. If the consumer has already paid the additional costs, he is entitled to a refund.
Payment of Pecuniary Obligation
Article 15
Pecuniary obligation that the consumer pays through a bank, public postal operator or another person, who, in accordance with the law, provides payment services, is deemed as settled on the day when the bank, the public postal operator or other person who, in accordance with the law, provides payment services, received payment order of the consumer.
Education and Information of Consumers Conducted by Associations and Federations
Article 16
Associations and Federations for Consumer Protection (hereinafter: Associations and Federations) provide and carry out education and information of consumers, in an independent and objective manner, which may not contain any form of advertising.
The curriculum of elementary and high schools should include education of pupils attending elementary and high schools on the basic principles of consumer protection, as well as the rights and obligations of consumers.
The ministry responsible for consumer protection (hereinafter: Ministry) and registered Associations and Federations referred to in Article 132 of this Act cooperate with elementary and high schools in order to educate pupils about consumer rights and responsibilities.
Prohibition of Unfair Business Practices
Article 17
Unfair business practices are prohibited.
The merchant bears the burden of proving that it has not carried out an unfair business practice.
Notion of Unfair Business Practices
Article 18
A business practice is unfair if:
1) It is contrary to the requirements of the professional care;
2) Substantially disrupts or threatens to significantly disrupt the economic behavior, with regard to the product, of the average consumer to whom the business practice relates to, or to which he is exposed to, i.e. behavior of an average member of a group, when the business practice refers to a group of consumers.
The merchant substantially disrupts the economic behavior of the consumer if, through its business practices it significantly reduces the ability of the consumer to achieve the required level of awareness for decision-making, resulting in the consumer’s economic decision which he would not otherwise make.
The economic decisions of the consumer, in terms of paragraph 2 of this Article, is a decision on whether, how and under what conditions he shall buy a product, pay the price paid in whole or in part, whether to keep or return the product, or to exercise some other right in connection with the product that he is entitled to under the contract, whether to do something or to abstain from any action (hereinafter referred to as: Economic Decision).
A commercial practice which threatens to significantly disrupt the economic behavior of a clearly defined group of consumers, who, because of their mental or physical weakness, age or naivety are particularly sensitive to this type of business practice or to a given product, provided that the merchant could reasonably be expected to foresee that, is assessed according to the average consumer of that consumer group.
The provisions of paragraph 4 of this Article do not refer to the cases of customary and permissible advertising that involves making statements that should not be taken literally.
Deceptive business practice and intrusive business practices in particular are deemed as unfair.
Article 19
Deceptive business practice, in terms of this Act, is deemed to be a business practice of the merchant which causes or threatens to cause the consumer to make an economic decision that he would not otherwise make, by giving him false information or by creating a general impression or otherwise, even if notices that are given are accurate, which leads or threatens to lead the average consumer into misapprehension as regards to the:
1) Existence or nature of the product;
2) Basic features of the product, such as features that relate to the availability, benefits, risks, manner of production, use, accessories accompanying the product, assistance provided to consumers after the sale and actions after their complaints, method and date of manufacture or provision of service, delivery, fitness for usage, manner of usage, quantity, specification, country of manufacture and country of origin of the trade mark, expected results of usage or results of conducted tests or checks of the product;
3) Obligation of the merchant and the volume of the obligations, reasons for a specific market conduct and its nature, marking or indication of the person which indirectly or directly supports or recommends the merchant or the product;
4) Price or manner in which the price is calculated, or existence of certain benefits in terms of the price;
5) Need for servicing, parts, replacement or repair;
6) Position, features or rights of the merchant or its representative relating to its identity or property, qualification and status, membership or affiliation, property rights, intellectual property rights and consents they possess, prizes or awards they have received;
7) Consumer rights, including the right to replace the goods or refund the money as referred to in Article 52 of this Act, or the risks to which he may be exposed.
Deceptive business practice exists if the merchant, taking into account all the circumstances of the individual case, causes or threatens to cause the average consumer to make an economic decision that he would not otherwise make, by:
1) Advertising a product, including comparative advertising, in a confusing manner that makes it difficult to distinguish the product from the other products, trademarks, names of other products, or indication of another merchant;
2) Violating the provisions of the code of good business practice which it adopted if these provisions are binding on the merchant and verifiable and if the merchant pointed out in its business practices that it is bound by such a code.
Omission which Misleads Consumers
Article 20
Deceptive business practice exists when a merchant by failing to act, taking into account all the circumstances of the case, the spatial and temporal limitations of used means of communication and additional measures undertaken with the aim of informing consumers:
1) Withholds important information which are needed by an average consumer for an adequate level of awareness in decision-making, which leads or threatens to lead him into making an economic decision that he would not otherwise have made;
2) Hides important information or provides important information in untimely manner or in an unclear, unintelligible or ambiguous manner or when it fails to display the business purpose of his address to consumers, which leads or threatens to lead an average consumer into making an economic decision that he would not otherwise have made.
Invitation to bid and notification about characteristics and price, unless something else arises from the circumstances of the case, shall include the following relevant information:
1) Basic characteristics of the product to the extent which corresponds to a given product and the used means of communication;
2) Name and address of the merchant and, where appropriate, name and address of the merchant on whose behalf it operates;
3) Price that includes the tax and other charges and additional costs, transportation costs, postage and delivery costs;
4) Rules about payment, delivery and fulfillment of contractual obligations and manner in which the complaints of the consumer are handled, if the rules depart from the requirements of professional diligence;
5) Notification of the right to withdraw from the contract.
Notwithstanding paragraph 2, item 3) of this Article, if, due to the properties of the product, the price or additional costs may not be calculated in advance, the merchant shall submit data to consumer, on the basis of which the price or the additional costs are calculated.
Forms of Business Practice Deemed to be Deceptive
Article 21
Following are the forms of business practice that, regardless of the circumstances of the individual case, are considered to be deceptive business practice:
1) Untruthful assertion that the merchant is signatory to a code of good business practice, but it really is not, i.e. that it acts in accordance with certain code of good business practice;
2) Unauthorized emphasizing of a quality mark, a sign of trust or a similar mark by the merchant;
3) Untruthful assertion of the merchant that the certain code of good business practice is approved by a national authority or certain organization;
4) Untruthful assertion of the merchant that his business practice or sale products approves, supports or assists certain state authority or certain organization or a true statement of the same content in case that the merchant does not comply with the conditions under which he was given approval, support or assistance;
5) Call from the merchant to the consumer to make an offer for the purchase of a product at a certain price, if the merchant conceals the existence of reasonable grounds for suspicion that he will be able to deliver that product or equipment or to hire another merchant to deliver the product at a specified price, in the quantity and within the period that could be expected given the type of the product, the volume of advertising and the offered price;
6) Call from the merchant to the consumer to make an offer for the purchase of some product at a certain price, if the merchant, intending to encourage the consumer to purchase some other product, refuses to show the product to the consumer to which the advertisement relates, or refuses to accept the order or to deliver the product within a reasonable time, or shows the consumer a damaged sample of the product to which the advertisement relates;
7) Untruthful assertion of the merchant that the product will be available within a short term or that it will be available within a short period of time under certain conditions, in order to lead the consumer into making a decision to purchase without delay, i.e. to deny him the opportunity or time needed for an adequate level of awareness in the decision making;
8) Failure of the merchant to inform the consumer, before he accepts the offer, in a clear way that after the sale he will provide him with ancillary services in a language that is not in official use in the Republic of Serbia;
9) False assertion of the merchant, or creation of false impression that a particular product is on the market in accordance with the applicable regulations;
10) Representing that the rights that are guaranteed to the consumer by law are a special advantage offered to the consumer by the merchant;
11) Use of editorial space in the media to advertise a product, i.e. failure of the merchant to stress using sound or picture that the content of an ad is a paid advertising, and not the content backed by the editorial board;
12) False statement by the merchant about the nature and significance of the risk the consumer exposes himself or his family if he does not buy a particular product;
13) Advertising of a product by the merchant which mimics a product of another merchant and which deliberately misleads the consumer to the conclusion that both products are produced by the same merchant;
14) Creation, management or advertising by the merchant of a system of sale of a products in which the consumer pays a fee for the ability to achieve income that does not depend on the success of the sale of a certain product, but from the participation of other consumers in that system of sale (pyramid scheme);
15) False assertion by the merchant that he ceases operating or moves to another business premises;
16) Merchant’s assertion that a particular product increases the chance of winning in games of chance;
17) False assertion of the merchant that a particular product cures certain disease, disorder or malformation;
18) Providing incorrect information about market conditions or the possibility of purchase of a particular product on the market in order to lead the consumer into acquiring the product under conditions which are less favorable than normal market conditions;
19) Claim that a prize contest is announced or a promotional game, if, after that, the promised prize or adequate substitute is not awarded;
20) Describing the product with such terms as gratis, free, free of charge, or with other terms of similar meaning, if the consumer is obliged to bear any costs other than the unavoidable costs related to business practices and takeover, i.e. product delivery;
21) Placing the invoice or similar document which requires payment in advertising material, which creates a false impression with the consumer that he has already ordered the advertised product;
22) False statement or creation of a false impression that the merchant is not acting in the scope of its business activity, profession or trade, or pretending to be a consumer (presentation as a consumer);
23) Creating a false impression with the consumer that after the sale of a particular product support services are also available on the territory of another country other than where the product was sold.
Article 22
Intrusive business practice exists if, taking into account all the circumstances of the individual case, a merchant by harassment, coercion, including physical coercion or unpermitted influence, disrupts or threatens to disrupt the freedom of choice or behavior of the average consumer in relation to a certain product and thus leads or threatens to lead the consumer to make an economic decision that he would not otherwise make.
Unpermitted influence, in terms of this Act, is the abuse of a position of power in order to exert pressure on the consumer in a way which significantly limits the ability to achieve an appropriate level of awareness in decision-making, regardless of whether physical force is used or its usage is announced as a possibility.
Following are the criteria for determining the existence of intrusive business practice:
1) Time, place, nature and duration of intrusive business practices;
2) Use of threatening or offending language or behavior;
3) Fact that the merchant knowingly, with intent to influence the consumer's decision with regard to the product, uses an accident which happened to consumer or difficult circumstances in which the consumer is, which affect his ability for judgment;
4) Heavy or disproportionate non-contractual barrier that the merchant imposes on the consumer who wants to exercise his contractual right, including the right to terminate or annul the contract or choose another product or another merchant;
5) Threat from the merchant that he will undertake a specific action against the consumer that is not in accordance with the law.
Forms of Business Practices Considered Intrusive
Article 23
Following are the forms of business practices that, regardless of the circumstances of the individual case, are considered to be intrusive business practices:
1) Creating an impression in the consumer that he may not leave the premises until he concludes the contract;
2) Visit to the consumer, in his residential space, without his prior consent, i.e. contrary to the request to leave or not to return, except for the reason of exercising the receivable under the contracts;
3) Addressing the consumer a number of times, against his will, by phone, fax, electronic mail or by other means of electronic communication, except for the reason of exercising the receivable from the contract;
4) Requirement that the consumer who intends to exercise his rights under the insurance policy, provides documents that may not be regarded as significant for the assessment of the merits of his claim or persistent refusal to respond to the request of the consumer, in order to deter the realization of his contractual rights;
5) Direct stimulation of children through ads to buy or influence the parents or other adults, to buy for them a product that is the subject of advertising;
6) Request from the consumer to pay, return or keep the product whose delivery he has not sought;
7) Explicitly informing the consumer that the business or existence of the merchant shall be compromised if the consumer fails to buy the specific product;
8) Creating a wrong impression with the consumer that he won or that by taking certain actions he shall win a prize or other benefit when the reward or benefit does not exist or if taking any action in order to win the prize or benefit is conditioned by consumer's paying of a certain sum of money or bearing certain costs.
Article 24
It is forbidden to sell, serve and give away alcoholic beverages, including beer, i.e. tobacco products and pyrotechnic devices, to persons under 18 years of age.
In case of doubt that the consumer is a person under 18 years of age, the merchant is not obliged to sell or serve an alcoholic beverage, beer, i.e. tobacco product or pyrotechnic devices, until the consumer enables the merchant to inspect a valid identity card, passport or driver's license.
Code of Good Business Practices
Article 25
Merchants or a group of merchants, who joined a certain code of good business practices, are responsible and control the observance of the rules of that code.
The Ministry encourages merchants or a group of merchants who joined a certain code of good business practices, to control the appearance of unfair business practices of merchants or of a group of merchants who have joined that code.
The Ministry encourages merchants or a group of merchants who joined a certain code of good business practice, to inform the consumers of the existence and content of that code.
Presentation of Goods, Accurate Measurement and Display of Sales Incentives
Article 26
It is forbidden to refuse to sell to the consumer the displayed goods or goods that are otherwise prepared for sale, or to refuse to provide a service that may be provided, if that is not in conflict with another regulation and business practice.
It is forbidden the condition the sale of goods or provision of services by selling other goods or the providing other service.
The merchant shall provide the goods to the consumer in the accurate measurement or quantity, and to enable him to check that accuracy.
If the merchant is offering special sales incentives during the purchase of goods and services, in accordance with the act that governs trade, he shall clearly and conspicuously display them, specify the conditions for their realization, and to abide them.
IV PROTECTION OF CONSUMERS IN EXERCISING RIGHTS UNDER DISTANCE CONTRACTS AND CONTRACTS CONCLUDED AWAY FROM BUSINESS PREMISES
1. Informing Consumers and Right to Withdraw
Duty to Notify under Distance Contracts and Contracts Concluded Away from Business Premises
Article 27
The merchant shall, prior to the conclusion of a distance contract, i.e. off-premises contract, in addition to the data referred to in Article 13 of this Act, in a clear and understandable way notify the consumer about:
1) The address where it operates, if not operating at the address where his seat or place of residence is located, and the address, fax number and e-mail address of the merchant on whose behalf it acts to which the consumer may file a complaint;
2) The selling price, which includes the total costs for the billing period in the case of a contract of indefinite duration or a contract that includes a subscription; where such contracts prescribe payment of a fixed amount, the sale price includes the total monthly costs; where the total costs may not be reliably calculated in advance, the way in which the sales price shall be calculated is notified;
3) The cost of usage of means of distance communication for conclusion of the contract where such cost is calculated on the basis that differs from the basic price list;
4) The conditions, time period, and procedure for exercising the right of withdrawal from contract in accordance with Article 28 of this Act;
5) The obligation to pay to the merchant reasonable costs in accordance with Article 35, paragraph 3 of this Act, if the consumer is exercising the right to withdraw from the contract after having submitted a request in accordance with Article 28, paragraph 2 and Article 29 of this Act;
6) When the right to withdraw from the contract has not been provided in accordance with Article 37 of this Act, about the information that the consumer is not entitled to exercise the right of withdraw or, where applicable, about the circumstances under which the consumer loses the right to withdraw from the contract;
7) The existence of its contractual relationship with the postal operator through which the consumer may, in the case of a complaint for lack of conformity, to send the goods at the expense of the merchant.
Depending on the circumstances of the individual case and the type of goods, the merchant shall also inform the consumer about:
1) The duty of the consumer to bear the costs of return of goods in case of withdrawal from the contract and, in case of distance contracts, if the goods due to their characteristics may not be returned by post, the costs of returning the goods;
2) The existence of the applicable codes of good business practices and the manner in which the right to inspect the content of the codes may be attained, where applicable;
3) Minimum duration of the contractual obligations of the consumer in accordance with the contract;
4) Existence and terms for giving deposits or other financial guarantees which the consumer at the request of the merchants need to pay or deliver;
5) The possibility of access to extrajudicial mechanisms for resolving disputes which the merchant accepts in advance, and the modes of access.
The provisions of paras. 1 and 2 of this Article are also applicable to the contracts for the supply of water, natural gas or electricity, when these are not offered for sale in a limited or predetermined quantity, or to contracts for the supply of heating or the delivery of digital content which is not supplied on a durable medium.
In the case of public auction, data about the merchant under Article 13, paragraph 1, item 1) of this Act and paragraph 1 item 1) of this Article may be replaced by equivalent data about the auctioneer.
Data from paragraph 1 items 4) and 5) and paragraph 2, item 1) of this Article may be submitted via the form under Article 28 of this Act.
