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NB: Unofficial t ranslat ion

Min i s t ry o f J us t i ce , F in l an d

Co n s u m e r P ro t e c t i on Ac t

(38 / 1978 ; amendments u p to29 / 2005 included)

Chapter 1 Gen era l p rovi s ion s

Section 1

(1) Th is Act applies to the offering, selling an d other m ar keting of cons u m er goods

an d services by bus iness es to cons u mers . The Act applies also where a b u siness

acts a s a n interm ediary in the tr an sfer of goods or services to cons u mers.

(2) Th is Act does not app ly to sta tu tory insu ra nce, grou p life as su ra nce of

employees, or corresponding benefits granted by a municipal insurance

insti tution.

Section 2

Th e provisions of this Act on s ales ap ply also to ba rter.

Sect ion 2a (29/ 2005)

The provisions laid down in chapters 3, 4 and 6a and provisions laid down on

door-to-door selling in chapter 6 of this Act apply, where appropriate, to the

commitments of a private guarantor and pledgor to a creditor as referred to in

the Act on Gu ara nties an d Third-Party Pledges (361/ 1999 ).

Sect ion 3 (16/ 1994)

For the p u rposes of this Act, cons um er goods and services are defined as goods,

services and other merchandise and benefits that are offered to natural persons

or which such persons acquire, to an essential extent, for their private

households .

Sect ion 4 (16/ 1994)

For the pu rposes of this Act, consumeris defined a natural person who acquires

consu mer goods a nd s ervices prima rily for a us e other than bu siness or trade.

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Sect ion 5 (16/ 1994)

For the purposes of this Act, business is defined as a natural person or a private

or public legal person who, in order to obtain income or other economic benefit,

deals in, sells or otherwise offers consumer goods or services on a professional

bas is a nd for cons ideration.

Section 6 has been repealed.

Chapter 2 Re gu l a t i on o f m a rke t i ng

Section 1

(1) No condu ct tha t is in ap propr iate or oth erwise un fair from th e point of view of

consu mers sh all be allowed in m arketing.

(2) Marketing th at does not con vey inform ation necessa ry in resp ect of th e h ealth or

econom ic secu rity of consu mers sh all always be deemed u nfair.

Sect ion 1a (460/ 2002)

Marketing must clearly show its commercial purpose and on whose behalf

ma rketing is implemented.

Section 2

False or misleading information shall not be conveyed in marketing.

Sect ion 2a (1072/ 2000)

Consumer goods or services shall not be marketed by delivering them to

consu mers without an express order an d by requiring tha t the consu mer pa ys for

them, re turn s th em, safekeeps th em or u ndertakes other measu res in respect of

them.

Section 3

The price of consumer goods or services shall not be advertised as being reduced

by more th an i t actua lly is below the p rice previou sly char ged b y the bu siness .

Sect ion 4 (1072/ 2000)

If several cons u mer goods or s ervices ar e being ma rketed a t one price or s o tha t

the purchase of a good or service entitles one to another good or service at a

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reduced price or to another specific benefit, the following information shall be

clearly noted in the ma rketing:

(1) th e conten t and valu e of th e offer an d, for goods an d services m ar keted at

one price, their individual prices, unless the individual price of a good or

service is less than EUR 10;

(2) th e con dition s of th e offer, especially its du ra tion an d th e volu m e

restrictions an d other r estrictions app lying to i t .

Sect ion 4a (1072/ 2000)

(1) For th e pu rpos es of th is section, comparative advertising is defined as advertising

where a competitor or a good or service marketed by a competitor can be directly

or in directly recognised.

(2) Compa ra tive ad vertising sh all be allowed, in so far as con cern s the comp arison ,provided th at:

(1) it is n ot false or m isleadin g;

(2) i t pertains to goods or services that are u sed for the sam e purp ose or for the

fu lfilm ent of the sa m e need;

(3) th e comp ar ison is impa rtial an d pert ains to essen tial, significan t, verifiable

and representative characteristics of the goods or services, or to the price of

th e goods or services;

(4) it does not give rise to a da nger of confus ing th e advertiser an d th e

competitor, their trademarks, trade names, other dis tinguishing marks or

goods and services;

(5) i t does not belit t le or dishon our the comp etitors tradem ark, trade na me,

other dis tinguishing ma rk, good or s ervice, operations or circum stan ces;

(6) it does not take un fair advan tage of th e repu tat ion of th e compet itors

trademark, trade name or other dis tinguishing mark, nor of the original

ap pellation of th e good or service ma rketed b y the comp etitor;

(7) it does not represen t a good or service as a copy or repr odu ction of an other

good or service protected b y a t radem ark.

(3) In so far as does not concern th e compa rison, compa rative advertis ing sh all be

subject to the provisions elsewhere in the law on advertis ing and other

marketing.

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Sect ion 4b (460/ 2002)

If m ar keting includes raffles, com petition s for th e pu blic or gam es, th e conditions

on participating in them must be clear and easy to understand as well as readily

accessible.

Section 5

(1) No ben efit ba sed on cha nce sh all be promised in mar keting if th e obta ining of

such benefit presupposes consideration, the purchase of consumer goods or

services or th e ma king of a pu rch as e offer.

(2) Th e provision in para graph (1) does not ap ply to ordin ary recreationa l

comp etit ions in n ewspa pers an d m agazines.

Section 6

Necessa ry provisions regardin g the following m ay be issu ed by Decree:

(1) th e atta chm ent of labels or ins tru ctions to consu mer goods, or the provision

of other information on the quality, characteris t ics and use of consumer

goods or services in marketing;

(2) th e qu otation of th e price of consu m er goods an d services and of credit

terms as well as of other contract term s in m arketing; an d

(3) th e arra ngement of consu mer comp etit ions in connection with ma rketing

and the maximum value of prizes or benefits to be given withoutconsideration in m arketing.

Section 7

(1) If deemed necessary in respect of consu mer protection, an injun ction ma y be

issued against a business ordering or carrying out a marketing operation,

forbidding it to continue marketing in violation of the provisions of this chapter

or of provisions or regulations issued on the basis thereof, or forbidding it to

repeat such or comparable marketing. The injunction shall be reinforced by a

thr eat of a fine u nless th is is for a specific reason deemed u nn ecessary.

(2) Shou ld there be special cau se, the injun ction ma y also be directed against a

person in the employ of the business referred to in paragraph (1) or against

an other person acting on i ts beh alf.

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Section 8

(1) An injun ction referred to in section 7 sh all be iss u ed by th e Market Court. Th e

Market Court may also issue an interim injunction, in which case the injunction

sh all rema in in force u ntil the case ha s been fina lly decided. (1547/ 2001 )

(2) The Consu mer Ombu dsm an ma y issue an injun ction or int erim inju nction

referred to in section 7, as provided in the Consumer Ombudsman Act

(40/ 1978).

Sect ion 8a (37/ 1995)

(1) An injun ction referred to in section 7 may be issu ed by th e State Provincial Office

in a matter relating to a violation of the Decree on the Quotation of the Price of

Cons u mer Goods an d Services in Marketing (9/ 1989 ), the pr ovisions issued

thereu nd er, or th e Decree on th e Inform ation to be Provided in the Marketing of

Residences (847/ 1983 ), if the cond u ct in qu estion is evidently agains t th e

provisions and if the application practice of the provisions in the matter in

question is established. The decision of the State Provincial Office shall not be

su bject to appeal.

(2) The bu siness ma y refer an inju nction referred to in pa ragraph (1) to the Market

Court within fourteen days of being served with the decision of the State

Provincial Office. Other wise th e decision s h all be final. (154 7/ 200 1)

(3) Th e State Provincial Office may rein force its in jun ction issu ed by th e threa t of a

fine. The fine sh all be enforced by the Mark et Cou rt. (154 7/ 200 1)

(4) Before th e Sta te Provin cial Office issu es an injun ction referred to in para graph

(1), it sh all reserve the bu siness a n opportun ity to be heard.

(5) Wh en iss u ing an inju n ction referred to in pa ra graph (1), th e Sta te Provincial

Office sh all m ak e its d ecision in writing an d s ee to its s ervice on th e par ties.

Sect ion 9 (1547/ 2001)

When issu ing a n inju nction referred to in s ection 7 , the Market Court ma y oblige

the business on whom the injunction was imposed or who ordered or carried out

the marketing operation to rectify the marketing operation within a set period,

where this is deemed necessary because of the evident harm caused to

consumers thereby. The obligation may be reinforced by the threat of a fine.

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Section 10

(1) The Cons u mer Ombu dsm an sh all su pervise the lawfu lness of ma rketing with in

respect of consu mer protection.

(2) Th e quotat ion of th e price of a consu m er good or service in ma rketin g sh all, in

addition to the Consumer Ombudsman, be supervised by the National Board of

Trade a nd , as dis trict adm inistrat ive au thorit ies su bject to th e Nationa l Board of

Tra de, th e Sta te Provincial Offices. (8/ 198 9)

(3) In other respects , the Mark et Court an d the procedu re therein sh all be governed

by the p rovisions of the Market Cou rt Act (1527 / 2001 ) an d th e Act on Certain

Proceedings before the Market Court (1528 / 2001 ). (1547 / 2001 )

Section 11 ha s bee n repealed.

