                CONSUMER   AFFAIRS     [ CAP. 378.        1
CHAPTER 378
CONSUMER AFFAIRS ACT
To provide for the establishment and functions of the office of Director of Consumer Affairs
and for the establishment of a Consumer Affairs Council and of tribunals to be known as the
Consumer Claims Tribunals, and for other matters ancillary or consequent thereto.
23rd January, 1996
 ACT XXVIII of 1994 as amended by Acts V of 1995, XIX of 1996, XXVI of 2000 and VI of
2001.
ARRANGEMENT OF ACT
Articles
PART I. Preliminary 1-2
PART II. Director of Consumer Affairs and the Consumer Affairs
Council  3-15
PART III. Consumer Claims Tribunal  16-27
PART IV. Consumer Associations 28-42
PART V. Declaration of principles 43
PART VI. Unfair practices 44-55
PART VII. Liability for defective products 56-71
PART VIII. Sale of Goods to consumers 72-93
PART IX. Compliance orders 94-101
PART X. Enforcement 102-110
PART XI. Miscellaneous 111
  2      CAP. 378. ]                    CONSUMER   AFFAIRS 
PART I
Preliminary
Short title. 1. The short title of this Act is the Consumer Affairs Act.
Interpretation.
Amended by:
V. 1995.20;
XXVI. 2000.2.
2. In this Act, unless the context otherwise requires -
"advertisement" means any form of representation, including a
catalogue, a circular and a price list, about a trade, business, craft
or profession in order to promote the supply or transfer of goods or
services, immovable property, rights or obligations and
"advertising" shall be construed accordingly;
"consumer" means -
(i) any individual who in transactions and other
matters covered by this Act or any regulations
made thereunder, is acting for purposes which
are not related to his trade, business, craft or
profession; and 
(ii) any other individual not being the immediate
purchaser or beneficiary, and whether or not a
member of the consumer’s household, who
having been expressly or tacitly authorised or
permitted by the consumer, may have consumed,
used or benefited from any goods or services
provided to the consumer by a trader acting in
the course of a trade, business, craft or
profession, including goods or services provided
as part of gift schemes and similar or analogous
inducements; and
(iii) any other class or category of persons whether
natural or legal as may, from time to time, be
designated as "consumers" for all or for any of
the purposes of this Act by regulations made by
the Minister after consulting the Council;
"consumer association" means a voluntary body of persons
whose principal objective is the promotion of consumer protection
or education;
"Council" means the Consumer Affairs Council established
under Part II of this Act;
"Department" means the Department of Consumer Affairs;
"Director" means the Director of Consumer Affairs;
"goods" include any movable property, whether tangible or
intangible, that may form the object of trade, including animals and
fish of whatever species whether living or dead;
"Minister" means the Minister responsible for consumer affairs;
Cap. 380.
"ordinary court" for the purposes of Part III of this Act includes
the Small Claims Tribunal established under the Small Claims
Tribunal Act;
                CONSUMER   AFFAIRS     [ CAP. 378.        3
Cap. 217.
"permanent resident" means a person in whose favour a permit of
residence has been issued in accordance with article 7 of the
Immigration Act;
"premises" means any place from where any trade or business is
carried out including any stall or vehicle;
"qualifying body" means a registered consumer association and
any other body whether constituted in Malta or otherwise as the
Minister may, after consulting the Council, designate by notice in
the Gazette;
"registered consumer association" means a consumer association
registered in accordance with Part IV of this Act;
"services" includes the provision, in the course of or in
furtherance of a trade, business, craft or profession, of any kind of
educational, professional or instruction courses, facilities for
entertainment, amusement, recreation, sports and cultural
activities, beauty, health and nutrition-related programmes, hospital
and nursing services, accommodation and analogous facilities, of
any description, and the performance, in furtherance of a trade,
business, craft or profession of any other type of work or action in
return for a fee or reward;
"trader" means -
(i) any person, including any body corporate or
incorporate who in relation to any transactions
or other matters covered by this Act or
regulations made thereunder is acting for
purposes relating to his trade, business, craft or
profession;
Cap. 13.
Code applies:
Provided that the Minister after consulting the Council may
from time to time by Order published in the Gazette, designate as a
"trader" for all or any purposes of this Act, any category or class of
persons and any body corporate or incorporate whether established
by law or not. Any Order made by the Minister as aforesaid may by
like Order be amended, substituted or revoked;
"terms" includes any condition or requirements in any contract,
notice, guarantee or other statement, whether these are given
verbally or in writing;
"Tribunal" means a Consumer Claims Tribunal set up under Part
III of this Act.
  4      CAP. 378. ]                    CONSUMER   AFFAIRS 
PART II
Director of Consumer Affairs and the Consumer 
Affairs Council
Establishment of 
office of Director 
of Consumer 
Affairs.
3. (1) There shall be a Director of Consumer Affairs who
shall be a public officer designated by the Prime Minister for that
purpose.
 (2) The functions of the Director of Consumer Affairs,
(hereinafter in this Act referred to as "the Director") shall be to
implement the policy established by the Minister, either personally
or through public officers in the Department of Consumer Affairs
and shall include -
( a ) to provide information and guidelines to the public on
matters affecting the interests of consumers;
( b ) to monitor trading practices relating to the provision of
goods and services to consumers, and to take measures
for the suppression and prevention of any practices
which may be detrimental to the interests of
consumers;
( c ) to investigate complaints from consumers relative to
the supply of goods and services and to take such
action as is in his power to redress any justified
grievance that may come to his notice;
( d ) to assist the Consumer Affairs Council in the
performance of its functions and duties and to furnish
such information as may be required by the Council in
relation to the exercise of its duties; and
( e ) to perform any other function or duty that is or may be
assigned to him under this Act or any other law.
 (3) Nothing in this Act shall be construed to give any consumer
a right to require the Director to give him advice on any specific or
general matter or to act on his behalf and in his interest in any
particular matter or dispute with any trader or supplier of services
before any court, tribunal or elsewhere.
 (4) The Director may in writing authorise any public officer
serving with the Department, to perform any of the functions
assigned to the Director under this Act or any other law.
Consumer Affairs 
Council.
Amended by:
XXVI. 2000.3.
 4. (1) There shall be established a Council to be designated
"the Consumer Affairs Council" having the functions and duties set
out in this Act. The Council shall consist of a chairman, deputy
chairman and five other members.
(2) The Minister shall appoint:
( a ) the chairman and four other members from among
persons who, because of their experience,
qualifications or activities, the Minister considers as
being able to contribute towards the promotion of
consumer interests;
( b ) the Director as deputy chairman; and
                CONSUMER   AFFAIRS     [ CAP. 378.        5
( c ) one member who, because of his experience,
qualifications or activities, the Minister considers as
being able to state the point of view of traders.