The merchant shall, prior to the conclusion of the contract for the provision of distance financial services, in a clear and understandable manner, notify the consumer, about:
1) The basic features of the financial service;
2) The selling price of the financial services including taxes, charges, costs and fees, i.e. about the manner of calculating the price, if the sales price of the financial service is not expressed;
3) Special risks relating to a certain financial instrument;
4) The period in which the provided information is applicable;
5) Method of payment.
If the merchant does not fulfill the obligation of notification about the additional costs as referred to in Article 13, item 3) of this Act and paragraph 2, item 1) of this Article, the consumer is not required to bear these costs.
The merchant shall provide the consumer the data referred to in paras. 1, 2 and 6 of this Article in Serbian language.
Data from paras. 1, 2 and 6 of this Article represent an integral part of the distance contract or contract concluded away from business premises.
The merchant bears the burden of proof of fulfillment of obligations under paras. 1, 2 and 6 of this Article and Arts. 30 and 31 of this Act.
Consumer's Right to Withdraw from the Contract
Article 28
The consumer has the right to withdraw from the distance contract, i.e. contract concluded away from business premises within 14 days, without giving reasons and without additional costs, except the costs referred to in Art. 34 and 35 of this Act (hereinafter referred to as: withdrawal from the contract).
The consumer exercises the right to withdraw from the contract with a statement, which he may provide on a special form for withdrawal from the distance contract, i.e. contract concluded away from business premises or in some other unambiguous way (hereinafter referred to as: the withdrawal form).
Statement on withdrawal from the contract in case of the distance contract and the contract concluded away from business premises is deemed timely if it is sent to the merchant within the period referred to in paragraph 1 of this Article.
The statement on withdrawal from the contract renders legal effect as of the day on which it was sent to the merchant.
If the merchant allows the consumer to electronically fill in and send the form for withdrawal, he shall notify him about the reception of the form without delay, in writing or in some other durable medium.
Consumer’s right to withdraw from the contract ceases upon expiry of the period referred to in Article 29 of this Act.
In order to exercise the right of withdrawal from the contract the consumer bears the burden of proving that he acted in accordance with the provisions of paras. 1-5 of this Article.
The form and content of the form for withdrawal is set by the minister responsible for consumer protection (hereinafter: the Minister).
Calculation of Deadlines for Consumer’s Withdrawal from Contract
Article 29**
In the service provision contracts, the period of 14 days is counted from the moment of conclusion of the contract between the consumer and the merchant.
In the contract on sale of goods, the time limit of 14 days is counted from the moment when the goods get into the possession of the consumer, i.e. of a third party designated by the consumer, and which is not the carrier.
When a consumer, using one purchase order, orders multiple types of goods which are delivered separately, the time limit of 14 days begins to run when the last type of ordered goods get into the possession of the consumer, i.e. a third party designated by the consumer, and which is not a carrier.
When delivery of the goods consists of multiple shipments and parts, a deadline of 14 days begins to run when the last delivery or a part of it, got into the possession of the consumer, i.e. a third party designated by the consumer, and which is not a carrier.
When the contract is concluded for an indefinite period with periodic deliveries of goods, the time limit of 14 days begins to run when the first delivery of goods gets into the possession of the consumer, i.e. a third party designated by the consumer, and which is not a carrier.
If the merchant fails to deliver to the consumer a notice under Article 27, paragraph 1, item 4) of this Act, in the manner referred to in Article 30, paragraph 1 of this Act and Article 31, paragraph 2 of this Act, the consumer may withdraw from the contract within a term of 12 months from the day of expiry of the deadline for withdrawal from the contract.
If the merchant failed to deliver to the consumer the notice referred to in Article 27, paragraph 1, item 4) of this Act, in the manner referred to in Article 30, paragraph 1 of this Act and Article 31, paragraph 2 of this Act, but delivers it within 12 months from the day of the conclusion of the contract, the time limit of 14 days begins to run when the consumer receives a form for withdrawal.
Deadline from paras. 1 through 7 of this Article expires at the end of the last hour of the last day of the deadline.
Formal Conditions for the Conclusion of the Contract Away From Business Premises
Article 30
The merchant shall, at the moment of conclusion of the contract, and the latest on delivery of the goods, hand over to the consumer in writing:
1) The withdrawal form;
2) Clearly and understandable notification referred to in Article 27, paras. 1 and 2 of this Act in Serbian language;
3) A copy of the signed contract.
The merchant shall obtain prior consent of the consumer if the delivery of digital content is not done on a durable medium, as well as confirmation of the consumer that he knows that with such a delivery he loses the right to withdraw from the contract.
A merchant may fulfill the obligation under paragraph 1 of this Article on a durable medium, if the consumer agrees with that.
When a consumer demands that the provision of services or the supply of water, natural gas or electricity, when they are not offered for sale in a limited or predetermined quantity, or when the delivery of heating energy starts during the term for withdrawal from the contract referred to in Article 29 of this Act, the merchant shall demand that the consumer submits such an express request on a durable medium.
Formal Conditions for Conclusion of a Distance Contract
Article 31
If a merchant calls a consumer by phone with the intent to conclude a distance contract, he shall, immediately after the start of the conversation, present his identity, as well as that the call has been made for commercial purposes.
The merchant shall, within a reasonable time after the conclusion of the contract, and no later than at the time of delivery of goods or beginning of provision of the service, deliver to the consumer on a durable medium:
1) The withdrawal form;
2) Clear and understandable notification referred to in Article 27, paras. 1 and 2 of this Act in Serbian language;
3) Contract or legal instrument containing about the contract.
The merchant shall obtain the prior express consent of the consumer, if the delivery of the digital content is not done on a durable medium, and the consumer’s confirmation that he knows that with such delivery he loses the right to withdraw from the contract.
If a distance contract, which should be concluded electronically, stipulates the obligation of the consumer to make a payment, the merchant communicates to the consumer in a clear and legible way the notifications referred to in Article 13, paragraph 1, item 1) and paragraph 2, item 1) of this Act and Article 27, paragraph 1, item 1) and paragraph 2, item 3) of this Act, and immediately before the consumer submits his purchase order.
If by sending a purchase order payment obligation is simultaneously accepted, this must be a clearly indicated in the purchase order form, i.e. on a push button or some other similar instrument, if sending of the purchase order is done by its activation.
If the merchant fails to comply with the obligation referred to in paragraph 5 of this Article, the contract or the purchase order is not binding on the consumer.
On the retail web sites, no later than at the beginning of the ordering procedure, the information about the existence of restrictions on the delivery, and which means of payments are acceptable shall be clearly and legibly indicated.
When a consumer demands that the provision of services or the supply of water, natural gas or electricity, when they are not offered for sale in limited or predetermined amount, or the supply of heating energy, begins during the period referred to in Article 29 of this Act, the merchant shall demand that the consumer submits an express demand for the conclusion of the contract.
Article 32
The merchant shall, within a term of 30 days from the day of the conclusion of the distance contract and the contract concluded away from business premises, perform a service or delivery of the goods, unless something else has been agreed.
The merchant shall inform the consumer without delay that the delivery of the contracted goods or provision of contracted service is not possible.
The provisions of this Article do not apply to contracts whose subject is financial service.
Legal Consequences of Withdrawal from the Contract
Article 33
If the consumer executes the right to withdrawal from the contract in accordance with Article 28 of this Act, it is considered that the contract has not been concluded in the first place and the obligations prescribed by article 34 and 35 of this Act arise.
Obligations of the Merchant in Case of Withdrawal from the Contract
Article 34
The merchant shall immediately the return received payments from the consumer, including delivery costs, at the latest within 14 days of the day when he received the withdrawal form.
The merchant makes reimbursement using the same means of payment that the consumer used in the original transaction, unless the consumer has expressly consented to the use of other means of payment and provided that the consumer because of such refund does not bear any costs. Notwithstanding paragraph 1 of this Article, the merchant is not obliged to refund the additional costs that are the result of the express request of the consumer for the delivery which deviates from the cheapest common delivery offered by the merchant.
The merchant may delay funds refund until it receives returned goods, or until the consumer provides evidence that he has sent the goods to the merchant, depends on what occurs first, unless in the case where the merchant offered to take over the goods on his own.
A merchant, at his own expense, takes over the goods that have been delivered to the consumer in his house at the moment of the conclusion of the contracts away from business premises, if the goods by its nature may not be returned in the usual way via the postal operator.
Obligations of the Consumer in Case of Withdrawal from the Contract
Article 35
The consumer shall return the goods to the merchant or to the person authorized by the merchant, without delay, and no later than 14 days from the day when he sent the withdrawal form.
It shall be considered that the goods have been returned within the deadline, if the consumer sent the goods before the expiration of the term of 14 days referred to in paragraph 1 of this Article.
The consumer bears only direct costs of goods return, unless the merchant has agreed to bear them or unless he has previously informed the consumer that the consumer is under obligation to pay them.
The consumer is solely responsible for the diminished value of the goods which arise as a result of goods’ handling in a way that is not adequate, i.e. goes beyond what is necessary in order to determine the nature, characteristics and functionality of goods.
The consumer shall not be liable for diminished value of goods in case where the merchant has not provided him with a notification of the right to withdraw from the contract in accordance with Article 27, paragraph 1, item 4) of this Act.
When the consumer exercises right to withdraw from the contract after submitting the request in accordance with Article 30, paragraph 4, or Article 31, paragraph 8 of this Act, he shall pay to the merchant the amount that is commensurate with the provided services to the moment when the consumer has informed the merchant of the exercise of the right to withdrawal from the contract.
The proportionate amount that the consumer shall pay to the merchant is calculated on the basis of the sales price agreed by contract, which may not be higher than the market value of what has been delivered.
The consumer does not bear the costs of:
1) The provided service or supply of water, natural gas or electricity when they are not offered for sale in a limited or predetermined quantity, or complete or partial heat supply during the term for withdrawal when:
(1) The merchant has not submitted a notification in accordance with Article 27 Paragraph 1 items 4) and 5) of this Act; or
(2) The consumer has not expressly requested to start of performance during the deadline for withdrawal from the contract, in accordance with Article 30, paragraph 4, or Article 31, paragraph 8 of this Act;
2) The delivery of digital content, in whole or in part, which has not been delivered on a durable medium when:
(1) The consumer has not given prior express consent for the start of performance before the expiration of the term of 14 days;
(2) The consumer has not confirmed that he knows that, by giving consent, he loses the right to withdraw from the contract; or
(3) The merchant did not deliver the confirmation in accordance with Article 30, paragraph 2 or Article 31, paragraph 3 of this Act.
Except as provided in cases under this Article, the consumer does not bear any liability as a result of exercising the right to withdraw from the contract.
Consequences of Exercising the Right of Withdrawal from Contract to Related Contracts
Article 36
In the event that the consumer exercises the right to withdraw from the contract, the legal effect of related contracts ceases, without any cost to the consumer, costs referred to in Art. 34 and 35 of this Act.
The provisions of paragraph 1 also relate to the loan agreement which is associated with the consumer contract, regardless of whether the consumer's loan has been approved by the merchant or a third party.
If a third party approved the loan to the consumer to finance the obligations from a certain contract with the merchant:
1) The merchant shall notify the creditor about the withdrawal from the contract;
2) The creditor shall, without delay, return to the consumer the amount paid by the consumer until the withdrawal from the contract with interest, and no later than 30 days from the day when has been informed of the withdrawal from the contract.
Exceptions from the Right to Withdraw from the Contract
Article 37**
The consumer has no right to withdraw from the contract in case of the following:
1) Provision of services, after the service is fully performed if the provision of the service started after the explicit prior consent of the consumer and with his confirmation that he knows that he loses the right to withdraw from the contract when the merchant fully fulfills the contract;
2) Delivery of goods or providing services whose price depends on changes in the financial market which the merchant cannot influence and which may occur during the withdrawal term;
3) Delivery of the goods manufactured according to special requirements of the consumer or clearly personalized;
4) Delivery of the goods which is susceptible to deterioration of the quality or has a short shelf life;
5) Delivery of sealed goods which may not be returned due to health protection or hygiene reasons and which is unsealed after delivery;
6) Delivery of goods, which after delivery, because of its nature, inseparably mixes with other goods;
7) Delivery of alcoholic drinks whose price is agreed at the time of conclusion of the sale contract and whose delivery can be made only after 30 days from the day of conclusion of the contract, and whose actual price depends on price changes in the market, which the merchant cannot influence;
8) Contracts whereby the consumer explicitly demands a visit by the merchant in order to carry out emergency repairs or maintenance; if during this visit, the merchant provides other services in addition to those that the consumer has specifically requested or delivers other goods other than replacement parts that are necessary for maintenance or repair, the right to withdraw from the contract relates to these additional services or goods;
9) Supply of sealed audio, video recordings or computer software which were unsealed after delivery;
10) Supply of newspapers, periodicals or magazines except for subscription contracts for delivery of these publications;
11) Contracts concluded at a public auction;
12) Provision of accommodation other than for residential purpose, transport of goods, car rental services, services of preparing and delivering food or services related to leisure activities if the contract provides for a specific term or period for performance;
13) Supply of digital content which has not been supplied on a durable medium if the performance started after the prior express consent of the consumer and his confirmation of knowing that in that way he loses the right to withdraw from the contract.
2. Restriction of Use of Certain Means of Distance Communication
Article 38
It is prohibited to directly advertise by phone, fax or e-mail, without the prior consent of the consumer.
It is prohibited to directly advertise using other means of distance communication, without the prior consent of the consumer.
If the consumer has expressly agreed to advertising by phone, fax, e-mail or other means of distance communication, the merchant shall, before getting into advertising of certain goods or service, in a clear and unequivocal manner, in Serbian language, inform the consumer about the commercial purpose of the activity.
Sending of Unordered Shipments
Article 39
It is prohibited to send the goods or provide services to the consumer with a request for payment of goods or services which the consumer has not ordered.
If, in the case referred to in paragraph 1 of this Article, the consumer does not make a statement about the goods that have been delivered or the service that has been provided, it is not considered that he has accepted the offer.
By sending goods or providing services which the consumer has not ordered, no obligation for the consumer may arise, and the consumer is entitled to keep the goods sent without the obligation to pay, i.e. he is not obligated to pay for the provided service.
The following shall not be deemed as a case referred to in paragraph 1 of this Article, if a merchant:
1) Instead of ordered goods or services, supplies other goods or provides other service to the consumer of the same price and quality;
2) Inform the consumer that he is neither obliged to accept the goods or service he did not request, nor to bear the costs of returning the goods to the merchant.
Advertising by Means of Distance Communication
Article 40
The merchant shall, when advertising by means of distance communication, display in a clear and understandable way the advertising nature of the message and the identity of the legal or natural person on whose behalf the advertising is carried out.
The merchant shall mark the promotional games, competitions and special offers in a clear and understandable manner and publish the conditions of participation in the promotional game or competition, i.e. the conditions under which the special offer is valid, in a way that allows them to be easily accessible, clear and understandable to the consumer.
V CONSUMER PROTECTION IN EXERCISING RIGHTS FROM CONTRACTS WHICH CONTAIN UNFAIR CONTRACT PROVISIONS
Article 41
A contractual provision obliges the consumer if expressed in a simple, clear and understandable language, and if a reasonable man of consumer’s knowledge and experience could understand it.
The merchant shall inform the consumer about the content of a contract provision prior to the conclusion of the contract, in a manner that, with regards to used means of communication, provides to the consumer a real opportunity to become acquainted with the contents of the provision.
Contractual provision obliges the consumer if the consumer agreed to it.
A contractual provision whose content has been determined by the merchant in a way which implies that the consumer has agreed to it does not bind the consumer, unless explicitly stipulated that he did not accept the provision.
Interpretation of Contractual Provisions
Article 42
Unclear provisions of the contract between the consumer and the merchant are interpreted in favor of the consumer.
Unfair Provision of a Contract
Article 43
Unfair contractual provisions are null and void.
Unfair contractual provision is any provision which, contrary to the principle of good faith, has as a result a significant disparity in rights and obligations of the contractual parties to the detriment of the consumer.
The criteria for determining whether a particular provision of the contract is unfair are:
1) The nature of the goods or services to which the contract relates;
2) The circumstances under which the contract was concluded;
3) Other provisions of the same contract or other contract linked to the actual contract;
4) The manner in which agreement has been reached on the content of the contract and the manner in which the consumer was informed about the content of the contract.