Sect ion 12 (8/ 1989)

(1) Th e Nationa l Board of Trade ma y be au th orised, by Decree, to gran t, for special

reasons, dispensations from the provisions of the Decree issued under section 6

on the quotation of the price of a consumer good or service in marketing.

(2) Th e Nationa l Board of Trade may be au th orised, by Decree, to issu e orders on the

quotation of the u nit price of a consu mer good or of a grou p of cons u mer goods

in m ark eting.

Section 13 ha s bee n repealed.

Chapter 3 R e gu la t i o n o f c on t r a c t t e r m s

Section 1

(1) A bu sines s offering cons u m er goods or services sha ll n ot ma ke use of a con tra ct

term which, considering the price of the good or service and the other relevant

circum stan ces, is to be deemed u nfair from the point of view of consu mers.

(2) If an a ssociation of bu sinesses draws up contra ct term s for contracts relating to

consumer goods or services or issues recommendations or instructions on the

terms and conditions to be used, the association shall ensure that i ts conduct

does not result in the use of terms that are unfair from the point of view of

consu mers . (1259 / 1994)

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Section 2

(1) Where necessary in respect of consu mer protection, a bu siness ma y be enjoined

from continuing the use of a contract term contrary to section 1(1) or repeating

the use of such a term or a comparable term. An association of businesses may

correspondingly be enjoined from continuing or repeating conduct contrary tosection 1(2). The injunction shall be reinforced by the threat of a fine unless this

is for a specific reason deem ed u nn ecessa ry. (1259 / 1994 )

(2) Shou ld there be special cau se, the inju nction m ay also be directed agains t an

employee of a b u siness referred to in pa ragraph (1) or against a p erson a cting on

its beh alf.

Section 3

(1) An injun ction referred to in section 2 sh all be iss u ed by th e Market Court. Th e

Market Court may also issue an interim injunction, in which case the injunction

sh all rema in in force unt il the case h as been fina lly decided. (1547 / 2001 )

(2) The Consu mer Ombu dsm an m ay issue an injun ction or interim inju nction

referred to in section 2, as provided in the Act on the Consumer Agency

(1056/ 1998). (1547/ 2001)

Section 4

(1) The Consu mer Ombu dsm an sh all su pervise the use of contract term s in respect

of consu mer protection.

(2) In other respects , the Mark et Court and th e procedure therein shall be governed

by the provisions of the Market Court Act and the Act on Certain Proceedings

before the Market Court . (1547 / 2001 )

Chapter 4 A d j u s t m e n t a n d i n t e r p r e t a t i o n o f a c o n t r a c t

(1 2 5 9 / 1 9 9 4 )

Sect ion 1 (1259/ 1994)

(1) If a term in a contr act referred to in this Act is un reas ona ble from th e point of

view of the consumer or if an unreasonable result would ensue from its

application, the term may be adjusted or i t may be disregarded. Also a

commitment as to consideration shall be deemed a contract term. In the

assessment of unreasonableness , due note sha l l be taken of the contrac t as a

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whole, of the posit ions of the parties , of the circumstances under which the

contract was concluded and, unless otherwise follows from section 2, of the

chan ges in circum stan ces, as well as of other relevan t points . (1072 / 2000 )

(2) If a contract term referred to in pa ragraph (1) is of su ch na tu re that i t cann ot

reasonably be required that the rest of the contract remain in force unalteredafter th e adjus tmen t of the term , the contra ct ma y, unless otherwise provided in

section 2, be a djusted a lso in other respects or be ordered to lapse.

Sect ion 2 (1259/ 1994)

(1) If a contract term referred to in section 1 ha s been drafted in advance withou t

the consumer having been able to influence i ts contents , section 1 shall be

applied in compliance with the restrictions provided in this section.

(2) If a term ha s been un reason able u nd er the circu ms tan ces at the conclu sion of

the contract , a change of circumstances shall not be taken note of, to the

detriment of the consumer, in any later assessment of the unreasonableness of

the te rm.

(3) If the adju stm ent or disregard of a term relates to a contr act term which,

contrary to good practice, will lead to a significant imbalance in the rights and

obligations of the parties to the d etrimen t of the cons u mer, th e other term s of the

contract shall not be adjusted. In this case, the contract shall , in other respects ,

rema in in force un chan ged if i t can be retained in force as su ch.

Sect ion 3 (1259/ 1994)

If a term in a contra ct referred to in t his Act ha s been drafted in advance with out

the consu mer h aving been ab le to influ ence its conten ts an d if u ncertainty arises

as to the s ignificance of the term, the term shall be interpreted in favour of the

consumer .

Sect ion 4 (1259/ 1994)

Should a dispute arise as to whether a term referred to in sections 2 and 3 has

been dra fted in a dvance, the bu rden of proof on th is sha ll lay on the bu siness.

Sect ion 5 (416/ 1999)

A choice-of-law term according to which the contract is subject to the law of a

state outside th e Eu ropean Economic Area s ha ll not p revail over th e provisions of

a member s tate of the European Economic Area on unreasonable contract terms,

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applicable but for the term in question, if the provisions offer a more effective

protection of consumers against unreasonable contract terms than does the law

that would be applied on the basis of the choice-of-law term.

Chapter 5 S a le o f c ons um e r goods (1 6 / 1 9 9 4 )

General provis ions on the s ale of cons um er goods

Section 1 Scope of ap plication of the chap ter(1258 / 2001)

(1) Th e provisions of th is chap ter ap ply to sale of goods wh ere the seller is a

bus iness an d the bu yer is a consum er.

(2) Th e provisions of th is chap ter ap ply likewise to orders of goods to be

manufactured. If the buyer is to supply an essential proportion of the materials ,

the order shall, however, not be governed by the provisions in sections 2328 ofthis cha pter bu t, ins tead, by the resp ective provisions in cha pter 8, sections 23

31. In addition, such an order shall be governed by the provisions in chapter 8,

sect ions 14 and 32.

(3) Th e provisions of th is cha pter do n ot ap ply where us ed goods are sold by au ction ,

if the bu yer can participate in th e au ction in person.

Section 2 Mandatory provisions (16 / 1994)

A contract term differing from the provisions of this chapter to the detriment of

th e bu yer sha ll be void un less other wise pr ovided below.

Delivery and ris k

Section 3 Delivery (16 / 1994)

(1) Unless otherwise agreed, the goods sha ll be held availab le to th e bu yer at th e

place where the seller had i ts place of business at the t ime of the conclusion of

the contr act . If the s eller did n ot ha ve a p lace of bu siness relevan t to th e sale an d

if it h as not b een otherwise agreed, the s eller sh all send or tran sport th e goods to

the bu yer .

(2) Th e goods sh all be deemed delivered when th e bu yer gains posses sion of th e

goods.

(3) However, if th e goods are to be inst alled or ass emb led by the seller at the bu yers

premises, they shall not, for purposes of the provisions on delay by the seller, be

deem ed delivered u nt il th e seller h as fu lfilled the sa id obligation.

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Section 4 Tim e of d elivery (16 / 1994)

(1) Unless it ha s been agreed th at th e goods are to be delivered at a fixed time or

upon demand or without delay, the goods shall be delivered within a reasonable

time after th e conclu sion of the contract .

(2) Unless the bu yer is gran ted credit or a postponemen t in ma king paymen t, the

seller shall not be under any obligation to relinquish possession of the goods

u ntil the bu yer pays the pu rcha se price.

Section 5 Costs incurred for the goods before delivery (16 / 1994)

Unless otherwise agreed, the seller shall be responsible for transport costs and

other costs incurred for the goods before their delivery. However, this does not

app ly to costs incu rred b ecaus e th e delivery has been d elayed owing to a reas on

attribu table to the bu yer.

Section 6 Tran s fer of risk (16 / 1994)

(1) Th e seller sh all bea r the risk of th e goods bein g dest royed or lost, deteriorating or

diminish ing before delivery, owing to a reas on n ot attr ibut ab le to th e bu yer. If th e

bu yer fails in t ime to fetch or t ak e delivery of goods h eld availab le to him / h er, th e

buyer shall, however, bear the risk of the goods deteriorating owing to their

inh erent char acteris t ics a fter th e seller h as completed i ts obligations relating to

the delivery.

(2) If th e goods, du e to a n otice of defect by th e buyer, are retu rn ed to th e seller for

inspection or a remedy of the defect, the seller shall bear the risk for the goods

u ntil the goods ha ve been redelivered to th e bu yer.

(3) If a provisiona l sa le h as been m ad e an d the goods have been delivered, th e bu yer

shall bear the risk for the goods until the goods have been returned to the

poss ess ion of the seller.

(4) If th e bu yer bea rs th e risk an d the goods are destroyed or lost, deteriorate or

diminish owing to a reason not attributable to the seller, the buyer shall ,

neverth eless , pay th e pu rchas e price.

