Consumer authorities in several European countries have over the last years received lots of complaints and inquiries from consumers who have been the victims of fraud through social media. Under the lead of the French Consumer authority and with support from the European Commission, EU consumer authorities also identified that Facebook, Twitter and Google+ have contracts containing unfair terms.
The companies have now been given one month to make proposals on how to comply with the EU regulatory framework. They are also asked to cooperate more closely with consumer authorities to remove illegal ads from their platforms. The Consumer Ombudsman in Norway has participated actively in the European cooperation, and has raised similar questions with Facebook previously.
– Social media have become a big part of European consumers’ daily life, and a majority of the population use these platforms regularly. It is therefore important that they follow the EU rules, and do more to protect consumers against fraud, says the Consumer Ombud Elisabeth Lier Haugseth.
Necessary to change unreasonable terms
The platforms are now being asked to make a number of changes in their terms and conditions. This means that:
- Consumers must not be deprived of rights and protections they have under their country`s national legislation.
- The companies should not be able to change the terms of service without notifying their users.
- The users must be given clear information about the rules for removal of content created by the user, and the rules for termination of a contract by the platform.
- The users shall have the right to solve disputes with the companies in the country where they live.
Prevent fraud
The consumer authorities also asks the companies to do more to facilitate rapid removal of ads for fake goods, fake competitions, subscription traps, and other deceptive marketing.
The Consumer Ombudsman has also previously held a dialog with Facebook concerning this. After prolonged negotiations, the company took on a greater responsibility to block ads for fake goods.
– Fake online stores, subscription traps and false competitions, tricks a large number of Norwegian and European consumers every year. Facebook, Google+ and Twitter must remove this type of fraud, as soon as we make them aware of it, says Haugseth.
The companies have been given one month to report back what type of changes they will implement.