Contractual Provisions Deemed to be Unfair
Article 44
Contractual provisions are deemed to be unfair, regardless of the circumstances of the individual case, if they have for subject or consequence:
1) Exclusion or limitation of liability of the merchant in case of death or personal injury of the consumer, caused by an act or omission of the merchant;
2) Limiting the merchant’s obligation to execute, i.e. assume the obligations undertaken on his behalf by a proxy, i.e. agent, or connecting the obligation of the merchant to execute, i.e. assume the obligation undertaken on his behalf by a proxy, i.e. agent with a condition whose fulfillment depends exclusively on the merchant;
3) Exclusion or restriction of consumer’s right to initiate a specific procedure or to use a specific legal remedy for the protection of his rights, especially the imposition of an obligation to the consumer to resolve the disputes before an arbitration, in a manner that is contrary to the provisions of this Act;
4) Preventing or limiting the possibility that the consumer gets acquainted with the evidence, or shifting the burden of proof to the consumer, in case when the burden of proof is on the merchant, in accordance with law;
5) Establishing territorial jurisdiction of a court outside of the residence or temporary residence of the consumer.
As unfair contract provision, referred to in paragraph 1 of this Article, is also deemed to be a contractual provision under which the merchant has:
1) The exclusive right to determine whether the delivered goods or provided services are in accordance with the contract;
2) The exclusive right to interpret the contractual provisions.
Contract Provisions Which are Presumed to be Unfair Unless Proven Otherwise
Article 45
The contract provisions which are presumed to be unfair, unless proven otherwise, are the provisions whose subject or effect is:
1) Limitation or exclusion of consumer’s right against the merchant or a third party, in the event of a complete or partial failure to fulfill any of the contractual obligations of the merchant, including limitation or exclusion of the consumer’s right to offset a claim he has against the merchant, with the claim which a merchant has against the consumer;
2) Giving authorization to a merchant to retain whatever is received from the consumer, in case the consumer violates a contractual obligation or refuses to conclude a contract, if the same right is not guaranteed to the consumer;
3) Obliging the consumer who has violated a contractual obligation to pay the seller compensation in an amount which significantly exceeds the amount of damage suffered;
4) Right of the merchant to unilaterally terminate the contract at any time if the same right is not guaranteed to the consumer;
5) Right of the merchant to unilaterally terminate a contract concluded for an indefinite period without allowing for a reasonable notice period, except if the consumer fails to perform his contractual obligations;
6) Tacit renewal of the contract concluded for a definite period of time, if it is provided that the consumer needs to declare that he does not agree to the contract renewal within the time limit which is unduly long in relation to the period for which the contract was concluded;
7) Right of the merchant to in any way increase the agreed price, unless the contract stipulates the consumer's right to terminate the contract in that case;
8) Obliging the consumer to fulfill all of his contractual obligations in the event that the merchant fails to perform his contractual obligations in full;
9) Authorizing the merchant to transfer his contractual obligations to a third party without the consent of the consumer;
10) Restricting the right of the consumers to resell goods by limiting the transferability of the guarantee given by the merchant;
11) Authorizing the merchant to unilaterally change the content of contractual provisions, including the characteristics of the goods or services;
12) Unilateral amendment of the contractual provisions communicated to the consumer on a durable medium, by communicating new provisions the consumer has not agreed to by means of distance communication.
VI CONSUMER PROTECTION IN EXCERCISING RIGHTS UNDER A SALES CONTRACT
1. Delivery and Transfer of Risk
Article 46
The seller shall surrender to the consumer the goods or a legal instrument based on which the goods may be claimed, without delay, and no later than within a term of 30 days from the day of conclusion of the contract, unless something else agreed.
The seller shall surrender the goods to the consumer in the quantity and quality which were contracted.
When the seller in addition to the selling of goods offers delivery to the address specified by the consumer, he shall deliver goods within the stipulated period and stipulated state with mandatory written confirmation of issuing goods.
The seller shall legibly and clearly indicate on the invoice or other legal instrument related to the contract the deadline for delivery of goods.
It shall not be deemed as proper delivery if carried out to the address specified by the consumer by leaving the goods in front of the door of the house or apartment of the consumers or elsewhere.
If the seller established a phone line for consumer contact in connection to the conclusion and performance of the contract, he shall ensure that the calls are not charged more than the regular calls.
Article 47
The seller shall surrender to the consumer the instructions for use and installation, i.e. other information which informs the consumer about the properties of technical goods, where relevant, given its nature, characteristics and purpose in accordance with special regulations, in Serbian language in a clear and understandable way.
Instructions for use and installation may be made up in a separate written document, i.e. affixed to or printed on the goods or their packaging, in the form of text, image, or drawing, as well as in combination of these forms.
Termination of Contract for Failure to Fulfill Delivery
Article 48
If the seller does not deliver the goods within the agreed period, and the fulfillment of the obligation in that period is an essential element of the contract or the consumer has informed the seller prior to the conclusion of the contract that delivery on a specific day, i.e. within the agreed period is of crucial importance to him, the contract is terminated by operation of law.
In the case referred to in paragraph 1, the consumer may uphold the contract if, without delay, agrees to an additional period for performance of the contract.
If the merchant fails to deliver goods even in the additional period, the contract is terminated by operation of law.
In the event of termination of the contract, the seller shall immediately, and no later than three days from the day of termination of the contract return to the consumer the entire amount paid under the contract.
Article 49
The risk of accidental destruction or damage of the goods until the moment of handing over the goods to the consumer or a third party appointed by the consumer, and which is not a carrier or shipper, is borne by the seller.
The risk of accidental destruction or damage to the goods after the moment of handing over the goods to the consumer or a third party appointed by the consumer, and which is not a carrier or shipper, is borne by the consumer.
If the consumer has terminated the contract, or demanded the replacement of the goods because the handed over goods did not conform to the contract, the risk referred to in paras. 1 and 2 of this Article is not transferred to the consumer.
If the handover of goods was not carried out because the consumer, or a third party which was appointed by the consumer, and which is not a carrier or shipper, without a good reason refuses to accept the goods or by their behavior prevents delivery, the risk referred to in paras. 1 and 2 of this Article transfers to the consumer, upon the expiry of the deadline for delivery, i.e. within a term of 30 days from the day of the conclusion of the contract, if the term of delivery was not contracted.
Article 50
The seller shall deliver goods which are in conformity with the contract.
It is assumed that the delivered goods conform to the contract:
1) If it corresponds to the description given by the seller, and if it has the properties of the goods which the seller showed to the consumer as a sample or model;
2) If it has the properties required for the particular purpose for which is purchased by consumer, and which has been known to the seller or which ought to have been known to the seller at the time of conclusion of the contract;
3) If it has the properties required for regular use of the goods of the same kind;
4) If, according to quality and functioning, corresponds to what is common to the same type of goods, and what the consumer can reasonably expect considering the nature of the goods and public promises of special properties of the goods given by the seller, manufacturer or their representatives, especially if the promise has been made through advertisement, or on the packaging of goods.
Liability for Lack of Conformity
Article 51
The merchant is responsible for the non-conformity to the contract of the delivered goods, if:
1) It existed at the time of transferring of the risk to the consumer, regardless of whether the seller knew about that lack of conformity;
2) It appeared after the transfer of risk to the consumer, if it originates from a cause that existed before the transfer of risk to the consumer;
3) The consumer could easily notice it, if the seller claimed that the goods conform to the contract.
The merchant is also responsible for the lack of conformity generated by improper packaging, improper installation or mounting which he performed, or a person under his supervision, as well as when incorrect installation or montage of the goods is a result of an error in the instructions for use handed over to the consumer for the purpose of installation or mounting by the consumer.
The seller is not liable for lack of conformity if, at the moment of conclusion of the contract, it was known to the consumer, or it could not have remained unknown that the goods do not conform with the contract, or if the cause of non-conformity is in the material provided by the consumer.
The seller's liability for non-conformity of goods to the contract shall not be limited or excluded contrary to the provisions of this Act.
The seller is not bound by a public promise in terms of the characteristics of goods, if:
1) He did not know, or could not have known about the given promise;
2) The correction of the promise was published prior to the conclusion of the contract;
3) The promise could not have influenced the consumer's decision to conclude the contract.
Request for Removal of Non-Conformity
Article 52
If delivered goods are not in conformity with the contract, the consumer who informed the seller about the lack of conformity has the right to demand from the seller to eliminate non-conformity, without charge, by repair or replacement, i.e. to demand an appropriate price reduction, or to terminate the contract in respect of those goods.
The consumer has the right to choose whether the merchant shall eliminate the non-conformity of goods by repair or replacement.
If the elimination of non-conformity in accordance with paragraph 2 of this Article is not possible, the consumer has the right to request an appropriate price reduction or termination of the contract if:
1) Non-conformity may neither be eliminated by repair or replacement, nor within a reasonable time;
2) The consumer may not exercise the right to repair or replacement, i.e. if the seller has not made the repair or replacement within a reasonable time;
3) Repair or replacement may not be carried out without significant inconveniences for the consumer because of the nature of the goods and their purpose;
4) Elimination of non-conformity by repair or replacement represents a disproportionate burden for the seller.
Disproportionate load for the seller in terms of the paragraph 3, item 4) of this Article occurs if it creates excessive costs in comparison with the reduction in price and termination of the contract, taking into account:
1) The value which the goods would had, if conformed with the contract;
2) Importance of conformity in the actual case;
3) Whether the conformity may be removed without significant inconveniences for the consumer.
The consumer is entitled to demand the replacement, appropriate price reduction or to terminate the contract because of the same or other lack of non-conformity which occurs after the first repair, and repeated repair is possible only with the express consent of the consumer.
Taking into account the nature of the goods, and the purpose for which the consumer purchased the goods, the repair or replacement shall be made within an appropriate time limit without significant inconveniences for the consumer and with his consent.
If the non-conformity appears within a term of six months from the day of transfer of risk to the consumer, the consumer is entitled to choose between the demands that the non-conformity is eliminated by a replacement, the demand for an appropriate price reduction, or to declare that he terminates the contract.
If non-conformity appears within a term of six months from the day of transfer of risk to the consumer, the elimination of non-conformity is possible by repair with the express consent of the consumer.
All costs that are necessary to get the goods to be in conformity with the contract, in particularly the costs of work, materials, takeover, and delivery, are borne by the seller.
All the obligations of the seller towards the consumer which arise due to non-conformity of goods, the seller is entitled to seek from the manufacturer participating in the supply chain of those goods, to reimburse him for what he has fulfilled on the basis of these obligations.
The consumer may not terminate the contract if the non-conformity of the goods is inconsiderable.
The rights referred to in paragraph 1 of this Article do not affect the right of the consumer to demand from the seller a compensation for damages which arose from the non-conformity of goods, in accordance with the general rules of liability for damages.
Time limits and Burden of Proof
Article 53
The seller is responsible for non-conformity of goods with the contract which appears within a term of two years from the day of transfer of risk to the consumer.
If non-conformity occurs within a term of six months from the day of transfer risk to the consumer, it is assumed that the non-conformity existed at the time of transfer of risk, unless this is contrary to the nature of the goods and the nature of a particular non-conformity.
When selling used goods, a shorter period may be agreed for seller’s liability for non-conformity, which may not be shorter than one year.
The time limits, prescribed in paras. 1 to 3 of this Article, do not run during the period which the seller uses to eliminate non-conformity.
Article 54
Warranty is any statement whereby its issuer gives commitment in relation to goods, and is legally binding under the conditions set out in the statement, as well as in advertising in connection with such goods.
Warranty card is a document in written or electronic form, i.e. on another durable medium, which contains all data from the warranty, listed in a clear and legible way, in easily understandable language, and in particular the information on:
1) Rights that the consumer has under this Act and that the warranty does not exclude or affect the rights of consumers arising from legal liability of the seller for non- conformity of goods to the contract;
2) Name and address of the warrantor;
3) Name and address of the seller if he is not at the same time the warrantor;
4) Date of handing over the goods to the consumer;
5) Data identifying the goods (model, type, serial number, etc.);
6) Content of the guarantee, conditions and procedure of exercising the rights from warranty;
7) Duration of the warranty period and spatial validity of the warranty.
At consumer's request, the warrantor shall issue a warranty card referred to in paragraph 2 of this Article, which is typically made in written form, on paper.
If the consumer agrees, the warranty card may also be issued in electronic form, i.e. on another durable medium that is available to the consumer.
Violation of the obligation of the warrantor referred to in paragraph 2 of this Article does not affect the validity of the warranty, and the consumer may request that the warranty is fulfilled in accordance with the given statement.
The warranty neither excludes nor affects the rights of consumers in respect of conformity of the goods to the contract.
Article 55
At the conclusion of the contract on sale of goods and advertising on the occasion of the sale, the merchant shall refrain from using the term "warranty" and the term with that meaning, if on the basis of the contract of sale, the consumer does not acquire more rights than from the legal liability of the merchant for non-conformity of the goods to the contract, i.e. other rights in accordance with this Act.
Consumer Complaint and the Manner of Resolving Complaints
Article 56
The consumer may file a consumer complaint to the seller in order to exercise his rights under Art. 52, 54 and 81 of this Act, as well as because of erroneously calculated price and other deficiencies.
The seller shall, on a sales point, visibly post a notice on the method and place of receipt of consumer complaints, as well as to ensure the presence of the person authorized to receive consumer complaints during working hours.
The consumer may file a consumer complaint verbally at the sales point where the goods were purchased, or in some other place that is designated for receipt of consumer complaints, by telephone, in writing, electronically, i.e. on a durable medium, with the submission of bill for inspection or other proof of purchase (copy of the invoice, slip, etc.).
The seller is shall keep records of received consumer complaints and keep them for at least two years from the day of submission of consumer complaints.
The seller shall issue to the consumer a written confirmation or electronically acknowledge receipt of consumer complaint, i.e. announce the number under which the consumer complaint was filed in the records of received consumer complaints.
Records of received consumer complaints are kept in the form of bound books, or in electronic form and contain in particular information on the applicant and the date of receipt of the consumer complaint, information about the goods, brief description of non-conformity and the request from the consumer complaint, date of issue of the certificate of receipt of the consumer complaint, decision about reply to the consumer, date delivery of this decision, agreed appropriate period of time to resolve the issue to which the consumer agreed, method and date of resolution of the consumer complaint, as well as information about the extension of deadline for resolving the consumer complaint.
The seller shall, without delay, and not later than within a term of eight days from the day of receipt of the consumer complaint, in writing or electronically, give the answer to the consumer about the consumer’s complaint. The seller's answer to the consumer complaint shall include the decision whether he accepts the consumer complaint, plea on the consumer’s request and a concrete proposal and the deadline for resolving the consumer complaint. The time period may not be longer than 15 days, i.e. 30 days for technical goods and furniture, from the day of filing of the consumer complaint.
The seller shall proceed in accordance with the decision, proposal and the deadline for resolving the consumer complaint, if he got the prior consent of the consumer.
If the seller, due to objective reasons, is not able to meet the demand of the consumer within the agreed time limit, he shall inform the consumer about prolonging the deadline for resolving the consumer’s complaint and state the time limit in which he shall resolve it, as well as to obtain his consent, which shall be recorded in the records of received consumer complaints. The extension of the deadline for resolving consumer complaints is only possible once.
The inability of the consumer to deliver to the seller the packaging of the goods may neither be a condition for resolving the consumer complaint nor the reason for the refusal to eliminate non-conformity.
Article 57
Goods and services on the market that are used or are likely to be used by consumers shall be safe in accordance with the regulations governing product safety.
Merchants who put the goods and services on the market which are used or are likely to be used by the consumers shall meet the requirements for safety of products designated by special regulations.
Procedures when Consumer’s Rights are in Jeopardy
Article 58
In case there is reasonable doubt that a consumer's right to safety is in jeopardy, i.e. that the protection of consumers from goods and services that are dangerous to life, health, property or the environment, or from goods whose possession or use is prohibited is jeopardized, the Minister proposes to the Government to adopt a decision on urgent implementation of coordinated emergency inspection, by all relevant inspection bodies.
VIII RESPONSIBILITY FOR DEFECTIVE PRODUCTS
Article 59
The deficiency exists if a product does not provide the safety which is rightfully expected, considering all the circumstances, including advertising, use of the product could have been reasonably expected and the time when the product was put into circulation.
