Page 472 - MOE ENGLISH PR REPORT - JANUARY 2024

1/18/24, 11:10 AM UAE Implements Robust Consumer Protection Measures
The amendments focus on two core dimensions. Firstly, empowering local authorities with enhanced legislative powers to
enforce consumer protection laws effectively. Secondly, reinforcing deterrent measures to ensure merchants meet their legal
obligations, thus boosting a balanced merchant-consumer relationship.
Among the highlights of the amended legislation are:

Integrated Legislative System: The revised law establishes a legislative framework to safeguard consumers' rights and
uphold high standards of protection.
Offences and Fines: A list of 46 offences is introduced, with fines reaching up to AED 1 million, serving as a deterrent against
violations of consumer rights.
Merchant Responsibilities: Merchants' obligations during sales or service provision are elaborated, including 43 detailed
commitments, representing a significant expansion from previous legislation.
Empowered Local Authorities: Relevant local authorities are granted necessary powers for effective enforcement, including
receiving and resolving consumer complaints, imposing penalties, and addressing grievances.
Expedited Dispute Resolution: A new mechanism for expedited dispute resolution is introduced, minimising the need for
consumers to resort to the judiciary for every dispute.
Transparency and Oversight: The legislation aims to enhance transparency, improve consumer experience, and strengthen
oversight mechanisms for local authorities.
Prohibited Practices: Monopolistic practices and unfair clauses harming consumers are expressly prohibited, with examples
provided in the legislation.

Furthermore, H.E. Al Saleh highlighted amendments to key articles (5, 22, and 36), emphasising the establishment of the
'Supreme Committee for Consumer Protection,' increased authority for local entities in handling consumer complaints, and an
improved grievance review process.
The revised executive regulations outline a plan, emphasising legal procedures and mechanisms for consumer protection. The
plan includes provisions ensuring protection at various stages of the consumer-supplier relationship, procedures for handling
product defects, and clear guidelines for local authorities.
Penalties for violations are categorised, ranging from fines to license cancellation or deregistration for repeated offences.
Pricing reforms mandate merchants to display prices per unit, promoting transparency and informed consumer decision-
making.

H.E. Al Saleh concluded by urging consumers to be aware of their rights, emphasising mechanisms for claims, while also
calling on sellers to understand their obligations. These amendments mark a significant stride towards enhancing consumer
protection, aligning with the UAE's vision for 2031.

The Ministry of Economy is collaborating with local entities to develop a robust system for efficiently managing and addressing
complaints, with the aim of boosting consumer confidence and safeguarding their rights in the market.

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