 (3) One of the members, other than the chairman, mentioned in
subarticle (2)( a ) shall be appointed after consultation with those
consumer associations, if any, registered under Part IV of this Act
and the member mentioned in paragraph ( c ) of the same subarticle
shall be appointed after consultation with those constituted bodies
which the Minister considers to represent the interests of traders.
 (4) The appointed members shall hold office for such term, not
being more than three years, as may be specified in their letter of
appointment and shall be eligible for re-appointment.
 (5) Where the seat of any appointed member is vacated before
the expiration of the term fixed in his letter of appointment, the
Minister shall appoint another person to replace such member for
such term, not being a term of more than three years, as the
Minister may determine in his letter of appointment.
 (6) The deputy chairman shall act instead of the chairman
whenever the chairman is lawfully impeded or is absent from a
meeting of the Council.
 (7) A person shall not be eligible to be appointed a member of
the Council, or to continue to be a member of the Council if such
person -
( a ) is a member of the House of Representatives; or
( b ) is legally incapacitated or interdicted; or
( c ) has been declared bankrupt or has made a composition
with his creditors; or
( d ) has been convicted of -
(i) any crime affecting public trust; or
(ii) theft; or
(iii) fraud; or
(iv) knowingly receiving property obtained by theft
or fraud; or
Cap. 39.
Cap. 37.
Cap. 313.
Cap. 317.
(v) any offence contemplated in this Act, the
Weights and Measures Ordinance, the Customs
Ordinance, the Trade Descriptions Act, the
Door-to-Door Salesmen Act or any law repealed
by any of the said Acts or Ordinances or any law
replacing the same.
(8) Notwithstanding any other provision of this article the
Minister may at any time terminate the appointment of an
appointed member, if in his opinion such appointed member is unfit
to continue in office or has become incapable of properly
performing his functions.
 (9) The Minister shall appoint an officer serving in the public
service to act as non-voting secretary of the Council.
  6      CAP. 378. ]                    CONSUMER   AFFAIRS 
Functions of the 
Council.
5. (1) It shall be the function of the Council -
( a ) to advise the Minister in the formulation of the policy
to be followed by the Director in the exercise of his
functions under this or any other law;
( b ) to advise and assist the Minister on measures for the
promotion and protection of consumer interests;
( c ) to monitor and keep under review trading and business
practices relating to the supply of goods and services
to consumers and to activities related or ancillary
thereto;
( d ) at the request of the Minister to undertake or
commission any study or research which may be
necessary to promote consumer protection;
( e ) to monitor the working and enforcement of laws that
directly or indirectly affect the consumer in Malta;
( f ) to draw up and review consumer protection directives
and minimum service standards for submission to the
Minister;
( g ) to monitor the development of consumer associations
in Malta, and draw up and review rules of practice for
registered consumer associations for submission to the
Minister;
( h ) to examine and determine whether a consumer
association has the requirements to be a registered
consumer association in accordance with this Act; and
( i ) to perform any other function or duty that may be
assigned to it by the Minister or that may be assigned
to the Council under this or any other law.
 (2) ( a ) The Council may, with the concurrence of the Minister,
from time to time establish such advisory commissions
as it may consider necessary to assist it in its functions.
( b ) The commissions shall have an advisory and
consultative function, and their findings or
recommendations shall not be binding on the Council
or the Minister.
( c ) Each commission established under this subarticle
shall consist of two or more persons nominated by the
Council and an equal number of other persons
nominated by organisations or individuals representing
the interests of the branch or sector of trade or
business in respect of which the commission is
established. A commission shall in each case be
chaired by a member of the Council.
( d ) A commission shall serve as a channel of
communication between the branch or sector of trade
or business in respect of which it is established and the
Council, and shall endeavour to prevent and resolve
possible situations of conflict of views and interests
between traders and consumers in that particular
                CONSUMER   AFFAIRS     [ CAP. 378.        7
branch or sector.
Conduct of 
business of 
Council.
6. (1) Subject to the provisions of this Act, the Council shall
regulate its own procedure.
 (2) The Council shall meet as often as necessary but in no case
less frequently than once every calendar month. Meetings shall be
convened by the chairman or in his absence the deputy chairman,
either on his own initiative, or at the request of three other
members of the Council.
 (3) A quorum at a meeting of the Council shall be constituted
by the chairman, or in his absence the deputy chairman, and three
other members.
 (4) Decisions of the Council shall be taken by majority of votes
of the members present and voting, the chairman shall have an
original vote and in the event of equality of votes a second or
casting vote.
(5) The Council may act notwithstanding any vacancy among
its members.
(6) Any member of the Council who in any matter before the
Council has any interest in conflict with his office as member of the
Council shall disclose the nature of his interest and withdraw from
any meeting of the Council during which the matter is discussed.
Any such disclosure shall be recorded in the minutes.
Power to make 
regulations.
Substituted by:
XXVI. 2000.4.
7. (1) The Minister may, after consulting the Council, make
regulations about any matter relating to consumer affairs in order to
give fuller effect to the provisions of this Act, and in particular, but
without prejudice to the generality of the aforesaid, may prescribe
regulations -
( a ) in relation to any aspect concerning the provision of
any service, or the sale or hire of any goods offered or
supplied to consumers; establishing minimum service
standards and price indication requirements with
regard to any such goods or services, and laying down
any other requirements in order to improve price
transparency and consumer information, and to
promote easier comparison between different goods or
services offered to consumers;
( b ) establishing rules of practice for registered consumer
associations;
( c ) regulating advertising and similar practices in order to
ensure that advertising and similar practices are fair
and that they do not take undue advantage of
consumers;
( d ) regulating trading stamps schemes, gift schemes,
special offers, sale promotional activities and other
similar schemes, arrangements and activities, by
whatever name described or designated, connected
with, ancillary or related to the provision of any
service or the sale or hire of any goods to consumers
  8      CAP. 378. ]                    CONSUMER   AFFAIRS 
and other consumer transactions, including schemes
involving the use and promotion of coupons, units,
tokens, vouchers, points, stamps or any other form of
reward, gift, membership, incentive, inducement or
other benefit, whether in cash or in kind, and whether
exchangeable, redeemable or otherwise, issued to or
distributed to consumers in connection with, whether
directly or indirectly, the purchase or hire of goods or
services or other consumer transactions;
( e ) to regulate distance selling arrangements and the
conclusion of agreements where the consumer and the
trader are at a distance from each other, and for this
purpose to set out the procedure for concluding
distance selling agreements, to provide for the
inclusion or exclusion of particular terms and
conditions, to establish a cooling-off period for
consumers, to lay down thresholds and exemptions,
and to establish minimum consumer rights, and to
introduce measures to make offers for such agreements
more transparent and informative, and to regulate any
other aspect of distance selling; and
( f ) to regulate consumer credit offers and the conclusion
of agreements for the provision of credit terms and
facilities by traders or other persons to consumers in
the course of a trade, business, craft or profession in
relation, directly or indirectly, to the sale or offer of
goods, immovable property or services, to lay down
the form and procedure for making consumer credit
agreements, to stipulate and regulate the terms and
conditions that may or may not be adopted in such
agreements, to lay down thresholds and exemptions,
the method of calculating the cost of credit,
advertising, and other measures considered necessary
or appropriate to establish minimum rights for debtors
and to make credit offers more transparent and
informative, and to regulate any other aspect of
consumer credit arrangements.