It is not considered that a product has a deficiency just because a product of better quality has been put into circulation at a later date.
Article 60
The injured party is entitled to compensation if they prove that they have suffered damages, that the product had a defect, and that there is a causal link between that defect and the damage suffered.
The injured party is entitled to compensation for non-pecuniary damages under the general rules of liability.
Article 61
The manufacturer is liable for damages resulting from a defective product, regardless of whether they knew about the defect.
Article 62
The manufacturer is not liable for damage caused by a defective product if they prove that:
1) The product was not put into circulation by the manufacturer;
2) The defect did not exist at the time when the product was put into circulation or that it appeared later;
3) They did not manufacture a product intended for sale or other type of placing on the market and that the product has not been manufactured within the frame of their activities;
4) The defect appeared due to compliance of the product’s properties with the regulations issued by the competent authority.
Manufacturer of an integral part of the product shall not be liable for damage caused by a defective product if they prove that the defect may be attributed to the product’s design or that it is the result of instructions for use given by the manufacturer.
The manufacturer may be partially or fully released from liability for damage caused by a defective product if the injured person, or a person for whom the injured person is responsible for, contributed to the occurrence of damage on his own fault.
If a third party partially contributed to the occurrence of damage from the defective product, the sole liability is on the manufacturer.
Liability of Multiple Persons for the same Damage
Article 63
If several persons are liable for damage caused by a defective product, their liability is joint and several.
Prescriptive Period for Claims
Article 64
Claim for damages from defective products is limited to a term of three years from the day when the injured party learned of the damage, the deficiency and the identity of the manufacturer.
In any case this claim expires in ten years from the day when the defective product was put into circulation by the manufacturer.
Limiting and Excluding Liability
Article 65
Manufacturer’s liability for damage caused by a defective product may not be limited or excluded by a contract.
IX CONSUMER PROTECTION IN EXERCISING RIGHTS UNDER THE CONTRACT ON PROVIDING SERVICES
Article 66
If it is agreed that the seller shall make an object from his own material whose quality is not contracted, he shall use the material of medium quality for the production.
Provisions of Art. 50-55 of this Act apply mutatis mutandis to the seller's liability for the quality of used materials.
Material Handed Over by Consumer
Article 67
The seller is liable for damage caused by defects of material that he has noticed or should have noticed if he fails to alert the consumer to deficiencies in the material he had received from him.
If the consumer demands manufacturing of objects from materials to whose defects the seller has warned him, the seller shall comply with the demand of the consumer, unless it is obvious that the material is not suitable for commissioned work, or if the manufacturing of objects from such material could harm the reputation of the seller, in which case the seller may terminate the contract.
The seller shall warn the consumer about the deficiencies in his order and about the other circumstances that he knew or should have known which may be of importance for the commissioned work or for its execution on time, otherwise he shall be liable for damages.
Article 68
The service is considered performed when the contracted work is completed.
If the object that is the subject of the contractual obligation is in seller's possession, the service is considered performed when the contracted work is completed, and the object is returned to consumer.
If the time limit for the performance of the service is not agreed upon, the seller shall perform the service within an appropriate time limit that is required for the execution of a similar service.
The seller is not responsible for the delay incurred by the consumer's fault.
Article 69
The seller shall obtain the material and spare parts, necessary for the execution of service, unless otherwise agreed.
The seller shall perform the service in the agreed manner, according to the rules of the profession and with professional care.
Entrusting a Third Party to Provide the Service
Article 70
The seller may entrust the execution of the service to a third party if from contract or the nature of the work does not imply something else.
In the case referred to in paragraph 1 of this Article, the seller is responsible for execution and conformity of the service.
Article 71
The seller shall obtain the consent of the consumer to perform the additional work, if during the provision of services a need for the additional work appears.
If it is not possible to inform the consumer within a reasonable time, the additional work may be performed only if its price is negligible in relation to the agreed price of the service, i.e. estimation.
If in the contract has determined the highest price of performance of the service, and if it is not possible to obtain the consent of the consumer to perform additional work within appropriate time, the price may not be increased because of costs of execution of additional work.
The seller shall inform the consumer about the danger to health and property if the execution of additional work is postponed.
Article 72
The seller shall allow the consumer to:
1) Control the performing of work;
2) Give the instructions when it suits to the nature of work.
In the event that the seller fails to comply with the obligations referred to in paragraph 1 of this Article, it is considered that the provided service does not conform to the contract.
Article 73
If, during or after the conclusion of the contract it is determined that due to the price, value and other characteristics of the service or other circumstances, the service obviously does not fit the needs of the consumer, or that its price is significantly higher than the amount that the consumer could reasonably expect, the seller shall inform consumer about it without delay.
If the seller is not able to inform the consumer about facts referred to in paragraph 1 of this Article within the appropriate time limit, or if the consumer fails to provide necessary instructions to the seller, the seller shall cease the provision of service, unless it can be reasonably assumed that the consumer has the intention to continue the provision of the service.
In the event that the seller fails to comply with the obligations referred to in paras. 1 and 2 of this Article, it is deemed that the performed service does not conform to the contracted service.
Article 74
The seller may demand from the consumer a fee for preceding examination of the content or price of service conducted at the request of the consumer, unless the consumer could have expected, considering the usual practice or similar circumstances, that the preceding examination is not charged.
The seller may not require from the consumer a compensation for work, spent supplies and other costs, if the subject of the contractual obligation that was in the possession of the seller has been destroyed, damaged or lost without the responsibility of the consumer.
Article 75
If the price is agreed on the basis of an express allegation of the seller that the estimation was accurate, the seller may not require the increase of price.
If the price is agreed without the seller's express warranty for the accuracy of the estimation, the seller may not require an increase in price by more than 15% of the estimation, unless otherwise agreed.
The estimation refers to the selling price of the service, unless otherwise agreed.
In the event of a dispute in whether the agreed amount represents the price or the estimation, the burden of proof is borne by the seller.
Payment of the Price and Specification
Article 76
If payment deadline has not been contracted, the consumer shall pay the price after performance of the service in the manner described in Article 68 of this Act.
The consumer does not have to pay the price before the examination and approval of the service performed.
In the event that the contractual obligation of the seller consists of several services that are charged separately, the seller shall deliver, at the consumer's request, the specification of the selling price in writing in order to determine the prices for each of the performed services.
The consumer may refuse to pay the price prior to being served with the specification referred to in paragraph 3 of this Article.
Omission of the Consumer to Pay the Price
Article 77
If the consumer has got into arrears due to non-fulfillment of the obligation to pay the price, or part of the price in advance, the seller may suspend the provision of service, until the price is paid.
The seller shall inform the consumer without delay about the suspension of provision of service.
If the suspension of provision of service may cause the danger of appearance of damage to health or significant damage to property, the seller shall eliminate the danger of appearance of damage.
The consumer shall reimburse the seller the costs incurred due to the suspension of provision of service, under paras. 1, 2 and 3 of this Article.
Termination of the Contract due to Deviations from the Terms of the Contract
Article 78
If during the provision of service it is determined that the seller does not comply with the terms of the contract, i.e. that he does not provide service in accordance with the contract, due to which a danger arises that the provided service becomes non-compliant with the one stipulated by the contract, the consumer may alert the seller to these circumstances, and determine an appropriate deadline for eliminating the established irregularities.
If until the expiration of the deadline referred to in paragraph 1 of this Article, the seller fails to comply with the request of the consumer, the consumer may terminate the contract and claim damages.
Termination of the Contract before Expiry of the Deadline
Article 79
If it is obvious that the seller is unable to perform the conforming service within the period which is an essential element of the contract, the consumer may:
1) Terminate the contract, without leaving an appropriate period for the performance of the service;
2) Claim damages.
If the seller is late with the performance of the service in relation to the contracted period which is not an essential element of the contract, the consumer who has no interest in the performance of the service after the expiry of the agreed period, may:
1) Terminate the contract, without leaving an appropriate period for the performance of the service;
2) Claim damages.
Article 80
The seller shall provide the consumer with a service that is in conformity with the contracted one.
The service is not in conformity with the contracted one, if:
1) It does not match, in the content, quality and purpose, the description which the seller, prior to the conclusion of contract, gave through advertisement or in another, similar way;
2) It does not match the description that the seller has given in the course of provision of service, provided that this could affect the consumers' decisions;
3) It does not have special properties demanded by the consumer, and which were known, or should have been known to the seller, at the time of conclusion of the contract;
4) It does not have the usual properties of the service of the same type;
5) It does not meet the well-founded expectations with respect to the nature of the service and public promises to the seller with regard to the specific characteristics of the service, especially if they were made through an advertisement;
6) It does not match, in the content, quality and purpose, the description which has been given, prior to the conclusion of the contract, through an advertisement or in another similar method by a third party on behalf of the seller.
The seller is not responsible for the lack of conformity of the service, if:
1) He did not know or did not need to know that a third party on his behalf gave a description referred to in paragraph 2, item 6) of this Article;
2) The description from paragraph 2, item 6) of this Article, has been appropriately corrected in a timely manner.
Liability for Lack of Conformity
Article 81
If the service is not in conformity with the contracted one, the consumer may demand from the seller to perform a conforming service.
If the performance of the conforming service is impossible or unlawful or represents a disproportionate burden for the seller, the consumer may demand a price reduction or termination of contract.
If the service is not in conformity with the contracted one, the provisions of Art. 50-56 of this Act apply mutatis mutandis to the rights of the consumer and the seller's liability.
Liability of Persons Acting under the Order
Article 82
The seller is responsible for services that have been performed by persons acting under his order, as if these services were performed by him on his own.
X SERVICES OF GENERAL ECONOMIC INTEREST
Access to Services of General Economic Interest
Article 83
The consumer is entitled to regular and continuous supply of services of general economic interest of appropriate quality at fair price, in accordance with special regulations.
The merchant shall:
1) Enable the consumer to introduce in advance with all the terms of use of services of general economic interest and make those terms public;
2) Not discriminate consumers;
3) Charge the service using the prices defined by special regulations.
The merchant who provides a service of general economic interest shall maintain the quality of service in accordance with the law, special regulations and rules of the profession.
The merchant who provides a service of general economic interest, as well as other bodies that makes decisions on the rights and obligations of consumers of services of general economic interest shall set up advisory bodies in which the representatives of registered associations i.e. unions from Article 132 of this Act shall take part. Decisions shall be adopted after receiving the opinion of the advisory body, and in a transparent, objective and non-discriminatory manner.
Article 84
Struggling consumer is a consumer who, due to his economic or social status, living conditions, special needs or other serious personal circumstances, acquires goods or uses a service under particularly difficult conditions, or is prevented to do so.
The Government specifies in detail the criteria for defining struggling consumers and specific requirements for the provision of services of general economic interest to struggling consumers in certain areas of services of general economic interest, at the proposal of the minister responsible for the appropriate area.
Programs of Protection of Struggling Consumers in Certain Areas of Services of General Economic Interest
Article 85
With the programs in some areas of the provision of services of general economic interest the measures and instruments aimed at ensuring effective protection of struggling consumers are determined, particularly in terms of access, availability, exclusion from the distribution network or denial of the provision of services, method of determining price, informing, counseling and helping consumers in solving consumer issues.
At the proposal of the minister responsible for the appropriate area, the Government adopts the program for protection of struggling consumers in certain areas of services of general economic interest.
Protection from Suspending the Provision of Services
Article 86
The merchant may suspend the provision of services of general economic interest, if the consumer fails to settle his current liabilities for services rendered within a term of two months from the due date.
The merchant shall, before the suspension referred to in paragraph 1 of this Article, in written or electronic form:
1) Warn the consumer about his obligations under the contract;
2) Invite the consumer to settle his arrears, within a period which may not be shorter than 30 days as of the day of receipt of the warning.
If the consumer disputes the existence or the amount of the liability referred to in paragraph 1 of this Article and continues to pay bills for current liabilities, the merchant may not cut the consumer from distribution networks and suspend the provision of services of general economic interest before finalization of the court trial, initiated at the request of the merchant whose subject is the disputed liability.
In case of suspension of the provision of service, the merchant shall continue providing services to the consumer not later than within two days of receipt of payment for arrears.
It is forbidden that the merchant suspends the provision of service of heat supply, or supply of electricity or natural gas, with whom the consumer is supplied for heating purposes during the heating season, if in the threatened consumer lives in such household, because of age, special needs or illness.
It is forbidden that the merchant authorizes another legal or natural person to speak to the consumer, without previously obtained express consent of the consumer, in person, by phone, fax, mail, e-mail or other means of distance communication, to achieve the claims from the contract.
The prohibition under paragraph 6 of this Article applies mutatis mutandis both, to sale contracts and contracts on provision of services.
It is forbidden that the merchant, in case of disconnection of consumers from the distribution network, i.e. suspension of provision of services of general economic interest, conditions reconnection, i.e. extension of provision of service by payment of outdated debts of the consumer.
Duty of Notify Prior to the Conclusion of the Contract
Article 87
Before conclusion of the contract on provision of services of general economic interest, in addition to the obligations of the merchant concerning the notification referred to in Article 13 of this Act and other regulations, the merchant informs the consumer about:
1) The right of the consumer to be provided with services of general economic interest of certain quality at an affordable price;
2) The special offers and discounts, with a clear indication of the conditions for their realization;
3) The criteria for obtaining the status of struggling consumer, special benefits intended for the struggling consumers and ways of their implementation;
4) The amount of fees that include the fee for connection to the network, the types of fee for use, including details on standard discounts applied and special and targeted fee plans, as well as deadlines for connection to the distribution network;
5) The way in which the information on applicable fees and maintenance prices may be acquired;
6) The right and the possibility of the consumer to change the provider of a service of general economic interest at no additional charge;
7) The manner of exercising the right to compensation, i.e. refund of the amount paid if the service provided does not correspond to the agreed quality;
8) The existence of opportunity for extrajudicial settlement of consumer disputes;
9) The conditions and procedures for changing the terms from the contract and the right to terminate the contract before the expiry of the contract period;
10) The availability, conditions and types of maintenance fees if the merchant in addition offers a maintenance service.
Before concluding the contract, to the consumer shall be made available all relevant documents, including the text of the contract in writing or on a durable medium.
Article 88
The merchant shall inform the consumer about the change of prices, not later than 30 days before the start of application of the changed prices.
The merchant shall publicly and in advance inform the consumer about the change of methodology of price formation and general conditions of the contract, not later than 30 days before the start of application of the changed prices.
When changes to pricing methodology and changes of the prices of services of general economic interest are subject to obtaining of a prior authorization or consent of the holder of public authorities, the merchant shall publicly, and in advance inform the consumer about the changes, not later than 30 days before the start of application of changed prices.
Article 89
The consumer has the right to terminate the contract on the provision of services of general economic interest, if he does not agree with a change in price, i.e. fee, and with changing of general terms of the contract specified in the notification to the seller, as well as quality of provided services.
The consumer shall pay the fee for the services that were rendered until the termination of the contract.
Right to Change the Provider of the Service
Article 90
The merchant shall enable the consumer to conclude the contracts with another merchant who provides services of general economic interest of the same type, without payment of fees and additional charges.
The period during which the merchant shall enable the consumer to conclude the contract referred to in paragraph 1 of this Article, shall not exceed one month from the day of notification to the merchant about that intention, unless a special act provides otherwise.
If the contract on the provision of services of general economic interest is concluded for a determined period, the expiry date shall be indicated on each bill.
Article 91
The merchant shall deliver bills for the provided services of general economic interest without delay, and within the time limits which allow to the consumer to follow the realized consumption and obligation for the accounting period for a maximum of one month.
The merchant shall state in a bill for the provided services of general economic interest the elements which enable the consumer to:
1) Check and monitor the amount of his debit;
2) Achieves insight into current spending in order to verify the total consumption according to the provided service quality.
The merchant shall deliver a detailed bill specification to the consumer free of charge at his request.
When the consumer is late with payment, charged fees for late payments shall be in accordance with the costs, and the merchant shall not charge the interest on the arrears contrary to compulsory regulations, in particular to the act which governs the amount of the default interest rate.
The service of reading measuring devices for the purpose of issuing the bill is free of charge.
The services that are free for the user should be marked on the bill, to ensure that consumers are aware of their existence, stating that they are free of charge.
