Consumers Pursuing Complaints against Merchants
Ministry of Trade and IndustrySpeakers
Summary
This question concerns the assistance and costs available for consumers pursuing complaints against merchants and whether any requests for help have been refused. Mr Leon Perera inquired about the support provided by consumer protection organisations and a breakdown of reasons for rejected assistance over the past five years. Minister for Trade and Industry (Industry) S Iswaran explained that the Consumers Association of Singapore (CASE) offers advice, negotiation, and mediation, with fees including $10.70 for letters and tiered administrative charges for members. He stated that CASE assists an average of 8,600 cases annually and only rejects requests falling outside the ambit of consumer protection laws. These exclusions include business-to-business disputes, accident claims, and investment contracts, which do not fall within the organisation’s specific regulatory mandate.
Transcript
16 Mr Leon Perera asked the Minister for Trade and Industry (Industry) (a) for a complainant who wishes to pursue a complaint against a merchant, what kind of assistance from any consumer protection organisation is available and at what cost; and (b) has any complainant been refused assistance by such organisation and, if so, what is the breakdown of these reasons for the past five years.
Mr S Iswaran: The Consumers Association of Singapore (CASE) is the first point of contact for consumers who have disputes with retailers. CASE advises consumers on their rights and the possible courses of action that they may choose to take. The consumer can pursue the issue on his own or enlist CASE's assistance. Consumers who want CASE to assist them can choose from a range of measures, such as negotiation and mediation. CASE has a set of fees for its services, which is tiered depending on the extent of services provided and the value of the claims. The list of fees is published online on CASE's website.
Over the past five years, CASE has helped to clarify an average of about 15,500 consumer enquiries per year. In addition, CASE has assisted or counselled an average of about 8,600 consumer cases per year. Of these cases, about 20% obtain letters from CASE which set out the consumer's rights, the case-specific concerns and resolution sought. The consumers use the letters to engage the retailers. Consumers pay CASE an administrative fee of $10.70 for this letter.
Consumers may also choose to have CASE negotiate with the retailer on their behalf. As CASE is constituted as an association, it is only able to represent its members when dealing with the retailer. Consumers who become individual CASE members pay an annual membership fee of $26.75. Depending on the value of the claim, the consumer also pays an administrative fee which is tiered based on the value of the claim – ranging from $10.70 for claims of less than $5,000 to $53.50 for claims of up to $20,000; with an additional $53.50 for every $10,000 or part thereof above $20,000.
CASE has not rejected any requests from consumers for assistance, except where the requests are beyond the ambit of consumer protection laws. These include business-to-business disputes, application for accident claims and investment contracts.