Sa nctions for de lay in th e d elivery of the goods

Section 7 Righ t to w ith hold pay m en t (16 / 1994)

If the seller is in delay, the buyer shall have the right to withhold payment of the

purchase price. The buyer shall , however, not have the right to withhold an

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am oun t tha t evident ly exceeds the claims th at h e/ sh e is enti t led to on th e basis

of th e delay.

Section 8 Right to demand fulfilment of the contract(16 / 1994)

(1) If th e delivery of th e goods is delayed, the bu yer has t h e right to requ ire

performance from the seller. The seller shall, however, not be liable to fulfil the

contract in the event offorce m ajeure or if the performance would require sacri-

fices th at are d isproportiona te to th e bu yers interest in th e performan ce.

(2 ) If th e force m ajeure event or th e disproportion cease to exist within a r easona ble

time, the b u yer m ay, neverth eless , requ ire perform an ce from the seller.

(3) Th e bu yer sh all forfeit th e righ t to requ ire performa nce if he/ sh e delays th e

requirement for an u nrea sona bly long t ime.

Section 9 Cancellation of the contract(16 / 1994)

(1) Th e bu yer m ay can cel th e contr act on accoun t of th e sellers delay if th e brea ch

of contract is essential.

(2) If th e bu yer h as gran ted the seller an extens ion for the delivery of th e goods an d

the extension is not u nreas onably short , the bu yer sh all also be entit led to cancel

the contr act if the goods are n ot then delivered in t ime. During the extens ion, th e

buyer may cancel the contract only if the seller makes i t known that i t will not

perform th e contr act in t ime.

(3) If the bu yer has not gran ted an extension to the seller, he/ sh e ma y can cel the

contract if the goods are not delivered within a reasonable time from his

requirement of performan ce.

(4) Where the contra ct is for the su pply of goods to be ma nu factu red or acquired

specially for the buyer in accordance with his instructions or wishes and the

seller can not, with out cons iderable loss , m ake oth er u se of th e goods, th e bu yer

ma y cancel the cont ra ct on accou nt of th e sellers delay only if th e delay cau ses,

as for th e bu yer, an essential failu re in th e pu rpose of the s ale.

Section 10 Compensation (16 / 1994)

(1) The bu yer sha ll be enti t led to compens ation for the loss tha t he/ sh e suffers

becau se of the sellers d elay, u nless th e seller proves t ha t th e delay was du e to

an impediment, beyond its control, which i t could n ot reasona bly be expected to

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have taken into account at the conclusion of the contract and whose

consequences it could not reasonably have avoided or overcome.

(2) If th e delay is du e to a th ird person whom th e seller ha s engaged to perform a ll or

part of the contract, the seller shall be released from liability only if that third

person would also be released from liability under paragraph (1). The sameprovision applies if the delay is due to a contractor of the seller or someone else

at a previou s level in the su pply cha in.

(3) Th e seller sha ll, however, be liab le to comp ens at e th e bu yer for in direct loss only

if the delay or the loss is due to negligence attributable to it. Indirect loss shall

include:

(1) loss of income su ffered by th e bu yer du e to the breach of contr act or

measu res a r is ing from th e sam e;

(2) loss incu rred thr ough obligations based on an other contract , an d

(3) ess ent ial loss of th e u se of th e prod u ct, not resu ltin g in direct econom ic

loss, as well as other comparable detriment, if essential.

(4) However, if a loss referred to in pa ragra ph 3(1)(3) is in cu rred th rou gh th e

mitigation of another type of loss, it shall not, for that part, be considered

indirect loss .

(5) A m emb er of th e buyers fam ily who su ffers loss du e to the delay sh all h ave th e

sam e right to comp ensa tion a s th e buyer himself/ herself.

Section 11 Notice of cancellation an d claim for comp ens ation (16 / 1994)

If th e goods h ave been d elivered in delay, the bu yer sh all n ot be entitled to cancel

the contra ct nor to claim compen sation for the delay un less h e/ sh e notifies the

seller or the sales agent, within a reasonable time from the delivery of the goods,

tha t he/ sh e wish es to cancel the contr act or to claim compen sation. However, if

the bu yer can cels th e cont ract , he/ sh e need not ma ke a separ ate notification of a

claim for compensation.

Characteris tics of the goods an d d efects

Section 12 General provision on d efects (16 / 1994)

(1) In type, qua ntity, qua lity, other chara cteris t ics an d packa ging, the goods sh all

correspond to wha t can be deemed to ha ve been agreed.

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(2) Except wh ere som eth ing else can be deem ed to ha ve been agreed, the goods

shall :

(1) be fit for th e pu rpose for which su ch goods are ordina rily u sed;

(2) conform to th e pa rticular pu rpos e for which the goods were inten ded, if th e

seller must have known of this purpose at the conclusion of the sale and if

th e seller h ad n ot before the conclu sion of the s ale informed the b u yer th at

the goods poss ibly do not conform to the intended pu rpose; (1258 / 2001 )

(3) conform to what ha s been represented by the seller and possess th e

characteristics which the seller has implied by way of a sample or model;

(1258 / 2001)

(4) be packaged in a man ner tha t is us u al or otherwise appropriate, if

pa ckaging is n ecessa ry to preserve or protect th e goods; as well as

(5) as to du rabili ty an d oth erwise, correspond to what a cons u mer ordina rily

ma y expect in th e pu rcha se of su ch goods.

(3) Th e goods sh all in th eir cha ra cteristics conform to th e requ iremen ts set by law,

decree or official decision, unless the buyer intended to use the goods for a pur-

pose where the said requirement is of no significance.

(4) If th e goods do not conform to th e provisions of pa ra graph s (1)(3), they are

defective. However, the buyer shall not invoke as a defect any circumstances that

the buyer must have known of at the conclusion of the sale. In addition, the

buyer shall not invoke as a defect any circumstances aris ing from the materials

tha t th e bu yer h as s u pplied for the m an u factu re of the goods, except if there h as

been n egligence on the part of the s eller. (1258 / 2001 )

Section 12 a Defect a ris ing from ins ta lla tion or lack of ins tru ction s (1258 / 2001)

(1) If th e inst allat ion or assem bly of th e goods is included in the contra ct of sa le an d

if the goods have been installed by the seller or by someone else on the behalf of

the seller, the goods shall likewise be defective if they do not conform, owing to

erroneous ins tallation or ass embly, to wha t h as been provided in section 12.

(2) The goods sh all likewise be defective if th ey ar e n ot delivered com plete with su ch

instructions that are necessary for the buyer for the installation, assembly, use,

ma inten an ce or s torage of the goods.

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Section 13 Information on th e goods (1258 / 2001)

(1) Th e goods are defective also if th ey do not conform to the informa tion given by

the seller or by a person other than the seller either at a previous level of the

supply chain or on behalf of the seller on the characteris t ics or the use of the

goods when marketing the goods or otherwise before the conclusion of the sale.

(2) However, th e seller sh all not b e liable for a defect referred to in pa ra graph (1), if

the seller pr oves th at:

(1) th e seller was not aware and sh ould not ha ve been aware of the inform ation

given;

(2) th e inform ation can n ot h ave ha d an effect on the sa le; or

(3) th e inform ation ha s been clearly corrected in time.

Section 14 As is clau s e (16 / 1994)

If the goods have been sold subject to an as is clause or a similar general

reservation, t he goods s ha ll, n everth eless, be cons idered defective if:

(1) th e goods do not conform to informa tion on th e cha racteris t ics or u se of the

goods which was given by the seller before the conclusion of the contract

an d which can b e presum ed to ha ve had an effect on th e contra ct;

(2) th e seller has , before the con clusion of th e contr act, failed to disclose to th e

bu yer relevan t inform ation on th e cha racteris t ics or u se of the goods which

the seller could not have been unaware of and which the buyer could

reasonably expect to be informed about, provided that the failure can be

presu med to h ave had a n effect on t he contra ct; or if

(3) th e goods are in a poorer condition tha n th e bu yer reasonab ly could expect,

taking the pr ice and the other c ircum stances in to account . (1258/ 2001)

Section 15 Relevant time for defectivenes s (1258 / 2001)

(1) Th e defectivenes s of th e goods sh all be determ ined with r egard to their

characteris t ics at the t ime when the risk passes to the buyer. The seller shall be

liab le for an y defect th at existed a t th at t ime even if it appea red on ly later.

(2) The defect sh all be deemed to ha ve existed at th e t ime when th e risk pa ssed to

the buyer if i t appears within s ix months of that t ime, unless the contrary is

proven or unless the assumption is incompatible with the nature of the defect or

the goods.

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(3) If th e goods deteriorate after the risk h as pa ssed to the buyer, the goods sh all be

considered defective if the deterioration was due to a breach of contract by the

seller.

Section 1 5a S ignificance of w arran ty (1258 / 2001)

(1) If th e seller has a ss u m ed liability for the fitness or other cha ra cteristics of th e

goods for a fixed period (w arranty ), the goods shall be deemed defective if they

deteriorate during this period as referred to in the warranty. Liability for the

defect shall, however, not arise if the seller makes it likely that the deterioration

was due to an accident, the inappropriate handling of the goods or another

circumstance attributable to the buyer.

