E-Commerce Compliance is critically important for any business selling products or services online. In 2022, the Law on Protection of Consumer Rights and the Law on Electronic Commerce came into force, radically changing the rules of the game. Online stores are now required to have strictly defined "Terms & Conditions," adhere to a 14-day unconditional return policy, and provide complete information. Violation of these regulations leads to fines by the Competition Agency. Furthermore, online trading is directly linked to processing personal data (name, address, card details), requiring high data protection standards. This service involves making your online platform fully legally compliant to avoid fines and consumer claims.
What does this service cover?
The E-Commerce compliance service covers:
- Public Offer Drafting: Preparing the agreement placed on the website regulating the relationship between the store and the buyer.
- Return Policy: Correctly drafting the 14-day return rule, considering legal exceptions (e.g., hygiene items).
- Privacy Policy: Creating a document explaining how you process user data and whether you transfer it to third parties (e.g., courier companies).
- Information Obligation Audit: Checking whether all mandatory information (price, warranty, company details) is displayed correctly on the site.
- Payment System Integration: Legal analysis of agreements with banks and payment providers.
Common Real-World Scenarios
E-commerce businesses often face the following issues:
- Return Refusal: A customer bought an item, didn't like it, and requests a return within 5 days. The store refuses because the item was opened. This is a violation if the item retains its merchantable quality.
- Pricing Error: Due to a technical glitch, an item was listed for 1 GEL. A customer bought it. The store is obliged to deliver unless terms regarding such errors were pre-defined.
- Data Breach: Hackers stole the customer database. If the company lacked protection standards, it faces a substantial fine.
- Instagram/Facebook Sales: Selling via social media without providing full information. The law applies to social media sales as well.
Georgian Legal Framework
The main regulatory act is the Law on Protection of Consumer Rights (especially the section on distance contracts). The Law on Electronic Commerce also applies, obliging the service provider to be identifiable. Personal data processing is regulated by the Law on Personal Data Protection. Enforcement is carried out by the Competition and Consumer Agency, which has the power to fine businesses up to 2% of their turnover.
Process: How does a specialist work?
The lawyer conducts an audit of the website or application (going through the "User Journey"). Checks are made on where and how "Terms & Conditions" appear and whether consent is obtained (Check-box). Then, legal documents are written or updated. The lawyer also trains the sales team so they know how to respond to return requests legally.
Why Legal.ge?
Online trading in Georgia is growing fast, but so are regulations. On Legal.ge, you will find digital law experts who know how to turn your website into a compliant platform. Our documents are not "copied" templates; they are tailored to your business processes and protect you from "consumer terrorism."
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