It may happen that one day – as a consumer – you’ll find yourself in a situation where a defect has been found in a good or service purchased in Estonia. Let’s assume that a digital camera doesn’t work or that accommodation services fail to comply with the established requirements.
Should the defect in the good or service be related to a contract violation by the retailer, you should defend your rights and attempt to find a solution to the problem. For example, you should investigate the options available for alternative dispute resolution. All European Union Member States – including Estonia – have established an Alternative Dispute Resolution system (ADR system). The function of the system is to settle disputes between consumers and traders when the parties fail to settle matters by mutual agreement.
Should you find that the solution suggested by trader is not satisfactory – Once you detect defects in a good or service, you should immediately notify the seller and file a complaint. If a verbal claim results in a settlement that is not satisfactory, you should file a complaint in writing. It may well happen that you will not reach a settlement even after filing a written complaint – the trader concerned refuses to handle your complaint or you may feel that the solution suggested is not to your satisfaction. If this is the case, you should refer your cross-border disputes to the European Consumer Centre of Estonia. The European Consumer Centre of Estonia will help you to contact the appropriate alternative dispute resolution body, which has the authority for discussing the substantiation and grounds of the complaint.
What is the Consumer Complaints Committee?
The Consumer Complaints Committee is an independent institution, which operates at the Estonian Consumer Protection Board and settles disputes between consumers and traders.
The Committee functions as the ADR and is charged with settling disputes arising from contracts between consumers and traders, when one of the parties is a trader registered in Estonia and the other party is a consumer as an individual who has purchased goods or services for private consumption.
The Consumer Complaints Committee consists of a chairman of the committee and members from business side (in the form of representatives appointed by business organizations, professional associations) and consumer side (from the Consumer Protection Board or the consumer associations). In order to hear a complaint, there must be at least three members in the composition of the committee.
Submission of a Complaint to the Consumer Complaints Committee
In disputes involving cross-border purchases, a consumer is first required to submit a written complaint to the European Consumer Centre of Estonia at the Consumer Protection Board. The Centre initiates proceedings in an attempt to achieve a settlement between the parties and collect additional information regarding the circumstances of the dispute. Should the proceedings fail to end in a settlement to the consumer’s satisfaction, a written complaint may be submitted to the Consumer Complaints Committee.
A complaint must be submitted in writing and must set out the following:
1) the name, address and other contact details of the consumer;
2) the name or business name of the trader and the address of the place of business;
3) the content of the complaint, the clearly expressed claim of the consumer submitting the complaint, and the circumstances substantiating the claim.
Documentary evidence, including a copy of the document certifying the purchase and, if possible, copies of the complaint submitted to the trader and of the reply received, should be included with the complaint.
Description of the Committee Hearing
The parties involved in the dispute or a consumer and trader are sent an invitation to the hearing at least 15 days before the expected date of the hearing. Since the failure of the parties involved to turn up at the hearing does not interfere with the procedure, the hearing is held even if the trader refuses to participate.
The consumer who submitted the complaint is permitted to state his/her claim and its grounds at the hearing. The trader may contest the complaint by providing objections.
Should it become obvious at the hearing of the Committee that the opinion of an expert regarding the disputed good or service is essential for the settlement of a dispute, the Committee may, at the consent of the parties, request for the submission of such an opinion. Costs related to the opinion of the expert are borne by the losing party.
Decision Making by the Committee
The committee makes a decision within five working days as of the date of the hearing. Only the members of the Committee are present at the decision-making meeting, and decisions are made by majority vote. If the trader disagrees with the decision of the Committee and fails to comply with it (since the decisions are not binding), the parties to a dispute may file an action with a county court for the same dispute to be heard.
All decisions of the committee are published on the website of the Consumer Protection Board: www.tka.riik.ee.
NB! The settlement of disputes at the Consumer Complaints Committee is free of charge for the parties involved.
Which complaints are not settled by the Committee?
As provided by the Consumer Protection Act, the Committee does not settle disputes when:
- the value of a disputable product or service is less than 300 EEK;
- the claim arises from death, physical injuries or damages to one’s health;
- the dispute involves the provision of health care or legal assistance services, or the transfer of real estate and a building;
- settlement of the dispute is within the competence of other institutions or courts;
- the dispute involves a product or service available in a sphere where sellers have not established a business organisation or professional association;
- the same dispute on the same grounds and between the same parties is currently before a court, or a court judgment concerning the same matter has entered into force.
Why should one prefer a hearing at the Consumer Complaints Committee and not before a Court?
A consumer may choose whether to approach a court to settle a dispute or decide in favour of an alternative dispute resolution system. The ADR (Alternative Dispute Resolution) models are very common in Europe. Compared to a court dispute, ADR represents a system providing for the easier, more convenient and less time and money consuming settlement of a dispute.
In the event of failure to comply with a decision of the committee, the Consumer Protection Board (the host organisation of ECC Estonia) has the right, with the consent of the consumer and as the representative of the consumer, to file an action with a county or city court for the same dispute to be heard if the dispute is relevant to the application of the Consumer Protection Act or other legislation or to the general interests of consumers.