(2) If the warran ty was given by a person other than th e seller, ei ther at a previous

level of the supply chain or on behalf of the seller, the goods shall also be

considered defective under the conditions referred to in paragraph (1). The seller

sh all, however, not be liable for a wa rra nt y given b y a previou s level of th e su pply

chain for a defect tha t h e wou ld not oth erwise be l iable for u nd er th is chap ter, if

the seller shows that i t has clearly notified the buyer of the same before the

conclus ion of the sa le.

(4) A war ra n ty sh all n ot limit the liability for defects pr ovided for in th is Act.

Section 15 b Warranty information (1258 / 2001)

(1) Th e warra nt y sh all clearly indicate the followin g informa tion:

(1) th e contents of the warran ty an d the fact that the buyer ha s s tatu tory

rights a nd th at th e warra nty does not restrict these rights; and

(2) th e pa rty giving th e warra n ty, its period and ar ea of validity an d the other

information necessary for the filing of claims under the warranty.

(2) On th e request of th e buyer, the warr an ty sh all be given in writing or in

electronic form s o tha t th e informa tion can not be u nilaterally altered a nd tha t i t

rema ins accessible to the bu yer.

(3) Th e buyer is en titled to invoke th e warr an ty even if it does not m eet the

requirements laid down in th is section.

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Sanctions for a defect

Section 16 Notice of defect(16 / 1994)

(1) Th e bu yer sh all not invoke a defect in th e goods if h e/ sh e does not notify th e

seller of the s am e within a reasona ble t ime a fter he/ sh e discovered or ought to

have discovered the defect. However, the notice of defect may always be given

with in two m onth s of the b u yers d iscovery of th e defect; it ma y also be given to

the business who has sold the goods on behalf of the seller or assumed liabil i ty

for the ch ara cteris t ics of the goods. (1258 / 2001 )

(2) Irres pective of th e provisions of pa ra graph (1), th e bu yer sh all ha ve th e righ t to

invoke a defects in th e goods if:

(1) th e sellers con du ct ha s been gross ly n egligent or incomp atible to h onou r

an d good faith ;

(2) th e defect is bas ed on the fact tha t the goods do not conform to the

requirements set in the Produ ct Safety Act (914/ 1986 ) or in other

provisions or ord ers issu ed for th e protection of h ealth or p roperty; or if

(3) th e defect is bas ed on th e fact that th e goods are otherwise hazardou s to

health or property.

Section 17 Right to w ithhold pa ym ent(16 / 1994)

For a defect, the bu yer sh all ha ve the right to withh old pa yment of the pu rcha seprice. The buyer shall , however, not have the right to withhold an amount that

evidently exceeds th e claims th at h e is en titled to on th e bas is of th e defect.

Section 18 Rectification (16 / 1994)

(1) Th e bu yer ha s the righ t to requ ire th at th e seller rectify th e defect or deliver non -

defective goods. Such rectification shall be performed within a reasonable time

and so that the buyer does not thereby incur costs or s ignificant inconvenience.

However, the seller shall not be liable to rectify the defect if there is an

unavoidable barrier to the same or if this would cause unreasonable costs . In

this context, special attention shall be paid to the significance of the defect and

the value of the goods, had these conformed to the contract , and to the issue

whether the rectification can be performed in some other manner without

cau sing significan t inconvenience to the b u yer. (1258 / 2001 )

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(2) Even if th e bu yer does not requ ire th at th e defect be rectified or tha t non -

defective goods b e delivered, th e seller sh all, at its own expens e, ha ve the right to

perform such rectification if it offers to do so without delay after the buyer has

notified it of the defect. The buyer shall have the right to refuse rectification of

the defect if th at would cau se him/ her ess ential inconvenience, a decrease in th e

value of the goods or a danger that the costs incurred by the buyer not be

compensa ted, or if he/ sh e has an other special reason for refu sal.

(3) Th e seller sha ll not invoke th e fact th at it did not ha ve a cha n ce to rectify th e

defect referred to in paragraph (2) if the buyer has had the defect rectified and if,

considering the circumstances, i t cannot reasonably be expected that the buyer

would h ave waited for th e sellers rect ification.

Section 19 Red uction of price an d cancellation of contract(1258 / 2001)

If the rectification of the defect or the delivery of non-defective goods is out of the

question or if i t has not been performed as referred to in section 18, the buyer

sh all ha ve the r ight to:

(1) dem an d a price redu ction proportionate to th e defect; or

(2) can cel th e contr act, except if th e defect is of m inor sign ifican ce.

Section 20 Compensation (16 / 1994)

(1) The bu yer sha ll be enti t led to compens ation for loss tha t he/ sh e su ffers becau se

of a defect in the goods. Indirect loss, referred to above in section 10(3) and (4)

shall, however, be compensated by the seller only if the defect or loss is due to

negligence attributable to it or if, at the conclusion of the contract, the goods

differed from an express repr esen tat ion of the seller.

(2) A m emb er of th e bu yers fam ily who su ffers loss for the defect sh all h ave th e

sam e right to comp ensa tion as th e buyer himself/ hers elf.

Section 21 Property da ma ge (16 / 1994)

(1) If a defect of th e goods cau ses dam age to property other th an th e goods that were

sold, the provisions of section 20 shall apply to the liability of the seller only if

the damage is caused to property with a direct connection of use to the goods

sold.

(2) If th e seller pays comp ens ation by virtu e of pa ragra ph (1), the right of th e

beneficiary, if any, to demand compensation on the basis of the Product Liability

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Act (694/ 1990 ) sh all be tran sferred, for th e correspon ding amou nt, to th e seller.

The pr ovision s of sect ion 10 of th e Produ ct Liab ility Act a pp lies a lso to th e sellers

right to comp ensa tion.

(3) Th e provisions of th is cha pter do n ot ap ply to pers ona l injury cau sed by th e

characteristics of the goods.

Section 22 Liability of third parties (16 / 1994)

(1) If th e goods are defective in th e ma nn er referred to in section 13 (1), the liability of

the p erson giving the information to compens ate th e bu yer for an y loss cau sed by

th e defect s h all be govern ed b y th e provisions laid down on th e sellers liability

above . (391/ 2002)

(2) If som eone oth er than t h e seller has u n derta ken to rectify a defect in the goods or

otherwise to assume liability for the characteristics of the goods, the liability of

the promissor to compensate the buyer for any loss incurred through a breach of

th e prom ise sh all corres pon dingly be govern ed b y the p rovisions of th e sellers

liability above.

Buy ers ob liga tions and s anction s for b uy ers breach of contract

Section 23 Purchas e price (16 / 1994)

If no pr ice for the goods can be deemed t o ha ve been a greed, th e bu yer sh all pay

a pr ice which is reason able taking into a ccou nt the qu ality and cha racteris t ics of

the goods, the going price at th e conclu sion of the cont ract , as well as th e other

circu ms tan ces. If the seller, when ma rketing the goods, ha s given inform ation on

the p rice of the goods or th e ma nn er of th e calcu lation of th e price relating to the

price levels at the conclusion of the contract , and this can be presumed to have

had an effect on the contract , the price shall be determined in accordance with

th e in form ation given.

Section 24 Time of paymen t(16 / 1994)

(1) Unless otherwise agreed, the seller sha ll pay the purch ase price u pon dema nd ofthe seller, but not, however, before the goods are available to him in accordance

with th e contr act .

(2) Before the payment of the pu rcha se price, th e buyer sha ll ha ve the right to

inspect the goods as is customary or as is appropriate with regard to the

circumstances unless such inspection is not compatible with the agreed manner

of delivery an d pa ymen t.

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(3) If the paymen t is effected thr ough a ban k or the post, the payment sh all, when

considering the rights of the seller referred to in sections 2628, be deemed

effected on the date when the bank or the post has accepted the proper payment

order of the buyer.

Section 25 Withdraw al of an order(16 / 1994)

If the buyer breaches the contract by withdrawing the order before the delivery of

the goods, the seller shall not have the right to adhere to the contract and to

demand payment of the purchase price. Instead, the seller shall be enti t led to

compensa tion for any loss h e ha s incur red, in a ccordan ce with section 28.

Section 26 Overdue interest(16 / 1994)

If the buyer is delayed in paying the purchase price, the seller shall , unless the

contract is withdrawn or cancelled, have the right to overdue interest inaccordance with th e Interest Act (633/ 1982 ).

Section 27 Sellers right to cancel the contract(16 / 1994)

(1) If th e buyer is delayed in th e payment of the pu rcha se price, the seller may

cancel the contra ct if the breach of contract is ess ential.

(2) If the seller has granted the bu yer an extens ion for the paymen t of the pu rcha se

price an d th e extension is not u nrea sona bly sh ort , the seller sh all also be enti t led

to cancel the contract if the payment is not then effected in t ime. During the

extension, the seller may cancel the contract only if the buyer makes i t known

tha t he/ sh e will not effect the paymen t in t ime.