(2) Regulations made under this section may also provide for
the assignment of power and authority to the Director and to the
Council, or to any of them, to control, monitor, keep under review
or prohibit any scheme, agreement, activity or arrangement,
including the power to authorise, require a licence, suspend, restrict
and to order the amendment, prohibition, suspension, withdrawal or
cancellation of any particular scheme, agreement, activity or
arrangement, or of a particular class or category thereof, and to
impose any conditions and requirements in connection therewith.
(3) Regulations made under this section may provide that any
person who contravenes any provision of the regulations shall be
guilty of an offence, and may prescribe penalties for such offences
against any regulation, provided that the penalty for such offences
shall in no case exceed a fine ( multa ) of more than two thousand
liri. Different penalties may be prescribed for different offences.
                CONSUMER   AFFAIRS     [ CAP. 378.        9
Public warning 
statements.
Amended by:
XXVI. 2000.5.
8. (1) The Director may, with the concurrence of the
Chairman in case of urgency, or of the Council, make or issue a
public statement identifying and giving warnings or information
about any of the following:
( a ) goods that are unsatisfactory or dangerous and persons
who supply those goods;
( b ) services supplied in an unsatisfactory manner and
persons who supply those services;
( c ) trading practices detrimental to the interests of
consumers and persons who engage in such practices;
and
( d ) any other matter that adversely affects or may
adversely affect the interests of consumers in
connection with the acquisition by them of goods or
services from traders.
 (2) When making a statement as is referred to in subarticle (1),
the Director shall adhere to the principles of fairness and
objectivity.
(3) The Government, the Director and any public officer acting
on the instructions or authority of the Director, shall be exempt
from any liability for acts done in good faith in pursuance of this
article by the Director or any public officer as aforesaid. Such
exemption shall extend to all persons publishing, printing,
recording, broadcasting or communicating such information by any
means whatsoever.
Name of Council 
or Department not 
to be used in 
advertisement.
Amended by:
XXVI. 2000.6.
9. (1) A trader shall not without the written consent of the
Director make or cause to be made any representation in any visual
or aural form, either specifically or by implication, to the effect
that: 
( a ) any goods or services supplied by any trader have the
approval of any authority established under this Act;
or
( b ) any activity carried out by any trader has the approval,
or is conducted with the co-operation or assistance of
any authority established under this Act.
(2) Where a trader’s name, tradename, trademark, or the
designation of any goods or services provided or supplied by a
trader, appears in relation to a representation referred to in
subarticle (1), that trader shall be deemed for the purposes of this
article to have caused the representation to be made unless he
proves that the representation was made without his knowledge or
connivance.
 (3) A trader convicted under this article shall be liable to a fine
( multa ) of not less than fifty liri and not more than one thousand
liri.
Liability of trader 
for acts of his 
employees, etc.
10. Where an offence under this Act or any regulation made
thereunder is committed by an employee or other person acting on
behalf of a trader, the trader shall also be guilty of the offence
  10      CAP. 378. ]                    CONSUMER   AFFAIRS 
committed by the employee or other person acting on his behalf
unless he can prove that he has exercised all reasonable diligence to
prevent the commission of the offence by the employee or other
person acting on behalf of the trader.
Confidentiality. 11. (1) A person who is or was at any time a member of the
Council or of any advisory commission established under this Act,
the Director, or a public officer with the Department shall not, save
in the course of his duty or functions under this Act or any other
law, or where it is competent to him to do so by reason of a
provision of this Act or any other law, directly or indirectly
communicate any information that came to his knowledge as a
consequence of his holding that appointment or position.
(2) Nothing in subarticle (1) shall be construed as prohibiting
the Director or any other public officer with the Department from
communicating to a consumer whose complaint concerning any
matter has been investigated by the Department, information
concerning any matter which has come to his cognisance as a result
of the investigation.
(3) Without prejudice to any other liability under any other law,
any person who acts in breach of this article shall be liable on
conviction to a fine ( multa ) of not less than fifty liri and not more
than one thousand liri, or to a term of imprisonment not exceeding
six months, or to both such fine and imprisonment.
Undertakings.
Amended by:
XXVI. 2000.7.
12. (1) Where it appears to the Director that a trader has
engaged in conduct that constitutes a breach of, or failure to
comply with, any regulations made under article 7 or under the
provisions of article 9, the Director may, at his discretion, instead
of instituting proceedings against the trader under the relevant
regulation, caution the trader and seek an undertaking in writing
from the trader that he shall refrain from the conduct specified in
the undertaking for such period not exceeding three years, as may
be specified by the Director. The undertaking shall contain such
other terms and conditions as may be agreed, including, where
circumstances so warrant, the provision of compensation for
aggrieved consumers.
(2) The Director shall not institute proceedings against the
trader where the trader shall have ceased to engage in the said
conduct and has given the said undertaking.
(3) The Director shall maintain a register of undertakings made
under this article, which register shall be kept at the principal office
of the Department and the register may be seen by any person at
such times as may be established by the Director.
 (4) A trader who acts in contravention of an undertaking made
in accordance with this article shall, without prejudice to any
liability arising under this or any other law, be guilty of an offence
and shall, on conviction, be liable to a fine ( multa ) of not less than
one hundred liri and not more than one thousand liri, and shall in
any case remain bound by the undertaking for the remaining period
of its term.
                CONSUMER   AFFAIRS     [ CAP. 378.        11
Proceedings.
Amended by:
XXVI. 2000.8.
13. (1) Proceedings for any offence under this Act may only
be instituted at the instance of the Director.
(2) In any proceedings referred to in subarticle (1), the
Director, or an official of the Department duly authorised to act in
his stead, may, notwithstanding any provision of any other law,
conduct the prosecution before the Court of Magistrates.
 (3) Should the evidence of the Director or the official
conducting the prosecution be required as part of the case of the
prosecution, he shall be heard before any other witness, unless the
necessity of his giving evidence arises later in the proceedings.
Compensation 
orders.