Special Way of Receiving Consumer Complaint
Article 92
In addition to the conditions set out in Article 56 of this Act, the merchants who provide services of general economic interest shall ensure the existence and unhindered functioning of free phone lines, to enable consumers to easily contact the merchant, in connection with the issues and problems of connecting to the distribution network, as well as the quality and use of services of general economic interest.
The merchants who provide services of general economic interest shall form commissions for resolving consumer complaints, whose membership shall include the representatives of registered associations and federations referred to in Article 132 of this Act.
XI CONSUMER PROTECTION IN EXERCISING THE RIGHTS FROM THE CONTRACT ON TOURIST TRAVEL AND TIME-SHARE USAGE OF IMMOVABLES
1. Consumer Protection in Exercising the Rights from the Contract on Tourist Travel
Article 93
The organizer of tourist travel (hereinafter: organizer) i.e. agent in the sale of tourist travel (hereinafter: agent) shall within an appropriate time limit, prior to the conclusion of the contract on tourist travel, inform the consumer in Serbian language about:
1) The sales price of the tourist travel, including all taxes and extra charges, such as port and airport taxes for embarking or disembarking or residence tax;
2) The total amount of funds that the consumer is required to pay before the start of the tourist travel, and schedule of maturities and amount of payment installments;
3) The destination, means, characteristics and categories of transport, dates, time and place of departure and return;
4) The time and place of temporary stops, the mode of transport and the characteristics of the means of transport and equipment and level of comfort of the means of transport and services in the means of transport;
5) The accommodation facility (location, type, category and content of a tourist facility according to the applicable regulations of the country where the facility is located), accommodation unit (room, apartment, studio, equipment, comfort level and other characteristics);
6) The number, arrangement, type, characteristics and way of serving meals;
7) The visits, excursions and other services which are included in the sale price of the tourist travel;
8) The possibilities for insurance which covers the costs of cancellation of tourist travel by the consumer in the event of an accident or illness or the costs of assistance and returning from the tourist travel;
9) The data necessary for the realization of the tourist travel and documents and deadlines necessary for obtaining a visa, as well as about the customs, border and administrative formalities;
10) The complete and applicable health conditions that are demanded for the tourist travel and stay, with detailed health recommendations;
11) The condition for the realization of the tourist travel regarding the number of applied passengers and the deadline for informing the consumer about termination of the contract on tourist travel in case of insufficient number of applied passengers;
12) The name, business name and headquarters of the organizer or agent for the purpose of serving of documents in legal proceedings;
13) The name and address of the person with whom the contract on travel warranty for the risk of insolvency was concluded.
The information about the local representative or local agency of the organizer, from which, if necessary, assistance may be requested, the telephone number for emergencies and other data for immediate contact with the organizer, the organizer, i.e. the agent shall deliver to the consumer at the occasion of conclusion of the contract on tourist travel, and at the latest before the beginning of tourist travel.
The information about obligation of submitting data that allow direct contact with a minor who is traveling or residing abroad unaccompanied by parents or guardians, as well as about the name, address and phone number of the person responsible for the minor to the place of residence abroad, the organizer, i.e. the agent shall deliver to the consumer prior to the conclusion of the contract on tourist travel, and no later than 14 days prior to departure on a tourist travel.
Pre-contractual notification, except in Serbian, may also be in another language.
Article 94
The organizer, i.e. the agent shall inform the consumer, in a clear and understandable way, about the data referred to in Article 93 of this Act, in the manner as follows:
1) Without compensation;
2) In written form, on paper or another durable medium that is easily accessible to the consumer;
3) In text that is written in symbols of the same size as in the contract.
If the consumer books the tourist travel by means of distance communication, the organizer, i.e. the agent shall ensure that the notification referred to in Article 93 of this Act is available to the consumer during the booking duration.
The burden of proving the fulfillment of the obligation under Article 93 of this Act is on the organizer, i.e. agent.
Advertising and Offering for Sale
Article 95
In case of advertising and offering for sale of tourist travel, the organizer, i.e. agent shall inform the consumer of the right to receive notification about the data referred to in Article 93 of this Act, and the way in which he can get these data.
If the organizer, i.e. the agent offers to the consumer to conclude a contract on tourist travel during a promotional or sales event, he shall clearly indicate the commercial nature of that event and provide the consumer with a notification about the data referred to in Article 93 of this Act, during the promotional or sales event.
Formal Conditions for Conclusion of Contract on Tourist Travel
Article 96
The contract on tourist travel is concluding in writing, necessarily in Serbian language and in another language if the parties so agree, on paper or on another durable medium.
The organizer, i.e. agent shall, after signing of the contract on tourist travel, give to the consumer at least one copy of the signed contract.
In case of conclusion of a contract on tourist travel, the data referred to in Article 93 of this Act become its integral part, bind the organizer and may not be changed, unless the contracting parties expressly agree otherwise, or if changes occur due to force majeure.
The organizer, i.e. agent shall inform the consumer of any change of data referred to in Article 93 of this Act, within an appropriate time limit prior to the conclusion of the contract on tourist travel, in written form, on paper or on another durable medium that is easily accessible to the consumer.
If the consumer using a means of distance communication booked a tourist travel, the organizer, i.e. agent shall inform the consumer of any change of data referred to in Article 93 of this Act within a reasonable time limit prior to the conclusion of the contract on tourist travel by means of distance communication by which the consumer has performed the booking.
The organizer, i.e. agent shall explicitly indicate in the contract on tourist travel any change in the data referred to in Article 93 of this Act that occurs during the period of informing the consumer about the details until the conclusion of the contract.
In addition to the data referred to in paragraph 3 of this Article, the contract on tourist travel shall include:
1) Specific demands of the consumer to with the organizer agreed;
2) Address, method and deadline for filing consumer complaints, as well as the deadline for resolving the consumer complaints;
3) Business name and address of the organizer, i.e. agent, consumer and insurer;
4) Date and place of the conclusion of the contract on tourist travel and signatures of the parties;
5) Conditions under which the consumer is entitled to withdraw from the contract referred to in this Article.
If the organizer concludes a contract on tourist travel through an agent, the name and address of the agent shall be explicitly stated in the contract.
Replacing Consumer with another Person
Article 97
The consumer may, before the start of the tourist travel, appoint another person who is entitled to use the contracted services instead of him, if such a person meets the specific requirements provided for certain tourist travel.
In case referred to in paragraph 1 of this Article, the organizer, i.e. agent may request the reimbursement only of expenses incurred by replacement.
The consumer may appoint another person who is entitled to use the contracted benefits instead of him only if within an appropriate time limit prior to commencement of the tourist travel he informs the organizer about the replacement.
The consumer guarantees for the execution of obligations towards the organizer and for the additional costs arising from the replacement.
Amending the Contract before Departure
Article 98
If, before the agreed date of commencement of the tourist travel, the organizer finds that he is forced to modify certain important provisions of the contract such as the price, destination, means of transport, characteristics or categories of transport, date, type, location, category or level of comfort of accommodation, the organizer, i.e. the agent shall communicate the modifications without delay to the consumer, in writing or on a durable medium that is easily accessible to the consumer.
If the consumer booked the tourist travel by means of distance communication, the organizer, i.e. agent shall deliver the amendments under paragraph 1 of this Article to the consumer by means of distance communication with which he made the booking.
Consumer may accept amendments of the contract referred to in paragraph 1 of this Article, including modification to the sale price of the tourist travel, or terminate the contract on tourist travel.
The consumer shall immediately inform the organizer or the agent of the decision referred to in paragraph 3 of this Article.
In the event of termination of the contract in accordance with paragraph 3 of this Article, the organizer, i.e. agent shall reimburse the funds paid, in full without deductions.
Consumer's Withdrawal from Travel
Article 99
The consumer may, prior to the start of the tourist travel, withdraw from the contract, completely or partially.
If the consumer, prior to the commencement of the tourist travel, withdraws from the contract within an appropriate time limit which is determined according to the type of tourist travel (timely withdrawal), the organizer is entitled to compensation of only administrative costs incurred.
In case of untimely withdrawal from the contract the organizer may demand compensation from the consumer in a certain percentage of the contract price which is determined in proportion to the period remaining until the start of the tourist travel and which shall be economically justified.
If the consumer withdraws from the contract due to the circumstances that he could not avoid or eliminate, and which, in case they existed at the time of conclusion of the contract, would constitute a legitimate reason not to conclude the contract, as well as in the case when the consumer, the organizer, i.e. the agent provide a suitable replacement, the organizer is entitled only to compensation actual costs.
The circumstances referred to in paragraph 4 are as follows: sudden illness and death of the passenger and his blood relative in straight line of kinship, and in the lateral line up to the second degree of kinship, the spouse or up to the second degree of affinity, adoptee, adopter; natural disaster; officially declared a state of emergency in the country of travel.
Rights and Obligations of the Organizer and the Consumer in the Event of Termination, Default, or Partial Performance the Travel Contract
Article 100
If, before the agreed date of commencement of the tourist travel, the consumer terminates the contract on the basis of Article 98 of this Act, or if the organizer for any reason terminates the contract unless the consumer was responsible for such termination, the consumer has the right to choose one of the following options:
1) To accept the replacement of the contracted tourist travel with another travel of the same or better quality and pay the difference in price;
2) To accept the replacement of the contracted tourist travel with another travel of poorer quality and compensation for the difference in price;
3) To request a refund of funds paid under the contract on tourist travel.
The organizer shall reimburse the costs to the consumer resulting from termination of the contract, unless:
1) Termination of the contract happened due to the insufficient number of applied passengers, if prior to the conclusion of the contract he informed the consumer that the performance of the tourist travel is conditioned by the number of applied passengers and that the deadline for informing the consumer of the termination may not be less than five days from the day of commencement of the tourist trip;
2) Termination of the contract happened due to the inability to fulfill contractual obligations which was not the responsibility of the contracting parties, while the large number of applied passengers is not deemed to be an inability to fulfill.
Special Rights of Pupils or Students
Article 101
If the organizer organizes the stay of the pupils or students away at school, i.e. university abroad, he shall provide housing and care for the pupil, i.e. student in an appropriate family or other appropriate accommodation, in cooperation with the pupil, his parent or guardian, i.e. with the student in accordance with the relevant standards.
The organizer shall provide the pupil, i.e. student the opportunity to regularly attend school or training during their stay abroad.
The organizer, i.e. the agent shall, not later than within a term of 14 days before commencement of the travel, inform the consumer about the name, address and telephone number of the host family and the name, address and telephone number of a responsible person to whom the pupil or the student may turn to for help at the place of residence abroad.
The organizer, i.e. the agent shall provide the pupil, i.e. the student with necessary information about the culture, customs and way of life in the host country.
If the organizer, i.e. the agent fails to fulfill the obligations specified in paras. 3 and 4 of this Article, the consumer is entitled to terminate the contract at no charge before the start of the travel.
The burden of proof of fulfillment of obligations from paras. 3 and 4 of this Article rests on the organizer, i.e. agent.
The consumer has the right to terminate the contract at any time prior to departure. In the event that the consumer terminates the contract after the commencement of the travel, the organizer shall organize the return of pupils, i.e. students to the place of departure.
In the event that the consumer terminates the contract after the commencement of the travel for reasons for which the organizer, i.e. agent is not responsible, the organizer is entitled to reimbursement of the costs of return of pupils, i.e. students.
Responsibility
Article 102
The organizer shall provide the consumer with a tourist travel in the manner that is agreed and in accordance with the notification about the data referred to in Article 93 of this Act.
The tourist travel is in accordance with the contract if it has properties that the organizer guaranteed to the consumer, or if corresponds to the normal or agreed purpose.
The organizer is liable for the conformity of the service, including the services that were provided to the consumer by a third party (provider of the services of transport, accommodation, food, as well as the entertainment, cultural, sports and recreational and other programs for spending the free time).
The provisions of Art. 80-82 of this Act apply mutatis mutandis to the liability of the organizer for the conformity of a tourist travel.
Immediate Help in Case of Non-Conformity
Article 103
If the organizer, after the commencement of the tourist travel finds that to the consumer was not provided, i.e. that he will not be able to provide the consumer with the services that conform with the contract, he shall offer to the consumer other appropriate services until the end of the tourist travel, at no additional costs to the consumer, as well as to pay out the eventual difference in price between the contracted and provided services.
If the provision of service referred to in paragraph 1 of this Article is not possible, or the consumer does not accept it due to justified reasons, the organizer shall reimburse the costs to the consumer which were the result of the change after departure, as well as to provide a free return with the appropriate means of transport to the place of departure or to other place he agrees with the consumer.
If the organizer fails to provide consumer with the services referred to in paragraph 1 of this Article, or if he fails to provide a free return with the appropriate means of transport to the place of departure, or to other place he agrees with the consumer, the consumer may:
1) At own expense, obtain the other appropriate services;
2) Returns with the appropriate means of transport to the place of departure or other place he agrees with the organizer.
In the case referred to in paragraph 3 of this Article, the consumer may claim the reimbursement of costs from the organizer.
Right to Price Reduction
Article 104
The organizer, the local representative of the organizer and local agency to which the organizer or the agent directed the consumer in case of the need to provide certain assistance, shall, without delay:
1) Respond to the consumer complaint during the tourist travel;
2) Eliminate any deviation from the contract to which the consumer indicates.
In the event that a deviation from the contract to which the consumer indicates is not eliminated during the tourist travel, the consumer has the right to demand commensurate price reduction.
If the deviation from the contract to which the consumer indicates, and which is not eliminated during the tourist travel, represents the non-performance or partial performance of contractual obligation with respect to its volume or quality, the consumer may require from the organizer the repayment of funds paid under the contract on tourist travel.
The consumer may not claim a price reduction if he malevolently omits to indicate to the deviation between the provided and contracted services.
Termination Because of Non-Conformity
Article 105
In the event that the performed tourist travel is not in conformity with the contracted, the consumer may demand from the organizer to eliminate the deficiencies within an appropriate time limit.
If the organizer, within a reasonable time limit fails to eliminate the lack of conformity of the tourist travel in accordance with Article 103 of this Act, the consumer may terminate the contract.
The consumer is not obliged to give the organizer an appropriate time limit for the removal of non-conformity, if:
1) Providing other appropriate service is not possible, or if the organizer expressly refuses to provide other appropriate service;
2) He has no interest in the elimination of non-conformity.
The organizer bears the costs of consumer's return to the place of departure or to other place agreed between him and the consumer, and other costs incurred due to the termination of the contract.
Inability of Performance
Article 106
If, due to events that are not the responsibility of the contracting parties, the fulfillment of the obligation of the organizer becomes impossible, the obligations of the consumer also cease.
If in the case referred to in paragraph 1 of this Article the consumer has taken certain actions in order to fulfill his contractual obligation, he may request from the organizer a refund of funds paid, under the rules on restitution of acquired without merit.
The costs of return of consumers to the place of departure or other place agreed upon are borne by the contracting parties in equal parts, and other costs related to the termination of the contract are borne by the consumer.
Liability for Damage
Article 107
If the organizer or a third party who on behalf of the organizer should have fulfilled the obligation under the contract on tourist travel fails to fulfill or partially fulfills the obligation under the contract on tourist travel, or there is delay in its fulfillment, the customer may demand compensation for damage suffered, including non-pecuniary damage.
If in the case referred to in paragraph 1 of this Article, the consumer submits to organizer a claim for damages because the third party which should have fulfilled the obligation on behalf of the organizer under the contract on tourist travel fails to fulfill, i.e. partially fulfills the obligation under the contract on tourist travel, or if it is late with its fulfillment, the organizer may demand reimbursement from the third party of the amount paid.
The organizer is relieved of responsibility from paragraph 1 of this Article if he proves that the non performance, partial performance, or delay of performance is the result of the consumer's deliberate or extremely negligent action.
Guarantees in Case of Insolvency
Article 108
The organizer shall possess a prescribed travel guarantee in case of insolvency, notably an insurance policy or a bank guarantee.
If the organizer, i.e. the agent fails to give the consumer the insurance contract or a copy of a bank guarantee, i.e. information about the travel guarantees in accordance with the law, the consumer has the right to withdraw from the contract and to have the paid funds fully refunded, without deduction.