(3) If th e bu yer ha s gained pos sess ion of th e goods, the seller ma y can cel th e

contract only if he has reserved the said right in the contract or if the buyer

rejects the goods. The right of the seller to invoke a term to repossess the goods,

in th e event th at th e bu yer h as b een granted credit , is governed by chap ter 7.

(4) The seller sha ll not can cel the contract du e to the bu yers delay in pa yment once

the overdue payment h as been m ade.

Section 28 Sellers right to compensation (16 / 1994)

(1) If th e seller cancels the con tra ct due to th e bu yers delay in paymen t before th e

bu yer h as gained p ossession of th e goods or if the b u yer can cels th e order for the

goods in accordan ce with section 2 5, th e seller sh all be enti t led to compen sation

for any special costs th at h e has incu rred du e to the conclu sion an d performa nce

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of the contract and which are likely to be of no use, as well as for any special

costs incurr ed du e to the can cellation or withdrawal of the contr act .

(2) As for oth er losses , th e seller sha ll be entitled to a reason ab le comp ens ation,

taking into account the price of the goods, the time of cancellation or withdrawal

of the contract , the measures undertaken to perform the contract, as well as theother c ircum stan ces .

(3) A contr act u n der which the seller ha s a right to liqu idated da m ages for

withdrawal or cancellation shall be valid if the liquidated damages are

reasona ble, taking into a ccou nt the comp ensa tion tha t th e seller wou ld generally

be enti t led to u nd er par agraph s (1) and (2).

(4) Th e seller sha ll, h owever, n ot be en titled to comp ens ation un der this section if

the b u yers d elay in paymen t or th e withd rawal of the order is du e to the

provisions of an Act, the interruption of general transport or payment

communications or another s imilar hindrance which the buyer cannot

reas ona bly avoid or overcom e.

Other provisions on the s ale of cons um er goods

Section 29 App lication of th e S ale of Goods Act(1258 / 2001)

Th e provisions of the S ale of Goods Act (355 / 198 7) apply to a sa le referred t o in

this chapter, unless otherwise provided in this Act. A sale referred to in this Act

shall, however, not be governed by the provisions of sections 13(3), 15, 20(2),20(3), 24, 31, 35, 39(2), 47, 49(3), 57(2), 58, 60, 63(1) and 73(2) of the Sale of

Goods Act. The provisions in sections 19(2) and 37(2) of the Sale of Goods Act do

not apply to an auction within the scope of application of this chapter. The provi-

sions of sections 68 and 69 of the Sale of Goods Act on the right of the seller to

compensation of price difference do not apply to a sale referred to in this chapter.

The provisions of section 76(2) of the Sale of Goods Act do not apply when the

duty of care lies with the buyer. Under sections 7578 of the Sale of Goods Act,

the seller shall not be enti t led to compensation that exceeds the compensation

u nd er section 28 of this chap ter.

Section 29a Res triction of ch oice -of-law cla us es in th e s a le of con s um er good s

(1258 / 2001)

A choice-of-law clause according to which the contract is subject to the law of a

coun try outside th e Eu ropean Economic Area s ha ll not prevail over th e ru les on

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the sale of consumer goods of a member s tate of the European Economic Area

that would be applied in the absence of the clause, if the latter rules provide for

more effective consumer protection than those of the law referred to in the

choice-of-law clause.

Section 30 Mitigation of loss and ad jus tmen t of comp ens ation (16 / 1994)

(1) The injur ed party sh all take reasona ble mea su res to mitigate his / her loss .

Failing this , th e inju red p arty sh all self bear the corresponding part of the loss .

(2) The am oun t of compens ation pa yable for a breach of contr act ma y be adjusted if

it is u nr easona ble taking into accoun t the reas on for the breach, th e contr ibu tory

negligence of th e other p art y to th e loss, if an y, the finan cial circu ms tan ces of th e

part ies , th e price of the goods, th e cha nces of the breach ing party to foresee and

prevent th e dam age, as well as th e other circum stan ces.

(3) The am oun t of compens ation payable by the bu yer un der section 28 may be

adjus ted especially if the delay in paymen t or th e withd rawal of the order is du e

to th e bu yers d ifficulties of liquidity arising from illness, u nem ploymen t or

another special reason primarily without his own volition.

Section 31 Liability for de fects of the p revious level of the s upply cha in (16 / 1994)

(1) The bu yer sha ll ha ve the right to direct his / her claims bas ed on a defect in th e

goods, in accordance with the provisions of this chapter, also at a business who

at an earlier level of the supply chain has supplied the goods for resale.

(2) However, th e bu yer sh all n ot ha ve th e right un der pa ragra ph (1):

(1) if th e defect ha s arisen from a reason n ot attribu table to th e bu siness in

qu estion a fter it delivered th e goods;

(2) to the extent tha t the claim is based on a promise which ha s been given by

someone e lse than the bus iness and which places the buyer in a be t te r

posit ion tha n h e/ sh e would be in u nd er the provisions of this chap ter in th e

abs ence of the s aid promise; nor

(3) to the extent tha t the claim relates to a price redu ction or a refu nd of th e

purchase price and exceeds the amount that the contracting party vis--vis

the said business could have claimed on the same grounds, disregarding

an y restrictive terms in th eir contract between th e bu sinesses.

(3) The bu yer sha ll forfeit his right to present claims u nd er paragraph (1), un less he

notifies the business of the defect or unless the latter is informed of a notice of

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defect made to a later level in the supply chain within the time referred to in

section 16(1), and the buyer has had access to the necessary information on the

bu siness to pr esent th e claim. Notwiths tan ding the provisions of this pa ragraph ,

the buyer may invoke a defect if the conduct of the business against whom the

claim is presented has been grossly negligent or incompatible to honour and

good faith or if the defect in question is one referred to in section 16(2)(2) or

16(2)(3). (125 8/ 200 1)

Section 32 Liab ility for de fect of another bu sine ss (16 / 1994)

If the seller has enlis ted the aid of another business for the performance of the

contract and the performance of the latter is defective, the provisions of chapter

8, section 35 on the right of the commissioner to present claims against a

business aiding the service provider apply correspondingly to the right of the

bu yer to present claims against th e bu siness a iding the seller.

Chapter 6 Door- to-door se l l ing and d i s t ance se l l ing

(1 0 7 2 / 2 0 0 0 )

Section 1 Scope of application (1072 / 2000)

(1) Th e provisions laid down in th is cha pter govern door-to-door selling an d dista n ce

selling of cons u m er goods a nd services. Th e provisions laid down in s ection s 2, 3,

5, 812 and 2025 apply to door-to-door selling. The provisions laid down in

sections 2, 4, 6, 7 and 1325 apply to distance selling.

(2) Th e provisions on dista n ce selling of finan cial services and inst ru men ts are laid

down in chapter 6a . (29/ 2005)

Section 2 Ma nd a tory prov is ion s (1072 / 2000)

A contract t erm derogating from the provisions of this ch apter to th e detriment of

the consumer shall be void, unless otherwise provided below.

Section 3 Def in ition of d oor-to-d oor s elling (1072 / 2000)

For the purposes of this chapter, door-to-door selling is defined as the offering of

consumer goods or services for sale to the consumer in person at a place other

than the premises of the business . However, the offering of consumer goods or

services for s ale at th e following p laces does n ot cons titut e door-to-door s elling:

(1) a place where consu m er goods or services are norm ally offered for sale;

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(2) a place, other than a private home, which the bus iness ad vertises as a place

where consumer goods or services can be obtained, without offering

trans porta t ion to the consu mers ;

(3) a place where the business a rrives upon th e express request of th e

consu mer in order to offer th e requested cons u mer good for sale.

Section 4 Def in ition of d is ta nce s elling (1072 / 2000)

(1) For the purp oses of this chap ter, distance selling is defined as the offering of

consumer goods or services for sale to the consumer by way of distance offering,

arranged by the bus iness , so tha t the conclus ion of the contrac t and the

preceding marketing effort are carried out exclusively through one or more

mean s of dis tance commu nication.

(2) Dis ta nce offe ring is d efined as a m ethod of marketing or sell ing so ar ran ged th at

i ts primary purpose can be deemed to be the conclusion of contracts through a

mean s of dis tance commu nication.

(3) Means of d is ta nce com m unica tion is defined as telephones, post, televisions,

information networks or other devices that can be used for the conclusion of

contracts withou t the pa rties being simu ltaneously present .

Section 5 Applica tion res trictions in d oor-to-d oor s elling (391 / 2002)

(1) Th e provisions laid down in th is cha pter on door-to-door selling do not apply to:

(1) a con tra ct relating to th e sa le or ren tal of real proper ty;

(2) a contra ct relatin g to secu rities referred to in the Secur ities Mar kets Act

(495/ 1989);

(3) an ins u ran ce contract;

(4) a contr act relating to t ime-sha re hou sing referred to in cha pter 10.