14. (1) Upon the request even verbal of the aggrieved
consumer or of the prosecuting officer on his behalf, the court shall
where the defendant is convicted for an offence against any
regulation made under article 7, make a compensation order
whereby defendant is ordered to pay to the aggrieved consumer as
full or partial compensation -
( a ) a sum not in excess of two hundred and fifty liri for
any pecuniary loss, and
( b ) a sum of not less than fifteen liri and not more than
one hundred liri as moral damages for any pain,
distress, anxiety and inconvenience,
suffered by the aggrieved consumer as a result of the offence or
arising therefrom.
(2) Any compensation ordered under subarticle (1)( a ) shall be
reduced from any amount which may be given in a judgment by a
court or tribunal of civil jurisdiction with regard to the same matter.
(3) A request for the making of a compensation order shall not
be made where such damages have been settled by agreement with
the trader or where the aggrieved consumer has instituted a claim
before a court or a tribunal of civil jurisdiction against the
defendant in respect of the same matter.
(4) A compensation order made under this article shall be
without prejudice to the right of the aggrieved consumer to institute
civil action for the recovery of any sum due to him as damages so
however that the sum covered by the compensation order shall be
reduced from the total sum due by the defendant as damages.
(5) A compensation order made under this article shall be
subject to appeal by the defendant in the same manner as an appeal
from sentence.
Cap. 12.
(6) When the judgment in which a compensation order is made
has become  res judicata , the said compensation order shall be
deemed to be an executive title for the purposes of the Code of
Organization and Civil Procedure and shall be enforceable in the
same manner as if it were a judgment of the Court of Magistrates
(in each case in its inferior civil jurisdiction) of the island where
the court making the compensation order is situate.
  12      CAP. 378. ]                    CONSUMER   AFFAIRS 
Prime Minister 
may extend 
operation of 
articles 10, 12, 13 
and 14 to other 
laws.
15. (1) The Prime Minister may by order in the Gazette direct
that the provisions of articles 10, 12, 13 and 14 shall apply to
offences under any other law administered by the Director, or under
any law whereby maximum prices for goods or services are fixed,
or whereby minimum standards are fixed for goods or services.
(2) The provisions of articles 10, 12, 13 and 14 shall apply to
offences under the laws referred to in article 43.
PART III
Consumer Claims Tribunal
Establishment of 
tribunals.
16. (1) There shall be two tribunals to be styled "the
Consumer Claims Tribunal (Malta)" and "the Consumer Claims
Tribunal (Gozo)" respectively.
(2) The Consumer Claims Tribunal (Malta) shall, subject to the
provisions of subarticle (3), have jurisdiction to hear and determine
consumer claims where the transaction to which the claim refers
has taken place in Malta, and shall hold its sittings in such place or
places in Malta as the Minister may by order in the Gazette
determine.
(3) The Consumer Claims Tribunal (Gozo) shall have
jurisdiction to hear and determine consumer claims where the
transaction to which the claim refers has taken place in the Islands
of Gozo or Comino, and shall hold its sittings in such place in the
Islands of Gozo and Comino as the Minister, in consultation with
the Minister responsible for Gozo Affairs, may by order in the
Gazette determine.
(4) For the purposes of subarticles (2) and (3) a transaction
shall be deemed to have taken place:
( a ) in the case of a sale or a service which has been
concluded or provided on the premises of the trader, in
the island where those premises are situate;
( b ) in the case of a sale or a service which has been
concluded or provided outside the premises of the
trader:
 (i) where the sale or the service was contracted by
telephone, fax, correspondence or by any
mechanical or electronic means of
communication, and the trader did not himself
approach the consumer and offer the sale of the
goods or the supply of the service, in the island
where the premises of the trader are situate;
(ii) in all other cases in the island where the goods
were delivered or the service provided; so
however that where the goods were delivered or
the service provided partly in the Island of Malta
and partly in the Island of Gozo or in the Island
of Comino, or has taken place during a voyage
                CONSUMER   AFFAIRS     [ CAP. 378.        13
between the Island of Malta and the Island of
Gozo or the Island of Comino, both tribunals
shall have jurisdiction.
Cap.12.
(5) Where in accordance with the provisions set out in
subarticle (4), or in accordance with any rules made under article
27, it cannot be determined which tribunal has jurisdiction, the
provisions of the Code of Organization and Civil Procedure to
determine conflict of jurisdiction between the Court of Magistrates
(Malta) in its civil jurisdiction and the Court of Magistrates (Gozo)
in its inferior civil jurisdiction, shall  mutatis mutandis  apply.
Arbiters. 
alone:
Provided that more than one arbiter may be appointed to sit
in any of the said tribunals, but only one arbiter shall sit in any one
case.
(2)Arbiters shall be appointed by the Prime Minister. No person
shall be qualified to be appointed arbiter unless such person -
( a ) is a citizen of Malta over the age of thirty years; and
( b ) holds the warrant and has practised the profession of
advocate in Malta for a period of at least five years.
 (3) A person shall be disqualified to be appointed arbiter if
such person -
( a ) is a member of the House of Representatives; or
( b ) is a member of a Local Council; or
( c ) is a trader; or
( d ) has been convicted of any of the offences referred to in
article 4(7)( e ).
(4) Arbiters shall receive such remuneration as the Prime
Minister may by notice in the Gazette determine, and shall not be
precluded from the exercise of their respective profession.
 (5) Arbiters shall be appointed for a term of three years and
shall be eligible to be re-appointed, for a further term or terms of
three years each.
(6) In the exercise of his functions under this Act an arbiter
shall not be subject to the control or direction of any other person
or authority and may not be removed from office except by the
Court of Appeal on an application for that purpose by the Prime
Minister on the grounds of misbehaviour or inability to perform his
functions by reason of infirmity of body or mind.
(7) The remuneration due to arbiters and the expenses in
connection with the administration of the tribunals shall be paid out
of the Consolidated Fund without the necessity of any further
appropriation.
Abstention or 
challenge of 
arbiters.
18. An arbiter shall abstain and may be challenged in the same
circumstances as a judge of the superior courts.
  14      CAP. 378. ]                    CONSUMER   AFFAIRS 
Oath taken by 
arbiter.
19. Every person appointed as an arbiter shall not assume the
functions of his office unless and until he has taken before the
Attorney General an oath to examine and decide the cases brought
before him without delay, with impartiality, and equity according to
law.
Jurisdiction of the 
tribunal.
Amended by:
XXVI. 2000.9.
20. (1) A tribunal shall have jurisdiction to hear and
determine claims made by consumers against traders where the
value of the claim, exclusive of interests and costs, does not exceed
one thousand five hundred liri, and where the claim relates to,
arises out of or concerns, whether directly or indirectly -
( a ) the purchase or hire of goods by a consumer from a
trader; or
( b ) the provision of services by a trader to a consumer.
