New York State Enacts New Online Consumer Protection Law

New York State continues to enact legislation aimed at protecting online consumers (see E-TIPS, Vol 5, No 8, October 11, 2006, "New York State Enacts Three Identity Theft Laws" for earlier examples). The state's new online consumer protection law (Bill S 4964, chapter 72) gives online consumers the same protections as those afforded to consumers who make purchases over the phone or through the mail, such as:

• vendors cannot accept orders for merchandise that cannot be reasonably expected to be shipped within 30 days;
• all advertising must prominently display the legal name, complete street address, and refund policy of the company selling the merchandise;
• vendors who do not ship products to customers within 30 days of the order being placed must give the customer an opportunity to cancel the order and receive a full refund, or receive substitute merchandise; or
• vendors must retain records of all customer complaints about failing to ship merchandise or provide advertised services.

A need for enhanced online consumer protection measures became apparent when in 2006 more than 1,000 consumer complaints were submitted to the New York State Attorney General's Internet Bureau regarding merchandise ordered online not being delivered, or other allegedly improper conduct related to online purchases. For more information, see: http://www.northcountrygazette.org/news/2007/06/04/online_law/; and http://www.oag.state.ny.us/press/2007/jun/jun04a_07.html Summary by: Andrei Edwards