Consumer Complaint and Loss of Rights
Article 109
The consumer shall inform the organizer, local representative of the organizer or local agency to which the organizer or agent directed the consumer in case of the need to provide some help, in writing, on paper or in any other appropriate manner, about the shortcomings of the services performed, at the latest within a term of one month as of the day when the shortcomings were detected.
The organizer, i.e. agent shall, prior to the commencement of the tourist travel, in a clear and comprehensible manner, in writing, on paper or on another durable medium that is easily accessible to the consumer, inform the consumer of the duty referred to in paragraph 1 of this Article and the possible consequences in case of failure to execute those duties.
The organizer shall provide the consumer with a simple and affordable way of addressing the person responsible for receiving consumer complaints during the tourist travel.
If the organizer fails to fulfill the duties under paras. 2 and 3 of this Article, the consumer may not bear the adverse consequences in case of failure to inform the organizer, local representative of the organizer, or the local agency to which the organizer or the agent directed the consumer in case of the need to provide some help, about the non-conformity of the services provided.
If the consumer fails to timely inform the organizer about the shortcomings of the services provided he may not request a price reduction referred to in Article 104 of this Act, termination of contract under Article 105 of this Act, and damages referred to in Article 107 of this Act, unless the responsibility for missing the deadline referred to in paragraph 1 of this Article may not be attributed to the consumer.
2. Time Divided Usage of Immovable Property (time-sharing), Lasting Holiday Benefits, Help in Resale, Enabling Exchange
Duty of Pre-Contractual Notification
Article 110
The merchant shall, within an appropriate time limit before the conclusion of the contract on time-divided usage of immovable property, lasting holiday benefits, help in resale, enabling exchange, accurately and completely notify the consumer about the information given in the standard information forms for the contract on time divided the use of immovable property, contract on lasting holiday benefits, contract on help in resale, and contract on enabling exchange.
The merchant shall deliver the notifications referred to in paragraph 1 of this Article to the consumer free of charge, in writing, on paper or on another durable medium that is easily accessible to the consumer, in a clear and understandable way.
The content of the standard information forms for the contract on time divided use of immovable property, contract on lasting holiday benefits, contract on help in resale, and contract on enabling exchange, is regulated by the Government, at the recommendation of the Minister and the minister responsible for tourism.
Data from standard information forms shall be in Serbian language. These data may also be given in another language if the parties so agree.
Article 111
During advertising and offering of time divided usage of immovables, lasting holiday benefits, help in resale of time divided usage of immovables and lasting holiday benefits, or enabling exchange of time divided usage of immovables, the merchant shall inform the consumer on conditions and manner of obtaining the notification from Article 110 of this Act.
In the event that, during the promotion or sales event, the merchant personally offers to the consumer to conclude a contract on a time divided use of immovables, a contract on lasting holiday benefits, a contract on help in resale, or a contract on enabling the exchange, he shall clearly indicate the promotional or sales purposes of that event.
The seller shall enable that the notification referred to in Article 110 of this Act is available to the consumer during the promotional or sales event.
Time divided usage of immovables and lasting holiday benefits may not be advertised or sold as investments.
Formal Conditions for Conclusion of Contract
Article 112
The contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale and the contract on enabling the exchange are concluding in writing, necessarily in Serbian language, and in another language, if the parties so agree, on paper or on another durable medium.
The seller shall, after the signing of the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables, hand over to the consumer at least one copy of the signed contract.
In case of conclusion of the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables, the information referred to in Article 110 of this Act become its integral part, obligate the merchant and may not be modified, unless the parties expressly agree otherwise, or if the modifications occur due to force majeure.
The merchant shall, within an appropriate time limit prior to the conclusion of the contract referred to in paragraph 1 of this Article, inform the consumer of any change of data referred to in Article 110 of this Act, in writing, on paper or on another durable medium that is easily accessible to the consumer.
The merchant shall expressly state in the contract referred to in paragraph 1 of this Article any change of data referred to in Article 110 of this Act that occurs in the period from informing the consumer about the data until the conclusion of the contract.
The contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables, besides the information referred to in Article 110 of this Act, shall contain:
1) The information about the date and place of conclusion of the contract;
2) The name, permanent residence and signature of the consumer;
3) The company name, i.e. name, permanent residence, i.e. seat and signature of the merchant, i.e. the name, permanent residence and signature of the authorized person of the merchant.
The merchant shall, within an appropriate time limit prior to the conclusion of the contract, expressly inform the consumer about:
1) The right of the consumer to withdraw from the contract;
2) The deadline within which the consumer may withdraw from the contract;
3) The prohibition of payment of the price in advance before the expiry of the deadline in which the consumer may withdraw from the contract.
In the case of conclusion of the contract, the consumer shall, separately from the signing of the contract, sign the contractual provisions which relate to consumer rights referred to in paragraph 7 of this Article.
The form for withdrawal from the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables is an integral part of those contracts.
The content of the form for withdrawal from the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables is prescribed by the Government, at the recommendation of the Minister and the minister responsible for tourism.
Right to Withdraw from Contract
Article 113
The consumer may withdraw from the contract, i.e. pre-contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables, without obligation to state the reasons for withdrawal, within a term of 14 days as of the day of receipt of the concluded contract.
In the case of simultaneous conclusion of the contract on time divided usage of immovables and the contract on enabling the exchange of time divided use of immovables, the deadline for withdrawal from the contract is calculated from the day of receipt of the concluded contract on enabling the exchange of time divided use of immovables.
Extension of Deadline for Withdrawal from Contract
Article 114
If the merchant failed to provide to the consumer the form for withdrawing from the contract in writing, on paper or on another durable medium, the consumer may withdraw from the contract, i.e. pre-contract on time divided usage of immovables, the contract, i.e. pre-contract on lasting holiday benefits, the contract, i.e. pre-contract on help in resale, and the contract, i.e. pre-contract on enabling the exchange of time divided use of immovables, within a term of one year and 14 days as of the day of receipt of the concluded contract, i.e. pre-contract.
If the seller delivers to the consumer the form for withdrawal from the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables before the expiry of one year from the day when the consumer received a copy of the concluded contract, i.e. pre-contract, the deadline for withdrawal from the contract is calculated from the day when the consumer received the form for withdrawal from the contract.
If the seller does not inform the consumer about the information referred to in Article 110 of this Act in written form, on paper or on another durable medium, the consumer has the right to withdraw from the contract, i.e. pre-contract on time divided usage of immovables, on lasting holiday benefits, on help in resale, and on enabling the exchange of time divided use of immovables, within a term of three months and 14 days from the day when he received a copy of the concluded contract, i.e. pre-contract.
If the seller delivers to the consumer a notification about the information referred to in Article 110 of this Act before the expiry of three months from the day when the consumer received a copy of the concluded contract, i.e. pre-contract, the deadline for withdrawal from the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables is calculated from the day when the consumer received the notification.
Usage of Right to Withdraw from Contract
Article 115
Statement by which the consumer withdraws from the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables has the legal effect if it is made in writing, on paper or on another durable medium.
The consumer may deliver to the seller the statement referred to in paragraph 1 of this Article in the form for withdrawal from the contract.
The statement referred to in paragraph 2 of this Article is considered timely, if sent before the expiry of deadline for withdrawal from the contract.
Legal Consequences of Withdrawal
Article 116
By withdrawing from the contract, i.e. pre-contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables, the obligations of the contracting parties to perform, i.e. conclude the contract cease.
The consumer has the right to withdraw from the contract without compensation of costs and is not obliged to pay the services that were provided before the withdrawal from the contract, i.e. pre-contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables.
Article 117
In contracts on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables, it is prohibited to stipulate the advance payment, the provision of security instruments, reserving of money on accounts, explicit acknowledgment of debt, or other fulfillment of obligation towards the merchant, or towards a third party, before the expiration of the deadline for withdrawal from the contract.
In contract on help in resale it is prohibited to stipulate payments, the provision of security instruments, explicit acknowledgment of the debt, or other fulfillment of an obligation towards the merchant, or a third party, before the conclusion of the contract on time divided usage of immovables, and the contract on lasting holiday benefits, i.e. before the merchant in some other way fulfills the obligations under the contract on help in resale.
Contract on Lasting Holiday Benefits
Article 118
In contract on lasting holiday benefits, the permanent of the price is made in installments, in equal annual amounts for the duration of the contract.
It is forbidden to pay in contravention of paragraph 1 of this Article.
The total amount of the consumer's obligations, including membership fee, is calculated in equal annual installments.
The seller shall send to the consumer a request for payment of each installment, in writing, on paper or on another durable medium, not later than 14 days before the day of its maturity.
After payment of the first installment, the consumer may, without interest, withdraw from the contract on lasting holiday benefits, by delivering a notice of withdrawal from the contract to merchant, within a term of 14 days from the day of receipt of the request for payment of the installment.
Termination of the Linked Contracts
Article 119
If the consumer withdraws from the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables, it is deemed that all linked contracts are terminated, with no additional cost to the consumer, including the loan contract, regardless of whether the loan to the consumer was approved by the merchant or a third party.
If the loan was approved to the consumer by a third party, the merchant shall inform the loan provider about the withdrawal from the contract on time divided usage of immovables, the contract on lasting holiday benefits, the contract on help in resale, and the contract on enabling the exchange of time divided use of immovables.
Help in Resale of Time Divided Use of Immovables i.e. Lasting Holiday Benefits
Article 120
The merchant shall provide help to the consumer in resale of time divided use of immovables, i.e. lasting holiday benefits.
If the merchant fails to provide help to the consumer in the manner referred to in paragraph 1 of this Article, the consumer may request from the merchant to buyback the time divided use of immovables or lasting holiday benefits.
Guarantees in Case of Insolvency
Article 121
The provisions of Article 108 of this Act apply mutatis mutandis to the merchant's guarantee for services under the contracts on time divided usage of immovables, lasting holiday benefits, help in resale of time divided use of immovables, and on enabling the exchange, which were not performed because of the merchant's insolvency.
Article 122
The merchant, the persons who by order of the seller participate in the sale of time divided use of immovables, the persons to whom the merchant has entrusted to carry out certain activities under the contract on sale of time divided use of immovables, other merchants involved in the sale of services of time divided use of immovables, as well as agents in the sale of services of time divided use of immovables, are jointly and severally liable to the consumer for the fulfillment and legal consequences of non-fulfillment of contractual obligations.
XII STRATEGY AND INSTITUTIONAL FRAMEWORK FOR CONSUMER PROTECTION
Article 123
Consumer protection strategy (hereinafter: Strategy) defines the long-term goals and activities necessary to achieve a comprehensive consumer protection policy and action plan for the implementation of the Strategy.
The Government, at the proposal of the Ministry, adopts the Strategy.
Holders of Consumer Protection
Article 124
Holders of consumer protection are the National Assembly, the Government, the Ministry, and the National Council for Consumer Protection, other ministries and regulatory bodies with statutory powers in the field of consumer protection, autonomous province and local government authorities, as well as associations and federations.
Holders of consumer protection referred to in paragraph 1 of this Article cooperate with each other in order to improve the consumer protection and in implementation of the Strategy and the action plan.
Cooperation in the Field of Consumer Protection
Article 125
Chamber of commerce and professional chambers and associations that were established with the aim to protect the rights of merchants in the field of trade, encourage and promote consumer protection, particularly among their members.
In order to improve the consumer protection, the commercial and professional chambers and associations referred to in paragraph 1 of this Article cooperate with the holders of consumer protection referred to in Article 124, paragraph 1 of this Act.
Article 126
The Ministry:
1) Creates a consumer protection policy;
2) Implements the procedure and determines the measures of protection of collective interests of consumers;
3) Submits a request for initiating of a misdemeanor proceeding because of violation of collective interests of consumers;
4) Monitors the implementation of consumer protection policy through other state policies;
5) Cooperates and coordinates with the holders of consumer protection referred to in Article 124, paragraph 1 of this Act, as well as with all other subjects whose activity involves the protection of consumers;
6) Improves the legal framework of consumer protection and performs harmonization with the European Union regulations in the field of consumer protection;
7) Ensures implementation of regulations and performs coordination of market supervision in the area of consumer protection;
8) Prepares and submits to the Government for adoption, the Strategy and the action plan for the implementation of the Strategy;
9) Monitors and evaluates the success of the implementation of the Strategy;
10) Performs expert and administrative tasks for needs of the National Council for Consumer Protection;
11) Supports the establishment and coordinates the development of the body for the extrajudicial resolution of consumer disputes;
12) Supports the work and development of associations and federations;
13) Cooperates with authorities of the province and local government in the development of consumer protection at the provincial and local levels;
14) Cooperates with the institutions that deal with consumer protection at regional and international levels;
15) Promotes and implements educational and informational activities aimed at increasing the awareness of consumers and the public about consumer rights and the consumer protection policy;
16) Promotes research and scientific projects in the field of consumer protection;
17) Manages and performs supervision over the National Register of Consumer Complaints, established in accordance with Article 139 of this Act;
18) Monitors the market in terms of recognizing of unfair commercial practice and unfair terms in consumer contracts;
19) Provides opinions and recommendations in respect of unfair commercial practices and unfair terms in consumer contracts;
20) Encourages the adoption of the code of good business practice, by business and professional chambers and trade associations.
National Council for Consumer Protection
Article 127
In order to improve the system of consumer protection and cooperation of consumer protection holders and other entities dealing with consumer protection, the Government forms the National Council for Consumer Protection (hereinafter: National Council).
The National Council in particular performs the following tasks:
1) Participates in the development of the Strategy;
2) Reports to the Government on the situation in the field of consumer protection and the implementation of the action plan for the implementation of the Strategy;
3) Proposes measures and activities for improvement of consumer protection;
4) Gives opinions and recommendations on issues related to consumer protection to the holders of consumer protection;
5) Informs the public about its work and issues of importance for consumer protection.
Composition of the National Council
Article 128
The National Council is composed of representatives of the Ministry and other state bodies and holders of public authorities, registered associations and federations, economic and professional chambers and other market participants, as well as independent experts in the field of consumer protection.
The permanent members of the National Council are the representatives of the Ministry, the ministry responsible for food safety, the ministry responsible for product safety, the ministry responsible for health, the ministry responsible for energy, the ministry responsible for telecommunications, the ministry responsible for justice, the ministry responsible for finance, the ministry responsible for tourism and the ministry responsible for environmental protection.
The representatives of registered associations and federations make one third of the total number of members of the National Council.
The Consumer Council referred to in Article 138 of this Act, within a term of 30 days as of the day of receipt of the request of the Ministry, proposes the members of the National Council belonging to the registered associations and federations.
The Minister presides over the National Council.
Activities of Autonomous Province and Local Government Authorities
Article 129
Authorities of the Autonomous Province and the units of local government carry out the activities under their jurisdiction in order to improve consumer protection, in particular:
1) Support the activities of associations and federations in terms of providing financial resources, appropriate premises and other necessary conditions for work, in accordance with the regulations on the financing of programs of public interest that are implemented by associations;
2) Encourage and support the activities aimed at consumer protection, particularly informing, advising and educating consumers;
3) Encourage and support the participation of consumers’ representatives in all authorities which at the provincial and local level, make decisions in the areas of importance for consumers, such as services of general economic interest;
4) Plan and implement activities in the field of consumer protection in their territories, in accordance with the Strategy;
5) Support the establishment and operation of the authorities for the extrajudicial resolution of consumer disputes in their territories.
Authorities of the Autonomous Province and units of local government submit an annual report to the Ministry about the implemented activities in improving consumer protection, in accordance with paragraph 1 items 1) - 5) of this Article, no later than 15 March of each year for the previous calendar year.
Article 130
Associations and federations in terms of this Act are the associations i.e. federations that were established in accordance with the act which regulates the establishment and legal status of associations and who meet the following requirements:
1) That the area where they fulfill the goals of the association, i.e. federation is consumer protection;
2) That they are non-profit and independent, especially in relation to merchants and political parties;
3) That a person in a leadership position in the association, i.e. federation, is not:
(1) A person employed in a state body or in regulatory authority, i.e. in an authority of the Autonomous Province or authority of a local government unit which deals with matters of consumer protection;
(2) A person in a leadership position or a member of supervisory board at the merchant, or in the association of merchants;
(3) A person in a leadership position in a political party.
It is prohibited that the association i.e. federation, presents itself, or that in its name it states that it is the association, i.e. federation of associations for consumer protection, if it does not meet the conditions referred to in paragraph 1 of this Article.