(2) The jurisdiction of a tribunal shall not be exclusive, and it
shall be at the option of the consumer whether to bring an action
against a trader before a tribunal or before the ordinary courts; so
however that -
( a ) where an action has been brought before a tribunal by
a consumer, it shall not be competent for the consumer
to bring an action arising out of the same claim also
before the ordinary court; and
( b ) where an action has been brought before the ordinary
courts by a consumer, or in a case brought by a trader
against a consumer and the consumer sets forth a
counter-claim, it shall be lawful for all the parties to
the action, where the claim and the counter-claim if
any are within the jurisdiction of a tribunal, by a joint
note filed in the records of the case to request that
court to transfer the case to a tribunal. Thereupon the
ordinary court shall through the Registrar transfer a
copy of the records of that case to the tribunal and
shall refrain from taking further cognisance of the
case. Registry costs in respect of the case before the
ordinary courts shall in any such case be waived, and
unless the parties otherwise agree in the note
aforesaid, costs shall be determined in a like manner as
if the case was withdrawn by the plaintiff:
  Provided that a case shall not be transferred to a
tribunal where the value of the claim or counter-claim
determined as provided for in subarticle (1) exceeds
one thousand five hundred liri; and
( c ) it shall be lawful for a trader to make a counter-claim
against a consumer arising from a matter referred to in
subarticle (1) before the tribunal in an action brought
against him by a consumer.
Determination of 
disputes before a 
tribunal.
21. (1) A tribunal shall determine the issues in dispute in any
claim or counter-claim before it according to the substantive merits
and justice of the case, and in accordance with equity:
Provided that any question of prescription shall be
                CONSUMER   AFFAIRS     [ CAP. 378.        15
determined according to law.
(2) A tribunal may, when determining the issues in dispute in
any claim or counter-claim before it, order the trader to pay to the
consumer a sum of not less than fifteen liri and not more than one
hundred liri as moral damages for any pain, distress, anxiety and
inconvenience.
Appeals.
Amended by:
XXVI. 2000.10;
VI.2001.26.
22. (1) An appeal shall lie from a decision of a tribunal by
means of an application filed within eighteen working days from
the date of the decision -
( a ) in the case of an appeal from the Consumer Claims
Tribunal (Malta) to the Court of Appeal (Inferior
Jurisdiction) sitting in Malta; and
( b ) in the case of an appeal from the Consumer Claims
Tribunal (Gozo) to the Court of Appeal (Inferior
Jurisdiction) sitting in Gozo.
(2) An appeal shall only lie in accordance with subarticle (1)
where the tribunal has acted contrary to the rules of natural justice,
and such action has seriously prejudiced the rights of the appellant.
Where the Court of Appeal (Inferior Jurisdiction) finds that the
grounds for appeal are justified it shall quash the decision of the
tribunal and shall itself determine the original claim and any
counter-claim in accordance with the provisions of article 21.
(3) The Minister responsible for justice may by regulations
under this subarticle establish the fees payable in the registry of the
courts in relation to the filing of judicial acts in connection with an
appeal under this article:
Cap. 12.
Provided that where no such fees have been so established
the fees contained in Schedule A to the Code of Organization and
Civil Procedure shall apply.
(4) The board established under article 29 of the Code of
Organization and Civil Procedure may make rules governing
appeals under this article.
Procedure.
Amended by:
XXVI. 2000.11.
23. (1) Subject to the provisions of any rules made in
accordance with article 27 and to the provisions of subarticle (2),
an arbiter shall regulate the proceedings before a tribunal as he
thinks best suited to the ends of justice in accordance with the rules
of natural justice.
(2) Subject to any rules referred to in subarticle (1) hereof, an
arbiter -
( a ) shall ensure that a case is decided as far as is
reasonably possible on the same day of the hearing;
( b ) shall inform himself in any manner he thinks fit and
shall not be bound by the rules of best evidence or the
rules relative to hearsay evidence if he is satisfied that
the evidence before him is sufficiently reliable for him
to reach a conclusion on the case before him;
( c ) shall refrain as far as possible from appointing
  16      CAP. 378. ]                    CONSUMER   AFFAIRS 
technical referees to give expert evidence, and shall
where experts are appointed make out a list of points
upon which the expert is to give evidence;
( d ) shall not be bound to give extensive reasons for his
decisions but it shall be sufficient for him to list out
the main points upon which his decision is based;
( e ) shall have the same power as a magistrate sitting in a
Court of Magistrates (Malta) in its civil jurisdiction or
in the Court of Magistrates (Gozo) in its inferior civil
jurisdiction and in particular shall have power to
summon witnesses and to administer an oath to
witnesses; and
( f ) shall ensure evidence before the Tribunal shall in all
cases be tendered on oath.
(3) No proceedings before a tribunal shall be invalid because of
any non-observance of any formalities if there has been substantial
compliance with the rules.
(4) ( a ) A claim shall, before being presented before a tribunal,
be referred by the party making the claim to the
Director or a registered consumer association who
shall try to bring the parties into an agreement on the
issues in dispute.
( b ) If no agreement is reached on all the issues in dispute
within fifteen working days from when the claim was
referred to the Director or the registered consumer
association, as the case may be, by the party, that party
may then present its claim before the tribunal.
Cap. 108.
(5) Witnesses shall be paid fees in accordance with the
Witnesses (Fees) Ordinance.
Cap. 189. (6) The provisions of the Judicial Proceedings (Use of English
Language) Act shall apply to a tribunal.
Applicability of 
this Part. 
24. (1) The provisions of this Part shall apply to claims
arising from sales made or services provided after the coming into
force of this article, and it shall be a condition of any sale or
provision of service after the coming into force of this article that
the provisions of this Part shall apply to any claims arising
therefrom:
Provided that it shall be lawful for a consumer and a trader
to agree that this Part shall also apply to sales made, or services
provided, before the coming into force of this article.
(2) It shall not be lawful for the parties to a transaction to
which subarticle (1) refers, to derogate from any right given to a
consumer under this Part.
Costs and 
enforcement.
Amended by:
XXVI. 2000.12.
25. (1) In any award the arbiter shall determine the costs that
any of the parties is to pay to the other and unless special
circumstances so warrant, the losing party shall be ordered to pay
the costs of the party in whose favour the decision is awarded:
                CONSUMER   AFFAIRS     [ CAP. 378.        17
Provided that where the arbiter is satisfied that a claim
presented before the Tribunal or any defence offered in respect
thereof is vexatious or frivolous, he may order the claimant or the
defendant, as the case may be, to pay to the other party a penalty of
not more than fifty liri. Any such order shall be motivated and
enforceable in the same manner as a decision of the Tribunal.