(2) Moreover, the provisions of th is chap ter on door-to-door sellin g do not ap ply if

the price of the consumer good is less than EUR 15. However, the provisions of

this chapter do apply if several goods are sold at the same time and their total

price is at least EUR 15. This am oun t ma y be adju sted by a Governm ent Decree,

if the d evelopmen t of the economy an d m onetary conditions s o warran t.

Section 6 Applica tion res trictions in d is ta nce s elling (29 / 2005)

Th e provisions of th is cha pter on distan ce sellin g do not app ly to:

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(1) a contra ct relatin g to th e sa le of real property or to an oth er right to real

prop erty, with th e exception of ren tal;

(2) a contr act relating to t ime-sha re hou sing referred to in cha pter 10;

(3) a contra ct concluded by way of a vend ing ma chine or in a u tomat ed

bu s iness premises ;

(4) a con tra ct conclud ed with a provider of telecomm u nications services by way

of a pay-phone;

(5) a contract conclu ded at an au ction, if part icipation in th e auction is

possible also withou t u sing a mean s of dis tance commu nication.

Section 7 Deroga tions to certa in prov is ion s on d is ta nce s elling (1072 / 2000)

(1) Th e provisions in section s 1315 an d 18(1) of th is cha pter do not app ly to

distance selling where

(1) th e delivery of foodstu ffs, bevera ges or other everyda y items to the h ome or

workplace of th e consu mer by way of a regu lar delivery system ;

(2) accomm odation, tran sportat ion, restau ran ts or leisu re services, if th e

bu siness a t th e conclusion of the contra ct un dertak es to perform th e service

at a given time or within a given period.

(2) However, sections 1315 do ap ply if th e bu sines s offers to th e consu mer goods

or services referred to in paragraph (1) by way of cold calling. The provisions in

those sections apply to distance selling referred to in paragraph (1)(1) also if the

contract concerns continu ous or repeated deliveries .

Section 8 Door-to-d oor s elling d ocu m ent (1072 / 2000)

(1) In door-to-door selling, th e bu sines s or its agent sh all provide th e cons u m er with

a docum ent (door-to-door selling document), which s ha ll be dated an d which sh all

s ta te the n am e and address of the bu s iness , the consu mer goods or services , the

price and the other contract terms. The document shall contain a mention of the

rights of the cons u mer u nd er sections 911 and 2125, as well as ins tru ctions

for th e exercise of sa id righ ts. The door-to-door s elling docu m ent sh all conform to

the model approved b y the Ministry of Trade an d Indu stry.

(2) In th e sa le of tan gible goods , th e door-to-door selling docum ent sh all be given to

the consumer at the latest when the consumer takes delivery of the goods or the

firs t shipment of goods. In a contract relating to other consumer goods or

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services, the document shall be given to the consumer at the latest when the

consu mer m akes a n offer or accepts th e offer of the b u siness .

Section 9 Righ t of w ith d raw al in d oor-to-d oor s elling (1072 / 2000)

In door-to-door s ell ing, th e consu mer is enti t led to withdraw from the contract by

notifying the business of the same within 14 days of receiving the door-to-door

selling docu m ent or, in t h e sa le of tan gible goods, of takin g delivery of th e goods

or the first shipment of goods, if the delivery takes place later than the receipt of

the document. In the sale of tangible goods, the return of delivered goods shall

consti tute withd rawal from th e contr act.

Section 10 Ref und of th e price in d oor-to-d oor s elling (1072 / 2000)

In door-to-door selling, the b u siness s ha ll refu nd what ha s been paid of the p rice

with out d elay an d in an y even t with in 30 d ays of being notified of th e with dra wal.The cons u mer is enti t led to retain th e goods or an other retaina ble performan ce of

the bu s iness un t il the pr ice has been refun ded.

Section 11 Keeping a nd returning p erforman ces in d oor-to-door selling (1072 / 2000)

(1) In door-to-door sell ing, if the consu mer withd raws from the contract , he/ sh e

sh all keep th e delivered goods or other retur na ble performan ces available to th e

business at the place where the business delivered the same or a place from

where the business can retrieve the goods or performances without undue

inconvenience. The consumer shall inform the business of the place where the

goods or performances are available. However, it may be stipulated in the

contract terms that goods or performances that have been delivered by post are

to be retu rned b y the cons u mer by post within a r easona ble t ime.

(2) Th e liability of th e cons u m er to keep th e goods or perform an ces on beha lf of th e

business shall cease at the latest two months after receipt of the goods or

performa nce. If the bu siness does n ot retrieve th e goods or performa nces within

this period, the consumer may keep them without consideration unless this is

evidently u nr easona ble to the bu siness .

(3) If the cons u mer return s goods or performan ces to the bus iness , the bus iness

sh all compens ate the consu mer for the costs of the retu rn .

Section 12 Door-to-d oor s elling d ocu m en t form s (1072 / 2000)

The Ministry of Trade and Industry shall see to i t that forms conforming to the

model approved by the Ministry by virtue of section 8 are kept available to the

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public for a reasonable charge. It shall be indicated on the forms that they

conform to the m odel ap proved by the Min istry.

Section 13 Prior information in distance selling (1072 / 2000)

(1) In distan ce selling, th e cons u m er sha ll be sup plied with the followin g inform ation

well in ad vance of th e conclusion of th e contra ct:

(1) th e na me an d address of th e bu siness an d its location, if this is not evident

in th e address ;

(2) th e ma in cha ract eristics of th e cons u mer good or service;

(3) th e price, delivery cha rge an d terms of pa ymen t on the cons u mer good or

service;

(4) th e other term s of delivery or perform an ce of th e contr act;

(5) th e minimu m du ration of the contract , if i t is abou t the continu ous or

repeated delivery of goods or services;

(6) th e costs of th e u se of th e mea ns of dista nce comm u n ication, if th ese

exceed th e ba sic tar iff;

(7) th e per iod of validity of th e offer;

(8) th e existen ce of th e righ t of with dra wal u n der section 15 or th e ab sen ce of

the same under section 16(1)(2)16(1)(7).

(2) The informa tion referred to in pa ragraph (1) sh all be su pplied in a m an ner

suitable for the means of dis tance communication used, clearly,

comprehen s ibly and in a m ann er tha t ma kes c lear the commercia l purpose of

the information. In telephone contacts , the business shall s tate i ts name and

th e comm ercial pu rpose of th e call imm ediately in its beginn ing.

Section 14 Confirmation of inform ation in d istan ce s elling (1072 / 2000)

(1) The inform at ion referred to in section 13(1)(1)13 (1)(5) sh all be confirm ed to th e

consumer in person in writ ing or electronically so that the consumer may saveand reproduce the information unchanged. In addition, the confirmation shall

contain:

(1) inst ru ction s an d informa tion for th e exercise of th e righ t of with dra wal

referred to in section 15 and information to the effect that , under section

16(1), withdrawal from the contract is no longer possible once the provision

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of the service has been commenced in accordance with the consent of the

consumer ;

(2) th e geograp hical add ress of the bus iness premises where the cons u mer may

file complaints;

(3) informat ion on an y warran ty an d the available ma intenan ce an d repair

services;

(4) th e rules on the termina tion of the contract , if i t ha s been concluded for the

time being or for a period exceeding one year. (29/ 200 5)

(2) Th e confirm ation sh all be delivered as soon as possible after th e conclus ion of

the contract and, in the sale of tangible goods, at the latest when the goods are

delivered, except where the goods are according to the contract to be delivered to

a third par ty.

(3) Th e con firma tion need n ot be delivered, if th e in form ation referred to in

paragraph (1) has been supplied to the consumer in accordance with that

paragraph already before the conclusion of the contract . Moreover, the

confirmation need not be supplied if a service is provided through a means of

dis tan ce comm u nication at a s ingle occasion a nd if it is billed for by the bu siness

whose dis tance communication service is being used for the purpose. However,

the consumer shall always be informed of the vis it ing address of the business

providing the service where the consumer may file complaints.

Section 15 Righ t of w ith d raw al in d is ta nce s elling (1072 / 2000)

(1) In dis tan ce selling, the consu mer is enti t led to withd raw from th e contra ct by

notifying the business of the same within 14 days of receiving the confirmation

referred to in section 14 or, in the sale of tangible goods, of the delivery of the

goods or the first shipment of goods, if these are delivered later than the

confirmation. If the confirmation need not be supplied, the withdrawal period

shall be calculated in the sale of tangible goods from the delivery of the goods or

the shipment and in other cases from the conclusion of the contract . In the sale

of tangible goods, the return of the delivered goods shall constitute withdrawal

from th e cont ract .

(2) If th e confirm ation does not m eet th e criteria set in section 14, th e with dra wal

period shall be three months. If the confirmation is rectified during that period,

the consumer is enti t led to withdraw from the contract in accordance with

para graph (1) as from th e date wh en h e/ sh e received th e rectified confirm ation.

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(2) If th e confirm ation is not su pplied at all, the provision in section 20 app lies.