Associations and federations in terms of this Act are the associations i.e. federations that were established in accordance with the act which regulates the establishment and legal status of associations and who meet the following requirements:
1) That the area where they fulfill the goals of the association, i.e. federation is consumer protection;
2) That they are non-profit and independent, especially in relation to merchants and political parties;
3) That a person in a leadership position in the association, i.e. federation, is not:
(1) A person employed in a state body or in regulatory authority, i.e. in an authority of the Autonomous Province or authority of a local government unit which deals with matters of consumer protection;
(2) A person in a leadership position or a member of supervisory board at the merchant, or in the association of merchants;
(3) A person in a leadership position in a political party.
It is prohibited that the association i.e. federation, presents itself, or that in its name it states that it is the association, i.e. federation of associations for consumer protection, if it does not meet the conditions referred to in paragraph 1 of this Article.
Activities of the Associations and Federations
Article 131
The associations and federations carry out their activities in accordance with the law and their articles of association.
Activities of the associations and federations in particular include:
1) Informing, education, counseling and provision of legal assistance to consumers in exercising consumer rights;
2) Receiving, registering and acting of consumer complaints;
3) Conducting independent researches and comparative analysis of the quality of goods and services and public disclosure of the obtained results;
4) Conducting researches and studies in the field of consumer protection and public disclosure of the obtained results.
Records of Associations and Federations
Article 132
The Ministry establishes and keeps the records of associations and federations (hereinafter referred to as: Records).
Records are publicly disclosed the official website of the Ministry.
Records include the annual financial statements and annual reports on implemented activities of associations and federations.
Article 133
Entry of associations and federations in the Records is conducted by the Ministry.
Associations, i.e. federations submit an application to the Ministry for entry into the Records.
The application referred to in paragraph 2 of this Article, contains in particular the following: name of the association or federation, certificate of registration at the Business Registers Agency, articles of association of the association, i.e. federation, as well as adequate evidence that the association, i.e. federation meets all the requirements prescribed by Art. 130, 131, 134 and 136 of this Act.
The Minister prescribes in more detail the conditions and content of the application referred to in paragraph 2 of this Article, as well as conditions, content and manner of keeping records referred to in Article 134, Paragraph 1, Items 3) and 4) of this Act.
Conditions for Entry in the Records
Article 134
For registration of associations, i.e. federations into the Records, in addition to the conditions referred to in Art. 130, 131 and 136 of this Act, it is necessary also to fulfill the following requirements:
1) That their main activity is to achieve the objectives of consumer protection;
2) That it is active in the area of consumer protection for at least three years;
3) That it has adequate personnel, material and technical capacities necessary for carrying out the activities of consumer protection;
4) That the representatives of associations i.e. federations, possess the appropriate experience, expertise and skill for practice in the area of consumer protection;
5) That it submits a report to the Ministry about the implemented activities and achieved results in the field of consumer protection, including the accompanying financial report, which confirms the experience in this field in the period of at least three years.
For registration of the federation into Records, it is necessary that the federation consists of at least three associations.
In determining fulfillment of the requirements for entry into Records, the Ministry shall seek the opinion of the Consumers Council, referred to in Article 138 of this Act.
At the request of the Ministry, the Consumers Council submits the opinion referred to in paragraph 3 of this Article to the Ministry within a term of 30 days.
The Ministry continues the process of registration in the Records, if the Consumers Council fails to deliver opinion within the period referred to in paragraph 4 of this Article.
Rights of Registered Associations and Federations
Article 135
Associations i.e. federations who are enrolled in the Records in accordance with this Act, have the right to:
1) Apply for incentive funds of the Ministry Compete by filing a public interest program;
2) Initiate proceeding for the protection of the collective interest of consumers in accordance with Article 147 of this Act;
3) Represent consumer interests in judicial and extrajudicial procedures;
4) Represent the interests of consumers in the consultative bodies in the field of consumer protection at the national, regional and local level;
5) Participate in work of work groups for preparation of regulations and strategic documents which regulate the rights of consumers;
6) Use and access the National Registry of Consumer Complaints referred to in Article 139 of this Act, for the purpose of receiving, recording and acting upon consumer complaints;
7) Participate in the work of the Consumer Council referred to in Article 138 of this Act.
Financing of Associations and Federations
Article 136
Activities of registered associations, i.e. federations may be financed or co-financed from the budget of the Republic of Serbia in accordance with the law, Strategy and Work Plan of the Government.
European and international projects in the field of consumer protection led by the registered associations, i.e. federations may be co-financed from the budget of the Republic of Serbia.
Registered associations, i.e. federations shall submit a financial report to the Ministry about the activities financed in accordance with paras. 1 and 2 of this Article, by 31 March of the current year for the previous year, and Ministry publishes those reports on its website.
Registered associations, i.e. federations which provide the funds from other sources, outside the budget of the Republic of Serbia, shall inform the competent Ministry about that, within a term of 30 days from the receipt of those funds.
It is forbidden for associations, i.e. federations to receive monetary and other funds, assets, rights and services, other than gifts of small value, including any form of donations and non-refundable aid, from individuals and legal persons who are implicated in a conflict of interest, especially from merchants and merchant associations, except in cases of providing services for a fee (training, etc.) in accordance with the law and the articles of association of the association, i.e. federation.
A conflict of interest in terms of paragraph 5 of this Article is a situation in which a person, acting as a representative, official or member of a body of an association, i.e. federation, has a private, business or other interest that affects, may affect, or looks like it affects the actions of the person in the aforementioned property, in a way that may jeopardize the independence of the association, i.e. federation in achieving the objectives for which it was established.
Article 137
An association, i.e. federation is deleted from the Records if:
1) It ceases to meet the requirements under Art. 130, 134 and 136 of this Act;
2) It commits a serious violation of obligation under Article 138, paragraph 5 of this Act;
3) It abuses the term "association", i.e. "federation";
4) It fails to file the annual report to the Ministry about the performed activities and achieved results in the field of consumer protection, including the accompanying financial statement, in accordance with Article 132, Paragraph 3 of this Act, by March 31 of the current year, for the previous year;
5) It undermines the consumer principles of the Code of Ethics, adopted by the Consumer Council referred to in Article 138, paragraph 1, item 3) of this Act.
The Ministry is in charge to rule on the deletion from the Records.
In determining the fulfillment of conditions for deletion from the Records, the Ministry shall request an opinion of the Consumer Council, referred to in Article 138 of this Act.
Consumer Council submits its opinion, referred to in paragraph 3 of this Article, to the Ministry within a term of 30 days from the day when the Ministry asked for that opinion.
In the event that the Consumer Council fails to submit the opinion referred to in paragraph 3 of this Article, the Ministry continues the procedure of deletion from Records.
Article 138
Representatives of all associations, i.e. federations that are entered in the Records referred to in Article 132 of this Act, make the Consumer Council.
Consumer Council performs the following tasks:
1) Harmonizes the views of the association, i.e. federation on key issues for consumers;
2) Proposes representatives of associations, i.e. federations in the National Council and other bodies;
3) Adopts the Code of Ethics of the association, i.e. federation, and monitors its implementation;
4) Gives its opinion to the Ministry, in the process of registration and deletion from Records, referred to in Art. 133 and 137 of this Act;
5) Issues a recommendation on deletion of associations and federations from the Records of the Ministry;
6) Also deliberates other issues in accordance with the law and the Rules of Procedure.
Consumer Council renders the Rules of Procedure.
Decisions of Consumer Council are published by the Ministry on its website and by the registered associations, i.e. federations on their internet pages.
Associations, i.e. federations which do not publish the decisions of the Consumer Council on their internet pages commit a serious violation of the law.
XIII CONSUMER COMPLAINTS AND EXTRAJUDICIAL RESOLUTION OF CONSUMER DISPUTES
National Register of Consumer Complaints
Article 139
A consumer complaint is any grievance or remonstrance by which a violation of consumer rights provided under this Act and other acts is reported.
The Ministry keeps a National Register of consumer complaints.
Once a year, at the latest by 1 March of the current year for the previous year, the Ministry publicly announces and submits to the National Council a report on the work of the National Register of Consumer Complaints.
The report on the work of the National Register of Consumer Complaints contains in particular the following:
1) Data on consumer complaints and provided legal help;
2) Observed deficiencies in the collection, recording and resolving of consumer complaints;
3) Areas that recorded the highest number of consumer complaints;
4) Suggestions for improving the process of collecting, recording and resolving of consumer disputes.
Article 140
A consumer dispute is any dispute arising from the contractual relationship of the consumer and the merchant.
In a proceeding before the court in a consumer dispute, in terms of the law governing civil proceedings, the court fee is not payable for the action, if the value of the subject of dispute does not exceed the amount of 500,000 dinars.
Out of Court Resolution of Consumer Disputes
Article 141
Consumer dispute may be resolved through extrajudicial resolution of consumer disputes.
The Minister regulates in detail the requirements for out of court resolution of consumer disputes, and particularly the rules and criteria for the work of the authorities in charge of the out of court resolution of consumer disputes, as well as the application form for inclusion on the list referred to in Article 142, paragraph 1 of this Act, and the form for initiating the proceedings for out of court resolution of the dispute, to ensure that the process of resolving consumer disputes is independent, impartial, transparent, effective, fast and fair.
Out of court resolution of consumer disputes, in terms of this Act does not apply to:
1) Resolving disputes under the procedures established by the merchant himself;
2) Direct negotiations between the consumer and the merchant;
3) Judges’ endeavors to end the dispute in the court proceedings through reconciliation of the parties;
4) Proceedings initiated by the merchant against the consumer;
5) Disputes whose value exceeds 500,000 dinars.
Authorities for Extrajudicial Resolving of Consumer Disputes
Article 142
Ministry compiles a list of authorities for extrajudicial resolving of consumer disputes which meet the requirements specified in Article 141, paragraph 2 of this Act and discloses it publicly.
Authorities from paragraph 1 of this Article are entities that have the properties of a mediator, in accordance with the act governing the mediation in resolving disputes (mediation), i.e. a permanent arbitral institution in accordance with the act that governs arbitration.
The list of authorities for the extrajudicial resolving of consumer disputes contains:
1) The name, address and internet address of all the authorities for extrajudicial resolution of consumer disputes;
2) The information on their internal organization and mode of financing, including data on individuals who are in charge of dispute resolution, their professional experience, remuneration and by whom were they hired;
3) Rules of Procedure;
4) The average duration of the disputes;
5) The language, i.e. languages in which the complaint may be lodged and the procedure carried out;
6) The types of consumer disputes in the scope of the procedure;
7) The reasons for which the authority may reject the extrajudicial resolution of a consumer dispute.
Once a year, at the latest by 31 January of the current year for the previous year, the authorities responsible for the extrajudicial resolution of consumer disputes shall publicly announce and submit to the Ministry a report containing data on the received applications for dispute resolution, on the initiated and concluded disputes, identified significant problems and similar, in accordance with Article 141, paragraph 2 of this Act.
If the authorities for the extrajudicial resolution of consumer disputes cease to fulfill the prescribed conditions and fail to publicly announce and submit the report referred to in paragraph 4 of this Article, they shall be deleted from the list of authorities for extrajudicial resolution of consumer disputes.
Article 143
Initiation and conduction of proceedings for extrajudicial resolution of a consumer dispute, neither precludes, nor affects the exercise of the right to judicial protection, in accordance with the law.
Mutatis Mutandis Application of Other Regulations
Article 144
The provisions of the act that governs mediation, arbitration as well as the other regulations which govern the out of court resolution of disputes apply mutatis mutandis to the process of conducting and finalizing the extrajudicial resolution of a consumer dispute.
XIV PROTECTION OF COLLECTIVE INTEREST OF CONSUMERS
Collective Interest of Consumers
Article 145
Violation of the collective interest of consumers exists:
1) When, to the total number of at least ten consumers, with the identical action, i.e. in the identical manner, by the same person, a right guaranteed to them by this Act is violated, or
2) In the case of unfair business practice within the meaning of Art. 17-23 of this Act, i.e. unfair provisions in consumer contracts within the meaning of Art. 41 to 45 of this Act.
Violation of the collective interest of consumers referred to in paragraph 1, item 1) of this Article exists also in cases when the rights of the total number of consumers that is less than the number ten are violated, if the competent authority determines that there was a violation of the collective interest of consumers, taking into account in particular the duration and frequency of the merchants behavior, as well as the fact whether this behavior exerts adverse effects towards each consumer in a given factual situation.
Procedure of Protection of the Collective Interest
Article 146
The procedure of protection of collective interest is initiated and conducted by the Ministry, upon request of an authorized person or ex officio.
If in the process of supervision, the Ministry assesses that some acting or omission of participants in the market, and in particular the existence of unfair contractual provision or unfair business practice, compromises or threatens to compromise the collective interest of consumers, it shall initiate ex officio the process of determining the violation of the collective interest of consumers.
The Ministry initiates the procedure for protection of the collective interest of consumers ex officio, when, on the basis of submitted initiatives, information and other data available, it evaluates that there is a violation of collective interests of consumers.
The procedure to protect the collective interest of the consumers may be led against a merchant, i.e. merchant association, whose behavior is contrary to the regulations referred to in Article 145 paragraph 1 of this Act.
In the procedure of protection of the collective interest the rules of general administrative procedure are applied, unless otherwise stipulated by this Act.
Persons Authorized to File Application for Protection of Collective Interest of Consumers
Article 147
Application for the protection of the collective interest of consumers may be submitted by registered associations, i.e. federations referred to in Article 132 of this Act.
Parties to the Proceedings and Initiating the Proceedings
Article 148
The parties to the proceedings are the person against whom the proceedings were initiated and the applicant.
Applicants of the initiative to examine the violation of a collective interest of consumers, providers of information and data, experts and organizations whose analyzes are used in the proceedings, as well as other government agencies and organizations that cooperate with the Ministry in the course of the proceedings, do not have the status of a party.
A conclusion is rendered to mark the initiation of the proceedings which particularly contains a description of the actions or documents that may constitute a violation of the collective interest of consumers, legal basis and the reasons for initiating the procedure, as well as an invitation to all persons who have access to data, documents and other relevant information, to submit them to the Ministry.
A separate appeal is not allowed against the conclusion on instituting the proceedings.
Decisions in Proceedings on Protection of Collective Interest of Consumers
Article 149
The Ministry issues a decree when deciding on existence of the violation and imposing a measure.
The Ministry shall notify the person against whom proceedings on protection of the collective interests of consumers have been initiated, of the essential facts, evidence and other elements which were the cause for conducting the proceedings, and invite such person to plea within a term of 15 days as of the day of receipt of this notification.
The person against whom the proceedings is conducted may, in his response, give a proposal of the obligations that is willing to take in order to eliminate violation of law, with conditions and terms for the implementation (corrective statement).
Next to the parts discussed under paragraph 1 of this Article, the decree also contains a deadline for implementation of the imposed measure.
Administrative dispute proceedings may be initiated against the decree rendered in the proceedings for protection of the collective interest.
Measure for Protection of Collective Interest of Consumers
Article 150
If violation of the collective interest has been found, a measure to protect the collective interest of consumers is imposed which may order the person against whom legal proceedings were conducted to engage in certain conduct or to prohibit such person from engaging in certain conduct, and in particular to:
1) Cease violating the provisions of this Act or any other regulation where such violation compromises the collective consumer interest, and to abstain from it henceforth;
2) Correct the found irregularity;
3) Cease with unfair business practice and to prohibit him from engaging in such or similar behavior henceforth;
4) Promptly discontinue contracting unfair contract terms.
In the decree under Article 149, paragraph 1 of that Article, the Ministry may impose an obligation to the merchant to inform the Ministry within a set deadline on the implementation of the imposed measures.
Decree ordering the measure referred to in paragraph 1 of this Article is published on the internet page of the Ministry.
If the Ministry finds that a violation of the collective interest of consumers occurred, it submits a request for initiation of misdemeanor proceedings to the competent authority, for misdemeanors stipulated by this Act.
Article 151
If there is a danger of serious adverse effects to the rights and interests of consumers, the Ministry, at the proposal of the applicant, may order that the performance of certain actions must stop, i.e. that actions that prevent or eliminate adverse effects must be undertaken.
Interim measure may last until the rendering of the decree in such proceeding.