(2) Costs shall be limited to expenses made directly in
connection with the case by the party in whose favour the payment
of costs is awarded:
Provided that in no case shall costs be awarded in
connection with any expenses consisting of legal fees or any fees
however so called paid by any of the parties to advocates, legal
procurators or any other person assisting the parties before the
tribunal.
(3) A decision of a tribunal which has become  res judicata  may
be enforced by the Court of Magistrates (Malta) in the case of a
decision of the Consumer Claims Tribunal (Malta), and by the
Court of Magistrates (Gozo) in its inferior civil jurisdiction in the
case of the Consumer Claims Tribunal (Gozo) in the same manner
as if the decision were a judgment of the respective court.
Registry, secretary 
and deputy 
secretary.
26. (1) There shall be a registry for each tribunal.
(2) The records of each tribunal shall be accessible to all
persons, and copies shall be given on payment of the prescribed fee
to any person on request.
(3) The acts and records of a tribunal shall be deposited and
kept in any place as the Minister may, with the concurrence of the
Minister responsible for justice, by order in the Gazette establish.
(4) The Minister shall appoint a secretary to each tribunal from
among public officers serving with the Department.
 (5) The secretary shall subject to such rules as may be made
under this Part, have the same functions in relation to the tribunal
as the Registrar of the Courts and the Archivist of the Courts have
in relation to the superior courts.
(6) The Minister shall also appoint deputy secretaries from
among public officers serving with the Department who shall,
subject to rules made as aforesaid, have such duties as are assigned
to them by the secretary in general and in particular as are
performed by deputy registrars in the superior courts.
(7) Before assuming the functions of their office, a secretary
and a deputy secretary shall take and subscribe to an oath before a
Commissioner for Oaths to perform their duties fairly and
impartially according to law.
Rules.
responsible for justice, make rules for the better functioning of the
tribunals established under this Part and may without prejudice to
the generality hereof make rules:
( a ) setting out the procedure before the tribunals or in
  18      CAP. 378. ]                    CONSUMER   AFFAIRS 
appeals from the tribunals;
( b ) establishing the forms that are to be used in
proceedings before the tribunals or in appeals from the
tribunals;
( c ) establishing rates of costs in proceedings before the
tribunals;
( d ) establishing the fees that may be due to the registry of
the tribunal;
( e ) setting out the duties of the secretaries and deputy
secretaries; and
( f ) prescribing anything that may or is to be prescribed in
accordance with this Part.
PART IV
Consumer Associations
Requirements for 
registrations.
Amended by:
XXVI. 2000.13.
28. A registered consumer association is a consumer
association which satisfies the Council that it complies with the
following requirements:
( a ) that the association has a minimum paid up
membership of one hundred members of majority age
who are citizens of Malta or permanent residents in
Malta;
( b ) that the statute of the association states in substance
that the principal object of the association is to
promote consumer protection, and to guide, inform
and educate consumers;
( c ) that the statute makes provision for the association to
be managed by persons freely elected by the members
of the association in an election which is held at least
once every calendar year;
( d ) that the association does not have the making of profit
as one of its objects; and
( e ) that the association is independent of any other
association, organisation or grouping whose principal
object is not the protection of consumers.
Application for 
recognition.
29. (1) Any consumer association wishing to be recognised as
a registered consumer association shall submit to the Council the
following:
( a ) an application on the appropriate form issued under
the authority of the Council;
( b ) a complete updated copy of its statute duly certified by
the person who holds the most senior executive post
with the association;
( c ) a list of the association’s members including their
respective addresses and identity card numbers; and
                CONSUMER   AFFAIRS     [ CAP. 378.        19
( d ) the official address of the association.
(2) The Council shall at its earliest opportunity examine and
verify whether the association satisfies the requirements laid down
in article 28. Where these requirements are satisfied, the Council
shall register the applicant as a registered consumer association,
and shall issue a certificate to the association confirming the
registration of the said association and the date thereof.
(3) Where the Council determines that an association does not
satisfy the requirements for registration, it shall within fourteen
days from the date of its decision give notice thereof in writing to
the applicant giving the grounds for such a decision.
(4) The Council may refuse to register a consumer association
under a name or designation which it considers to be offensive or
otherwise undesirable.
(5) A certificate issued by the Council to the effect that a
particular consumer association is a registered consumer
association which complies with all the requirements laid down
under subarticle (1), shall be valid and conclusive evidence of the
fact for all intents and purposes of law.
 (6) No fees shall be charged in connection with the registration
of a consumer association with the Council.
Register of 
consumer 
associations.
30. (1) The Council shall keep a register of all registered
consumer associations, stating their names, dates of registration,
number of members and any other particulars the Council may
deem appropriate.
(2) The register shall be open to inspection by any person free
of charge at any time and place as may be determined by the
Council:
Provided that the identity of the members of a registered
consumer association shall not be open to public scrutiny.
Obligation to keep 
records of 
members.
31. Every registered consumer association shall keep a fully
updated record of the names, addresses and identity card numbers
of its members.
Obligation to 
submit information 
to Council.
32. (1) A registered consumer association shall submit to the
Council all such returns and information on its membership and
activities as the Council may from time to time require. Without
prejudice to the foregoing, each registered consumer association
shall in every calendar year not later than the end of March lodge
with the Council a return of its membership as at the 31st
December of the previous year.
(2) A registered consumer association shall provide the
Council with a copy of any amendments to its statute, which copy
must be duly certified by the person holding the most senior
executive post with the association. Any such amendment must be
notified to the Council within fourteen days of its approval by the
said association.
  20      CAP. 378. ]                    CONSUMER   AFFAIRS 
Council to publish 
annual list.
33. As soon as practicable after the lapse of each successive
calendar year but not later than the end of May of each year, the
Council shall publish for general information in the Gazette a list of
the registered consumer associations duly registered as on the 31st
December of the previous year.
False or misleading 
statement, etc.
34. Any person who knowingly or recklessly makes a false or
misleading statement or declaration or otherwise gives any false or
misleading information to the Council under any of the provisions
of this Part shall, on conviction, be liable to a fine ( multa ) of up to
one thousand liri or to a term of imprisonment not exceeding six
months or to both such fine and imprisonment.
Exemption and 
privileges.
35. A registered consumer association shall enjoy the rights,
benefits, privileges and exemptions granted by this Part for so long
as it remains so registered and continues to comply with the
requirements of this Part.
Exemption from 
liability.
36. (1) Notwithstanding the provisions of any other law, a
registered consumer association and any of its officials acting on its
behalf shall be exempt from any liability or responsibility whether
civil or criminal, in respect of any publication, statement or other
communication or activity, which is  bona fide  and is intended
solely for the better information, education or protection of
consumers. Such exemption shall extend to all persons publishing,
printing, recording, broadcasting or communicating such
information by any means whatsoever.