Section 16 Res trictions of th e righ t of w ith d raw al in d is ta nce s elling (1072 / 2000)

Unless oth erwise agreed, the consu mer s ha ll not be en ti t led to withd raw from th e

contra ct by virtu e of section 15 , if:

(1) th e pr ovision of th e ser vice or the delivery of th e good electron ically h as in

accordance with the consent of the consumer commenced before the end of

the withdrawal period and the consumer has been informed of the non-

existen ce of th e righ t of with dra wal in t h e confirm ation r eferred t o in section

14;

(2) th e price of th e good or service depen ds on finan cial m ark et qu otations

beyond the control of the b u siness;

(3) th e contract pertains to goods ma nu factu red or custom ised to theconsu mers sp ecifications so tha t th ey can not be resold withou t incur ring

considerable loss or th at th ey can not be resold at a ll ;

(4) th e contract pertains to goods that by their na tu re cann ot be resold or that

sp oil or age ra pidly;

(5) th e consu mer ha s opened an au dio or video recording or compu ter software

tha t h as been delivered sealed;

(6) th e contr act is for the delivery of n ewspa pers or ma gazines a n d the

bu sines s is n ot offering th ese goods to th e consu m er by way of cold callin g;

(7) th e contra ct is for betting or lottery services.

Section 17 Retu rn of perform ances in d is ta nce s elling (1072 / 2000)

(1) In dis tan ce selling, if the cons u mer withd raws from the contr act, he/ sh e sh all

return the delivered goods or other returnable performances to the business

within a reasona ble t ime.

(2) The bu siness sh all refu nd wha t has been paid of the price withou t delay an d in

any event within 30 days of the return of the goods or performances, as well as

compensate the consumer for the costs of the return, if the goods or

performances can be normally returned by post. However, the business shall

always bear the costs of the return of a replacement good, as referred to in

section 18(3). If there is no returnable good or performance, the 30-day period

sh all be calculated as from th e notificat ion of withd rawa l.

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Section 18 Performan ce of the contract in d istan ce s elling (1072 / 2000)

(1) Unless oth erwise agreed, th e bu siness sh all deliver th e cons u mer good with in a

reasonable t ime and in any event within 30 days of the date when the consumer

ha s given or sen t th e offer or a cceptan ce to the b u sines s. The time of delivery of a

good or service and the sanctions for delay are governed by the provisions inchapters 5 , 8 and 9 .

(2) If the bus iness can not perform the contract becaus e the ordered consu mer good

is not available, the business shall inform the consumer of the same without

delay; in any event, within 30 days of the date of offer or acceptance referred to

in paragraph (1) or, if the agreed time of delivery is later, at that time, the

bu siness sh all refu nd wh at h as been p aid of the price.

(3) Notwith sta nd ing th e provision in pa ra graph (2), th e bu sines s is entitled to u se a

standard term of contract under which a replacement good can be delivered to

the consumer, if the ordered good is not available. The replacement good shall

correspond in purpose to the ordered good, i t shall be of the same or better

quality and i ts price shall not exceed that of the ordered product. In addition,

such a contract term shall be clearly indicated in the advance information

referred t o in section 13 . If th e delivery of th e replacem ent good m eets th e criteria

set in this pa ragraph , it sh all not be deem ed prohibited m arketing, as referred to

in ch apter 2, section 2 a.

Section 19 Res triction of ch oice -of-law cla us es in d is ta nce s elling (1072 / 2000)

A choice-of-law clause according to which the contract is subject to the law of a

country outside the European Economic Area shall not preclude the application

of the distance selling rules of a member state of the European Economic Area

that would be applied in the absence of the clause, if the latter rules provide for

more effective consumer protection than those of the law referred to in the

choice-of-law clause.

Section 20 Failure to provide information (1072 / 2000)

(1) If th e door-to-door selling docu m ent or the confirm ation referred to in section 14

has not been supplied to the consumer, the contract shall not be binding on

him/ her . If the consu mer wishes to invoke th is non-bindingness , he / she s ha l l

notify the b u siness of the sam e within one year of the conclu sion of the contract .

(2) If th e bu sines s sup plies the door-to-door selling docu m ent or th e confirm ation

before the consumer has invoked the non-bindingness of the contract , the

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consu mer sh all be enti t led to withdra w from the contract, in door-to-door selling

as referred to in section 9 a nd in dis tan ce sell ing as referred to in section 15, a s

from th e receipt of the docum ent or t he confirm ation.

(3) If the contract laps es owing to the consu mer ha ving invoked its non -bind ingness ,

the business shall without delay and in any event within 30 days of thenotification refund the payments received and compensate the consumer for the

costs of retur ning th e goods or other performan ces.

Section 21 ha s bee n repealed.

Section 22 ha s bee n repealed.

Section 23 Res pon s ibility for d elivered perform ances and com pens a tion for benefit

accrued (1072 / 2000)

(1) If the cons u mer ha s received goods or other return able performan ces, he/ sh eshall keep the goods or performances in an essentially unaltered and

u nd iminished condition in order to retain the right of withd rawal.

(2) Th e dest ru ction, spoiling or diminish ing of th e goods or performa n ces th rou gh n o

fault of the consumer shall not preclude the right to withdraw. The consumer

sh all not be respon sible for an y redu ction in value en su ing from t he open ing of a

packa ge, the ins pection of the goods or performa nces or a compara ble reason.

(3) If, at th e with dra wal from or lapse of a contra ct, th e consu m er gains th e ben efit

of a n on-re turn able performance , he / she s ha l l compensa te th e bus iness for the

sam e with a reasonable amou nt .

Section 24 Termination of a cred it agreem ent (1072 / 2000)

If, for the conclusion of a contract in door-to-door selling or distance selling, the

consu mer ha s b een extended credit by the s eller, the s ervice provider or an other

credit provider on the basis of a contract with the seller or the service provider or

of another consumer credit scheme, the credit arrangement shall be terminated

when the consumer withdraws from the main door-to-door sell ing or dis tance

selling contract. The credit agreement shall likewise be terminated if the contract

laps es by virtu e of section 20 . Upon th e termina tion of the credit a greement , the

creditor shall without delay and in any event within 30 days of being informed of

the withdrawal from or lapse of the main contract refund the payments made by

the consumer.

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Section 25 Overdue interest(1072 / 2000)

If a business or creditor l iable to refund a price or another payment, has not

effected the refund to the consumer within the t ime set in section 10, 17, 18,

20 or 24, the consumer shall be enti t led to overdue interest in accordance

with th e provisions of the Int erest Act.

Chapte r 6a Dis tance se l l ing of f inanc ia l s e rv ices and

i n s t r u m e n t s (2 9 / 2 0 0 5 )

Section 1 Scope of application

(1) Th is cha pter lays down th e provisions on dista nce sellin g when a bu sines s offers

to consu mers :

(1) deposit an d cus tomer accoun ts;

(2) paymen t tran saction services;

(3) credits an d credit interm ediation;

(4) insu ran ce policies an d insu ra nce policy interm ediation;

(5) u nits in a fu nd or oth er secu rities to which the Securities Markets Act

(495/ 1989 ) is a pplicable;

(6) broker age services or other investm ent services;

(7) invest m en t ad vice; or

(8) other finan cial services or inst ru men ts.

(2) Th e provisions of th is ch ap ter laid down below on finan cial services also apply to

financial instruments .

Section 2 Applica tion res trictions in ce rta in ca s es

(1) If a dis tance selling contract between a bu siness an d a cons u mer comprises

permanent or recurrent undertaking of financial services of the same nature, the

provisions laid down in this chapter shall not apply to individual services

carried ou t according to the contra ct .

(2) If th e sa m e contr acting parties recurr ent ly agree on finan cial services of th e sa m e

nature, sections 511 of this chapter shall only apply to the firs t contract .

Sections 511 shall apply, however, if the previous contract was concluded more

than a year ago.

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Section 3 Ma nd a tory prov is ion s

A contract t erm derogating from the provisions of this ch apter to th e detriment of

the consu mer s ha ll be void.

Section 4 Def in itions

(1) For the pu rposes of th is cha pter, distance selling means the provision of financial

services to the consumer with the aid of a dis tance sales-provision scheme run

by a bu siness in which the conclu sion of a contra ct and the preceding marketing

effort are carried out exclusively through one or more means of distance

communication.

(2) Dis ta nce offe ring is defined as a method of marketing or selling so arranged tha t

i ts primary purpose may be deemed to be the conclusion of contracts through a

mean s of dis tance commu nication.

(3) Means of d is ta nce com m unica tion is defined as telephones, postal services,

televisions, information networks or other instruments which may be used to

conclu de contracts without th e s imultan eous ph ysical presence of the pa rties .

Section 5 Obligation to provide information prior to the conclusion of a contract

In addition to the provisions to provide information laid down elsewhere in the

law, the consumer shall be supplied in good time prior to the conclusion of the

contract with information referred to in sections 69 concerning the business ,

the financial services that are to be provided, the dis tance sell ing contract and

the means of redress mechanisms available to the consumer. The information

shall be supplied in a manner suitable for the means of dis tance communication

used, clearly, comprehensibly and in a manner that makes clear the commercial

pu rpose of the information.