Article 152
Ministry stays the proceeding if the merchant, with a corrective statement, undertakes that he shall not continue or repeat the action or act which harms the collective interest of consumers.
Stay of proceedings referred to in paragraph 1 of this Article may last for a maximum of three months.
The Ministry ex officio takes care about conforming to the obligation referred to in paragraph 1 of this Article.
If the party against whom the proceeding is conducted does not fulfill or violates the undertaken commitments before the expiry of the term of three months, or in the meantime commits a new violation, the Ministry resumes the proceeding.
If the party against whom the proceeding is conducted fulfills the undertaken obligations within the prescribed period the Ministry shall suspend the procedure.
Proceeding for Compensation of Damages
Article 153
Starting or conducting proceedings for the protection of the collective interest of consumers does not prevent the consumer who suffered damages to initiate, before a competent court, a proceeding for compensation of that damage, or to initiate before a court a proceeding for annulment or voiding of the contract, i.e. to initiate before a court any other proceeding, demanding fulfillment of his rights.
Article 154
Supervision over the implementation of this Act and regulations adopted on the basis of this Act is conducted by the Ministry.
The bodies of state administration and bodies of the autonomous province and unit of local government, within the scope of their duties, carry out supervision of the implementation of regulations in the field of consumer protection, and undertake actions prescribed by this Act and other regulations.
Inspection supervision over the implementation of this Act and regulations adopted under this Act is performed by the ministry responsible for trade, through market inspectors, as well as the ministry responsible for tourism, through tourism inspectors, in accordance with the powers prescribed by this Act and regulations governing inspection in these areas.
Article 155
In the process of implementing supervision, the bodies referred to in Article 154, paragraph 2 of this Act cooperate and submit to each other data and information necessary for work on issues of consumer protection.
In order to improve cooperation and resolving the issues of jurisdiction, the Government, at the proposal of the minister responsible for consumer protection, may establish coordinating bodies.
The Ministry manages the activities of consumer protection and the authorities referred to in Article 154 paragraph 2 shall submit to the Ministry the analysis of the state of affairs under their scope of jurisdiction which relate to consumer protection and give an opinion on issues of importance for the protection of consumers.
Authorizations of Competent Inspectors
Article 156
When carrying out supervision, the competent inspector has all the rights, duties and powers stipulated by this Act and the laws regulating the inspection in the field of trade, i.e. tourism.
When carrying out supervision, the competent inspector examines whether a merchant, i.e. seller:
1) Displays prices in accordance with Art. 6 to 10 of this Act;
2) Advertises selling price in accordance with Article 11 of this Act;
3) Issues a bill, in accordance with Article 12 of this Act;
4) Informs the consumers in accordance with Art. 13, 27, 87, 88, 93 and 111 of this Act;
5) Charges additional costs without the prior express consent of the consumer in accordance with Article 14 of this Act;
6) Performs an unfair business practice in accordance with Art. 19-23. this Act;
7) Sells, serves and gives a minor tobacco, i.e. alcohol products and beer, as well as pyrotechnics, contrary to Article 24 of this Act;
8) Acts contrary to Article 26 of this Act;
9) Hands over to the consumer a form for withdrawal from distance contracts and contracts concluded away from business premises, in accordance with Art. 30 and 31 of this Act;
10) Delivers the goods in accordance with Article 32, paragraph 1 of this Act;
11) Has performed the reimbursement of the amount received from the consumer, as well as the costs of delivery, in case of withdrawal from the contract within the legal deadline of 14 days, in accordance with Article 34, paragraph 1 of this Act;
12) Performs direct advertising in accordance with Article 38 of this Act;
13) Sends shipments which the consumer has not ordered, in accordance with Article 39, paragraph 1 of this Act;
14) Performs advertising by means of distance communication, in accordance with Article 40 of this Act;
15) Delivers the goods to the consumer, in accordance with Article 46, paragraph 1 of this Act;
16) Submits to the consumer the supporting documentation with goods in accordance with Article 47 of this Act;
17) Acts in accordance with Article 48, paragraph 4 of this Act;
18) Issues a warranty card to the consumer, in accordance with Article 54 and Article 81, paragraph 3 of this Act;
19) Uses the term "warranty" and the term with such meaning, in accordance with Article 55 of this Act;
20) Receives, records, or responds to a consumer complaint, in accordance with Article 56 and Article 81, paragraph 3 of this Act;
21) Performs additional works without the explicit consent of the consumer, contrary to Article 71 of this Act;
22) Suspends the provision to the consumer of services of general economic interest, contrary to Article 86 of this Act;
23) Carries out the specification of the bill in accordance with Article 91 of this Act;
24) Establishes contact line in relation to connection to the distribution network, quality and use of services of general economic interest, in accordance with Article 92 of this Act;
25) Advertises or offers to sell tourist travels, in accordance with Article 95 of this Act;
26) Informs the consumer about the data pertaining to the host family and the responsible person to whom a pupil, i.e. a student may turn to for assistance in the place of residence, in accordance with Article 101, paragraph 3 of this Act;
27) Submits a guarantee in case of insolvency, in accordance with Art. 108 and 121 of this Act;
28) Advertises and offers time divided use of immovables, lasting holiday benefits, help in resale of time divided use of immovables and lasting holiday benefits, i.e. exchange of time divided usage of immovables, in accordance with Article 111 of this Act;
29) Allows a special signing of contractual provisions on the right of the consumer to withdraw from the contract, about the duration of that right, and about the prohibition of advanced payment during the term of validity of the right to withdraw, in accordance with Article 112 paras. 7 and 8 of this Act;
30) Implements a measure of protection the collective interest of consumers pursuant to Article 150 of this Act.
The competent inspector, while carrying out supervision, verifies whether the provider of guarantee:
1) Sells the goods with the warranty card which is made in accordance with Article 54, paragraph 2 of this Act;
2) Uses the term "guarantee" and a term with such meaning, in accordance with Article 55 of this Act.
Article 157
In the event the violation of the law has been established, the inspector orders the merchant, i.e. seller to eliminate the established irregularity.
By the decree referred to in paragraph 1 of this Article, the inspector shall determine the period within which the merchant, i.e. the seller eliminate the irregularity, and which may neither be shorter than 24 hours nor longer than two months, unless prescribed otherwise.
If the merchant, i.e. seller fails to comply with the order under paragraph 2 of this Article, the inspector shall within the decree impose a measure of temporary ban on trade of goods, i.e. performance of service to which the measure applies.
Article 158
Inspection in the sense of this Act is performed ex officio, and begins when the inspector undertakes a first act in the procedure of inspection.
Reports about violation of the law, i.e. other information, notifications, submissions and requests, made in order to instigate the inspection, have the effect of an initiative to institute proceedings, and the applicants of these initiatives do not have the property of a party in the proceeding.
The inspector draws up minutes on all actions undertaken during the inspection proceedings which are of importance for determining the facts.
The inspector makes an official note about issues that are not directly relevant to establishing the facts.
If he finds that law has been violated, the inspector issues and delivers the decree in accordance with his authorities within a term of five days of the day of commencement, i.e. completion of the control.
The inspector, at the time and place of control, may issue a temporary decree, which cease to be valid after expiration of the deadline for issuing of the decree referred to in paragraph 5 of this Article.
A separate appeal is not allowed against the temporary decree.
Article 159
Appeal against the decree referred to in Article 157 of this Act may be filed within a term of eight days to the Minister.
The appeal referred to in paragraph 1 of this Article does not postpone the enforcement of the decision.
The party against which an administrative measure is imposed may initiate proceedings before the Administrative Court against the second instance decision of the Minister, within a term of 14 days, but the appeal does not postpone the enforcement of the decision.
Article 160
A fine in the amount of 300,000.00 to 2,000,000.00 dinars shall be imposed on a legal parson if it:
1) Fails to display the price, in accordance with Art. 6 to 10 of this Act;
2) Does not advertise the selling price, in accordance with Article 11 of this Act;
3) Does not issue a bill to the consumer, in accordance with Article 12, paras. 1 and 2 of this Act;
4) Fails to comply with the displayed price and conditions of sale, in accordance with Article 12, paragraph 3 of this Act;
5) Charges issuing and sending of the bill, i.e. warning to the consumer referred to in Article 12 paras. 4 and 5 of this Act;
6) Does not inform the consumer, in accordance with Article 13 of this Act;
7) Charges additional costs without the prior explicit consent of the consumer, in accordance with Article 14 of this Act;
8) Performs unfair business practice under Article 18 of this Act;
9) Deceives the consumer in the way stipulated by Art. 19-21. of this Act;
10) Engages in intrusive business practice, in the way stipulated by Art. 22 and 23 of this Act;
11) Sells, serves and gives away alcoholic beverages, including also beer, tobacco products, and pyrotechnic products to persons which are younger than18, contrary to Article 24, paragraph 1 of this Act;
12) Refuses to sell the goods to the consumer, which have been displayed or otherwise prepared for sale, or refuse to provide a service that can be provided, if that is not in conflict with another regulation and generally accepted business customs, contrary to the Article 26, paragraph 1 of this Act;
13) Fails to provide the goods to the consumer in the exact measurement or amount, or does not allow him to check this accuracy, contrary to Article 26, paragraph 3 of this Act;
14) Offers special sales incentives for the purchase of goods and services, in contravention of Article 26, paragraph 4 of this Act;
15) Does not inform the consumer prior to the conclusion of a distance contract and contract concluded away from business premises on the data referred to in Article 27 of this Act;
16) At the occasion of the conclusion of a distance contract and contract concluded away from business premises, fails to hand over to the consumer the form for withdraw from the contract, in accordance with Art. 30 and 31 of this Act;
17) Does not deliver the goods to the consumer within the period prescribed by Article 32, paragraph 1 of this Act;
18) Did not refund the amount of payment received from consumer, as well as the costs of delivery, in case of withdrawal from the contract within the legal deadline of 14 days, in accordance with Article 34, paragraph 1 of this Act;
19) Directly advertises, contrary to Article 38 of this Act;
20) Sends the shipments which the consumer has not ordered, contrary to Article 39 of this Act;
21) Advertises by means of distance communication, contrary to Article 40 of this Act;
22) Fails to surrender the goods to the consumer, or hand over a legal instrument on the basis of which the goods may be taken over, in accordance with Article 46, paragraph 1 of this Act;
23) Does not deliver the goods to the consumer in the agreed quantity, in accordance with Article 46, paragraph 2 of this Act;
24) Does not write on the bill, legibly and clearly, the deadline for delivery of the goods, in accordance with Article 46, paragraph 4 of this Act;
25) Does not hand over to the consumer, at the occasion of delivery of goods, the documents which relate to the goods, in accordance with Article 47 of this Act;
26) Does not return to the consumer all sums paid under the contract in the event of termination of the contract, in accordance with Article 48, paragraph 4 of this Act;
27) As the provider of the warranty, fails to make a warranty card in accordance with Article 54, paragraph 2, and Article 81, paragraph 3 of this Act;
28) Does not issue to the consumer a warranty card, in accordance with Article 54, paragraph 3 and Article 81 paragraph 3 of this Act;
29) Uses the term "warranty", and the term with such meaning, contrary to Article 55, i.e. Article 81, paragraph 3 of this Act;
30) On the point of sale fails to visibly display a notification about the method and place of receipt of consumer complaints, or at the place designated for reception fails to ensure the presence of persons authorized for receiving consumer complaints during working hours, in accordance with Article 56, paragraph 2, i.e. Article 81, paragraph 3 of this Act;
31) Fails to issue to the consumer a written confirmation, i.e. by electronic means fails to confirm the receipt of the consumer complaint, in accordance with Article 56, paragraph 5 and Article 81, paragraph 3 of this Act;
32) Does not maintain and keep the records of received consumer complaints, in accordance with Article 56 paras. 4 and 6, i.e. Article 81, paragraph 3 of this Act;
33) Does not answer to filed consumer complaint in the manner and within the period prescribed by Article 56, paragraph 7, i.e. Article 81, paragraph 3 of this Act;
34) Fails to resolve the request from the consumer complaint in the manner prescribed by Article 56, paragraph 8, i.e. Article 81, paragraph 3 of this Act;
35) Fails to inform the consumer of each extension of the deadline for resolving the consumer complaint, in accordance with Article 56, paragraph 9, i.e. Article 81, paragraph 3 of this Act;
36) Fails to obtain the consent of the consumer for performing the additional work in accordance with Article 71 of this Act;
37) Does not establish the Advisory Body, in accordance with Article 83 of this Act;
38) Suspends the provision of service of general economic interest to the consumer, contrary to Article 86 of this Act;
39) Suspends the provision of the service, in accordance with Article 86, paragraph 5 of this Act;
40) Authorizes another legal or natural person to communicate with the consumer, without the prior obtained express consent of the consumer, in person, by phone, fax, mail, electronic mail or other means of distance communication, to achieve the receivables from the contract, contrary to Article 86, paragraph 6 of this Act;
41) Does not inform the consumer about the data referred to in Art. 87 and 88 of this Act;
42) Does not allow the consumer to terminate the contract on the provision of services of general economic interest, in accordance with Article 89 of this Act;
43) Does not issue a bill for services of general economic interest in accordance with the requirements of the bills specification referred to in Article 91 of this Act;
44) Does not establish a free telephone line and does not set up a committee for resolving consumer complaints, in accordance with Article 92 of this Act;
45) Fails to inform the consumer about the data referred to in Article 93 of this Act;
46) Advertises or offers to sell a tourist travel, contrary to Article 95 of this Act;
47) Not later than 14 days before departure, fails to inform the consumer about the name, address and telephone number of the host family and the name, address and telephone number of the responsible person to whom the pupil, i.e. student may turn to for assistance in the place of residence, in accordance with Article 101, paragraph 3 of this Act;
48) Does not provide to the consumer a sufficient guarantee in case of insolvency in case of contracts of tourist travel and time divided use of immovables, in accordance with Article 108, paragraph 1 and Article 121 of this Act;
49) Fails to inform the consumer about the data referred to in Article 110 of this Act;
50) Does not clearly display the promotional or sales purpose of an event, contrary to Article 111 of this Act;
51) Next to the contractual provisions on the right of the consumer to withdraw from the contract, on the duration of that right and on the prohibition of advance payments during the period of validity of the right to withdraw, the signature of the consumer is missing, contrary to Article 112, paragraph 8 of this Act;
52) Violates the collective interest of consumers under Article 145 of this Act;
53) Acts contrary to the measure for protection of the collective interest of consumers referred to in Article 150 of this Act;
54) Acts contrary to an order contained in the decree of the inspector referred to in Article 157 of this Act.
For the actions referred to in paragraph 1 of this Article, a natural person or a responsible person in a legal person, shall be imposed with a fine ranging from 50,000.00 to 150,000.00 dinars.
For the actions referred to in paragraph 1 of this Article, a sole trader shall be imposed with a fine ranging from 50,000.00 to 500,000.00 dinars.
Article 161
Along with the misdemeanor fine referred to in Article 160, paragraph 1, items 9), 10), 11), 12) and 54) of this Act, the legal person may be imposed with a protective measure of prohibition to perform certain activities for a period of six months to a year, as well as a protective measure of public announcement of the sentence.
Along with the misdemeanor sentence from the Article 160, paragraph 2, for the actions referred to in Article 160, paragraph 1, items. 9), 10), 11), 12), and 54), the responsible person in the legal person may be imposed with a protective measure of prohibition to perform certain activities for a period of three months to one year.
Along with misdemeanor sentence from Article 160, paragraph 3, a sole trader may be imposed with a protective measure of prohibition to perform certain activities for a period of six months to one year for the actions referred to in Article 160, paragraph 1, items 9), 10), 11), 12), and 54).
XVII TRANSITIONAL AND FINAL PROVISIONS
Article 162
Secondary legislation, which is adopted on the basis of the authorization under this Act, shall be passed within a period of six months from the day of its entry into force.
Article 163
Associations and federations that are registered in the Register on the basis of the Consumer Protection Act ("Official Herald of RS", No. 73/10) and the Rule Book on Registration of Associations and Federations of Associations for Consumer Protection ("Official Herald of RS", No. 32/11) on day of entry into force of this Act are considered to be entered in the Register established on the basis of Article 132 of this Act.
Article 164
The Consumer Protection Act ("Official Herald of RS", No. 73/10) is repealed as of the day this Act starts applying.