(2) For the purposes of subarticle (1), a publication, statement,
communication or activity shall be deemed to be  bona fide  when it
is not made or undertaken recklessly or maliciously, adheres to the
principles of fairness and objectivity, and is not in contravention of
any rules of practice made in accordance with article 7(1)( c ).
(3) Any person alleging bad faith by a registered consumer
association shall have the burden of proving such allegations.
Registered 
consumer 
associations and 
prosecutions.
37. (1) A registered consumer association may in its own
name make reports or complaints to the competent authority on any
breach of this Act, any law administered by the Director or any
such laws or regulations as the Prime Minister may from time to
time determine by notice published in the Gazette.
(2) In any prosecution by the competent authority made
following a report or complaint under subarticle (1), a
representative of the association shall be called to give evidence on
the facts known to the association about the complaint or report and
indicate to the court any evidence in respect of the charge of which
it may be aware.
 (3) In the course of the criminal proceedings made as a result
of a report or complaint by the association, an official authorised
by the association for this purpose shall be entitled to participate
and assist in the prosecution of the said offences.
Exemption from 
income tax.
38. A registered consumer association shall be exempt from
the payment of income tax.
                CONSUMER   AFFAIRS     [ CAP. 378.        21
Assistance to 
registered 
consumer 
associations.
39. The Minister may, acting on the advice of the Council,
grant to any registered consumer associations such assistance and
facilities as he may deem fit from time to time in order to enable
them to exercise their functions.
Consultation and 
initiatives with 
registered 
consumer 
associations.
40. (1) The Council may whenever it considers it to be
necessary, consult with registered consumer associations on any
matter relating to or arising from the supply of goods and services
to consumers.
(2) The Council may also undertake initiatives or campaigns
jointly with registered consumer associations as it deems fit from
time to time.
Cancellation of 
registration.
41. The Council shall cancel the registration of a registered
consumer association in any of the following cases where:
( a ) a request for cancellation is made by the association;
( b ) it is satisfied that the association no longer complies
with any of the requirements laid down in article 28;
( c ) for any reason, the statute regulating the association is
not in conformity with the provisions of this Part;
( d ) it is satisfied that the association has ceased to exist or
to function;
( e ) it is satisfied that sufficient proof exists that the
registration of the association had been procured by
fraud, negligence or serious mistake;
( f ) the association or anyone acting on its behalf is
convicted under article 34; or
( g ) the association has repeatedly acted in breach of any
rules of practice made under article 7(1)( c ), or has in
any matter of gravity acted even once in breach of
such rules.
Other consumer 
associations. 
42. Nothing in this Part shall be construed as obstructing or
limiting the right of persons to set up associations for the protection
and promotion of consumer interests without qualifying in terms of
article 28. In such a case an association which is not registered
shall not have any right to consultation, assistance or recognition
from the Council, or to any other right, privilege or exemption
conferred by this Part upon registered consumer associations.
Added by:
XXVI. 2000.15.
PART V
Declaration of Principles
Consumer rights.
Added by:
XXVI. 2000.15.
43. (1) The principles stated in subarticle (2) shall not be
directly enforceable in any court or tribunal, but shall be adhered to
in the interpretation and implementation of this Act and any
regulations made thereunder.
(2) Consumers shall be entitled:
  22      CAP. 378. ]                    CONSUMER   AFFAIRS 
( a ) to have adequate access to basic essential goods and
services at reasonable prices and to be able to choose
from a diverse range of goods and services;
( b ) to be protected against goods, production processes
and services which are harmful to health;
( c ) to have adequate access to information about goods or
services which is clear, correct and does not mislead;
( d ) to form and join consumer associations and to have
consumer interests represented in the making and
execution of government policy, and in the
development of goods and services;
( e ) to protection from unlawful or unfair trading practices;
( f ) to receive a fair settlement of just claims including
adequate compensation for misrepresentation, shoddy
goods or unsatisfactory services; and
( g ) to effective, quick and inexpensive means of redress in
disputes they may have with traders.
(3) A consumer may not waive any rights established in his
favour by or under this Act.
PART VI
Unfair practices
Prohibited terms.
Added by:
XXVI. 2000.15.
44. (1) It shall be unlawful in consumer contracts to use unfair
terms, or terms or combination of terms which are unfair in that
they have as an object or effect any of the objects and effects
referred to in subarticle (2), and any term prohibited as aforesaid
inserted in any consumer contract shall be deemed never to have
been so inserted.
(2) The terms referred to in subarticle (1) include terms which
have the object or effect of -
( a ) excluding or limiting the liability of a trader by reason
of his own fraud or gross negligence or that of his
employees or agents, or by reason of any failure to
fulfil an obligation constituting one of the fundamental
elements of the contract;
( b ) establishing an unreasonably short period for notifying
the trader of any defects;
( c ) excluding or limiting the legal rights of a consumer
against the trader in the event of total or partial non-
performance or inadequate performance by the trader
of any of his contractual obligations;
( d ) prohibiting the consumer from offsetting a debt owed
to the trader against a claim which the consumer may
have against the same trader;
( e ) making an agreement binding on the consumer
                CONSUMER   AFFAIRS     [ CAP. 378.        23
whereas the provision of services or goods by the
trader is subject to a condition whose realisation
depends solely on the will of the trader;
( f ) allowing the trader to retain sums paid by the
consumer if the consumer decides not to conclude or
perform the contract, without providing for the
consumer to receive compensation of an equivalent
amount from the trader where the trader is the party
cancelling the contract;
( g ) requiring a consumer who fails to fulfil his obligation,
to pay to the trader as compensation a sum which is
disproportionately high to the value of the goods or
services purchased or hired;
( h ) determining the compensation payable by a consumer
who fails to fulfil his obligations, without providing
for compensation of the same magnitude by the trader
who fails to fulfil his;
( i ) limiting the means of proof which the consumer can
use;
( j ) causing the consumer to waive any ground of claim
against the trader in the event of a dispute;
( k ) prohibiting the consumer from seeking the
cancellation of the contract if the trader fails to fulfil
his obligations;
( l ) restricting the right of the consumer to cancel the
contract if the trader, in connection with any guarantee
or warranty given, does not fulfil his obligation or fails
to do so within a reasonable period;
( m ) irrevocably binding the consumer to terms with which
he had no real opportunity of becoming acquainted
before the conclusion of the contract;
( n ) enabling the trader to alter the terms of a contract
unilaterally, without a valid reason which is specified
in the contract;
( o ) enabling the trader to alter unilaterally, without a valid
reason, any characteristics of the product or service to
be provided;
( p ) providing for the price of goods to be determined at
the time of delivery by the trader or allowing him to
increase the price without in any case giving the
consumer the corresponding right to cancel the
contract if the final price is too high in relation to the
price agreed when the contract was concluded;
( q ) causing the price to vary by reference to factors
depending only on the will of the trader;
( r ) giving the trader the right unilaterally to determine
whether the goods or services supplied are in
conformity with the contract;
( s ) giving the trader the exclusive right to interpret any
  24      CAP. 378. ]                    CONSUMER   AFFAIRS 
term of the contract;
( t ) limiting or eliminating the obligation of the trader to
respect commitments undertaken by his agents or
employees;
( u ) obliging the consumer to fulfil his obligations where
the trader does not perform his;
( v ) allowing the trader the possibility of transferring all
his rights and obligations under the contract where this
may serve to reduce the guarantees or warranties for
the consumer, without the consent of the consumer;
( w ) providing for an immediate and final commitment by
the consumer on signature of the contract, with the
trader contracting subject to a condition the fulfilment
of which depends only on the will of the trader; and
( x ) permitting the trader to establish or alter unilaterally
the period for delivering goods or supplying a service.