Section 6 Prior information concerning the bus ines s

At least the following information concerning the business shall be supplied:

(1) th e na me and ma in bu siness, the geograp hical add ress in the s tate of

establishment as well as the geographical address of the premises where

customer relations are handled;

(2) th e poss ible bra n ch office or other represen tat ive in th e cons u mer s coun try

of residence an d t he geograp hical address of th e bra nch office or represen tative

where cu stomer relations are ha nd led;

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(3) th e na me of the int ermediary or agent who works for the business , th e

geographical address of the premises where customer relations are handled as

well as information concerning the nature of the business when the consumer

deals with an intermediary or agent;

(4) th e tra de register or an y other correspon ding pu blic register where thebusiness may be entered as well as the company or corporation registration

nu mb er of the bu siness or an y other correspond ing means of ident ification in th e

register;

(5) th e conta ct in forma tion of a relevant su pervisory au th ority if th e activities of

the b u siness r equire a l icence or registra tion.

Section 7 Prior information concerning the financial service

At least the following information concerning the financial service shall be

supplied:

(1) a description of th e m ain cha racter istics of th e finan cial service;

(2) th e total am oun t of fees, char ges an d other expens es to be paid by th e

consumer, including all taxes, or, when an exact amount cannot be

indicated, th e ba sis for th e calculation of th e expens es;

(3) a notice of poss ible capita l gains tax, tra n sfer tax an d equivalent taxes or

public charges related to the acquired financial services of which the

bus iness is aware and which the consumer may be required to pay in

addition to the expenses referred to in paragraph 2, payable to the

bus iness ;

(4) the arran gemen ts for paymen t an d performa nce of the contract;

(5) the costs of the u se of the m eans of dis tance comm u nication, if these

exceed th e ba sic tar iff;

(6) where relevan t, a notice indicating th at th e finan cial service m ay includ e a

risk of losing the invested fu nd s or oth er special risk, an d a notice

indicating th at the prior flu ctua tion of prices or performan ce is n o indicator

for fu tu re performan ce;

(7) an y lim itations con cernin g th e period for which the informa tion su pplied is

valid.

Section 8 Prior information concerning the distance selling contract

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At least the following information concerning the distance contract shall be

supplied:

(1) th e existen ce of a righ t of with dra wal or th at su ch right does not exist

accordin g to law;

(2) th e period of with dra wal, th e am oun t of compen sa tion which m ay be

charged from the consumer because of the withdrawal, or, when an exact

amount of compensation cannot be indicated, the basis for the calculation

of the compen sation, as well as other conditions a nd instru ctions

concerning the u se of this right;

(3) th e min imu m du rat ion of th e dista nce contr act if th e finan cial services

are to be perform ed perm an ently or recur rently;

(4) an y right to termina te or can cel th e contr act or fu lfi l the contra ctua l

obligations prematurely which are based on law or a contractual term as

well as the consequen ces of these actions ;

(5) th e sta te according to whose legislation th e inform ation has been provided;

(6) an y contractu al terms on law applicable to the contr act and competent

court ;

(7) in which lan guage or lan guages the consu mer ma y receive the informa tion

an d contractu al terms in th e man ner laid down in section 11, an d which

language or languages the business agrees to use during the contractual

relationship.

Section 9 Prior inform ation concerning the redres s m echa nism s

At least the following information concerning the redress mechanisms shall be

supplied:

(1) whether or not there are out-of-cou rt redress mechan ism s available for the

consu mer, an d, if so, the meth ods for ha ving access to them ;

(2) the existence of guara ntee fu nd s or other compens ation arran gemen ts

which a re not ba sed on th e legislation of the Eu ropean Comm u nity.

Section 10 Prior information in telephone communications

(1) In telephon e commu nications , the ident ity of the bu siness , the nam e of th e

person who is calling a s well as t he commercial purp ose of the call sh all be mad e

explicit at the beginning of any conversation with the consumer.

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(2) In teleph one comm u nications , the bus iness is not required to disclose all the

information referred to in sections 69 subject to the explicit consent of the

consu mer. In this case, th e cons u mer s ha ll be notified th at h e or she m ay receive

additional information on request and of what nature this information is .

However, th e followin g inform ation sh all always be s u pplied:

(1) th e relationsh ipbetween the bu s iness an d th e person ca lling the consu mer,

such as whether or not the caller is in the service of the business or

whether the caller is an agent, other representative or an intermediary

working for the b u siness;

(2) a description of th e m ain cha racter istics of th e finan cial service;

(3) th e total amou nt of fees, cha rges an d other expens es to be paid by th e

consumer, including all taxes, or, when an exact amount cannot be

indicated, th e ba sis for th e calculation of th e expens es;

(4) a notice of poss ible capita l gains tax, tra n sfer tax an d equivalent taxes or

public charges related to the acquired financial services of which the

bus iness is aware and which the consumer may be required to pay in

addition to the expenses referred to in paragraph 3, payable to the

bus iness ;

(5) th e existen ce of a righ t of with dra wal or th at su ch right does not exist

accordin g to law;

(6) the period of withd rawal, the am oun t of compensa tion which may be

charged from the consumer because of the withdrawal, or, when an exact

amount of compensation cannot be indicated, the basis for the calculation

of the compen sation, as well as other conditions a nd instru ctions

concerning the u se of this right.

Section 11 Communication of the prior information and of the contractual terms in

w riting or in other perman ent m ann er

(1) Th e prior informa tion an d con tra ctu al term s sha ll in good tim e before th e

contract is concluded be notified to the consumer in person in writing or

electronically so that the consumer may save and reproduce the information

u nch an ged. The sa me ap plies to the inform ation which th e bus iness is according

to provisions elsewhere in law required to give to the consumer before a contract

concern ing finan cial services is concluded .

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(2) If the contr act has been concluded at the cons u mers requ est using a mean s of

dis tance communication which does not enable providing the information or the

contrac tu a l terms in a perm anen t m ann er re ferred to in su bsec t ion 1 before the

conclusion of the contract , the information and the contractual terms shall be

given in a perma nen t m an ner imm ediately after th e conclusion of the contra ct .

(3) At any t ime du ring the contractu al relations hip the cons u mer is enti t led, at his

or her request , to receive the contractu al terms on p aper.

Section 12 Righ t of w ith d raw al

(1) The consu mer sh all ha ve the right to withd raw from th e contra ct by notifying the

bu siness of this within 1 4 da ys after the conclusion of the contra ct or a later date

on which the consumer received the prior information and the contractual terms

in a pe rmanen t mann e r .

(2) The provisions laid down in su bsection 1 an d sections 1416 on the right to

withdraw from the contract shall not apply to consumer credits or insurance

policies . Chap ter 7 lays down the p rovisions on th e consu mers right to withd raw

from a consumer credit agreement and premature payment of consumer credit .

The Insu ran ce Contr acts Act (543/ 1994 ) lays down th e provisions on th e right of

a policyholder to withdraw from a contract or cancel a contract.

Section 13 Cancellation of an ad ditional contract

(1) When th e consu mer us es his or her right to withd raw from a dis tan ce contract of

a given financial service, a dis tance contract related to the main contract is

cancelled without separate measures if the additional service is supplied by the

same business. The additional contract is also cancelled if a third party is

responsible for the additional service on the basis of a contract or other

arran gement be tween the bu s iness th a t ha s conclu ded the main contrac t and th e

third party.

(2) Cha pters 6(24) an d 10(12) lay down th e provisions on the with dra wal from a

credit agreement related to anoth er contr act .

Section 14 Res trictions on th e righ t of w ith d raw al

The consumer shall not have the right of withdrawal laid down in section 12, if:

(1) th e price or valu e of a given finan cial service or related in str u m ent depen ds

on the fluctuations in the financial market outside the control of the

bus iness ;

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(2) th e contr actin g pa rties ha ve alread y fu lfilled th eir cont ract u al obligations in

their entirety at th e cons u mers express requ est.

Section 15 Pay men t of the s ervice provided before the w ithdraw al

(1) If the consu mer withd raws from a contract, he or sh e may only be required to

pay for the service actually provided by the business prior to the withdrawal in

accordance with the contract . The compensation shall not exceed the amount

which is reached when the service provided p rior to t he withdra wal is comp ared

with th e fu ll extent of the s ervices covered b y the cont ract.

(2) If the bu siness h as n ot notified the amou nt of compens ation or the basis for its

calcu lation in a dvance, or if the bu siness h as comm enced th e performan ce of the

contract withou t the express request of the consu mer, the consu mer is n ot

requ ired to pa y for th e provided s ervice.

Section 16 Retu rn of pay m ents

(1) The cons u mer sha ll, withou t un du e delay an d within 30 days after sending the

notification of withd rawal, return an y payments or property to the b u siness h e or

she has received according to the contract or the withdrawal shall become

void. The consumer may, however, refrain from the obligation to return the

payments or property until the business fulfi ls his or her own corresponding

obligations.

(2) The bu siness sh all, withou t un du e delay and within 30 days after receiving the

notification of withdrawal, return all sums he or she has received from the

consumer according to the contract . A compensation, which the business is

enti t led to charge under section 15 from the consumer for the services provided

prior t