(3) The Minister may, after consulting the Council, by
regulations amend, substitute or revoke any of the terms listed in
subarticle (2).
(4) The list of terms laid down in subarticle (2) is not an
exhaustive list, and accordingly nothing contained in subarticles (1)
and (2) shall be construed as limiting or otherwise prejudicing the
generality of the provisions of article 45.
(5) In this Part, the term "goods" shall include immovable
property.
Meaning of an 
unfair term.
Added by:
XXVI. 2000.15.
45. (1) An unfair term means any term in a consumer contract,
which on its own or in conjunction with one or more other terms -
( a ) creates a significant imbalance between the rights and
obligations of the contracting parties to the detriment
of the consumer; or
( b ) causes the performance of the contract to be unduly
detrimental to the consumer; or
( c ) causes the performance of the contract to be
significantly different from what the consumer could
reasonably expect; or
( d ) is incompatible with the requirements of good faith.
(2) The unfairness of a term shall be assessed, taking into
account the following:
( a ) the nature of the goods or services for which the
contract was concluded;
( b ) the time of conclusion of the contract; and
( c ) all the circumstances attending the conclusion of the
contract and all the other terms of the contract or of
another contract on which it is dependent. Such
circumstances may also include:
                CONSUMER   AFFAIRS     [ CAP. 378.        25
(i) the bargaining power of the parties;
(ii) whether a consumer was subjected to undue
pressure; and
(iii) whether the lack of knowledge or skill of a
consumer was improperly taken advantage of.
(3) The provisions of articles 44 to 47 shall be applicable to
contracts concluded or executed after the coming into force of these
articles.
Consequence of 
inclusion of unfair 
or prohibited term.
Added by:
XXVI. 2000.15.
46. A consumer contract that includes a prohibited or unfair
term shall not be binding on the consumer unless the contract is
capable of continuing in existence without the unfair term.
Use of plain 
language in 
consumer contract.
Added by:
XXVI. 2000.15.
47. (1) In any consumer contract, where all or some terms
offered by a trader to a consumer are in writing, these terms shall
be written in plain and intelligible language which can be
understood by the consumers to whom the contract is directed.
(2) Where any term is ambivalent or any doubt arises about the
meaning of a term, the interpretation most favourable to the
consumer shall prevail.
Misleading 
advertisements.
Added by:
XXVI. 2000.15.
48. (1) Any form of misleading advertising is prohibited.
(2) An advertisement is misleading if in any way, including its
presentation, it deceives or is likely to deceive the persons to whom
it is addressed or whom it reaches, and if by reason of its deceptive
nature, it is likely to affect their economic behaviour or is one
which for those reasons, injures or is likely to injure a competitor
of the person whose interests the advertisement seeks to promote.
(3) In determining whether an advertisement is misleading
account shall be taken of all its features, and in particular of any
information it may have about -
( a ) the characteristics of goods or services, including their
availability, nature, execution, composition, method
and date of manufacture or provision, fitness for
purpose, uses, quantity, specification, geographical or
commercial origin or the results to be expected from
their use, or the results and material features of tests or
checks carried out on the goods or services;
( b ) the price or the manner in which the price is
calculated, and the conditions on which the goods are
supplied or the services provided;
( c ) the nature, attributes and rights of the advertiser,
including his identity and assets, his qualifications and
ownership of industrial, commercial or intellectual
property rights or any awards and distinctions made to
him.
(4) Any person who makes a misleading advertisement shall be
guilty of an offence against this Part of this Act.
  26      CAP. 378. ]                    CONSUMER   AFFAIRS 
Meaning of 
comparative 
advertising.
Added by:
XXVI. 2000.15.
49. (1) "Comparative advertising" means any advertising
which explicitly or by implication identifies a competitor or goods
or services offered by a competitor.
(2) Any person who makes an advertisement constituting
comparative advertising other than as permitted under article 50
shall be guilty of an offence against this Act.
Permitted 
comparative 
advertising.
Added by:
XXVI. 2000.15.
50. (1) Comparative advertising shall, as far as the comparison
is concerned, be permitted when the following conditions are met:
( a ) it is not a misleading advertisement in accordance with
article 48 or otherwise;
( b ) it compares goods or services meeting the same needs
or intended for the same purpose;
( c ) it objectively compares one or more material, relevant,
verifiable and representative features of those goods
and services, which features may include price;
( d ) it does not create confusion in the market place
between the advertiser and a competitor or between the
advertiser’s trade marks, trade names, other
distinguishing marks, goods or services and those of a
competitor;
( e ) it does not discredit or denigrate the trade marks, trade
names, other distinguishing marks, goods, services,
activities or circumstances of a competitor;
( f ) for products with designation of origin, it relates in
each case to products with the same designation;
( g ) it does not take unfair advantage of the reputation of a
trade mark, trade name or other distinguishing marks
of a competitor or of the designation of origin of
competing products; and
( h ) it does not present goods or services as imitations or
replicas of goods or services bearing a protected mark
or trade name.
(2) Any comparison referring to a special offer shall indicate in
a clear and unequivocal way the date on which the offer ends or,
where appropriate, that the special offer is subject to the
availability of the goods and services, and where the special offer
has not yet begun the date of the period during which the special
offer shall apply. "Special offer" in this subarticle refers to the price
of the goods or services or any other specific condition under which
the goods or services will be supplied.
Offering gifts and 
prizes.
Added by:
XXVI. 2000.15.
51. A trader who, in connection with the supply or possible
supply of goods or services or with the promotion by any means of
the supply or use of goods or services, offers gifts, prizes, or other
free items -
( a ) fails to provide them or does not provide them as
offered; or
( b ) fails to clearly disclose all the terms and conditions for
                CONSUMER   AFFAIRS     [ CAP. 378.        27
obtaining them; or
( c ) fails to give a clear and full description of the gifts,
prizes or other free items being offered;
shall be guilty of an offence against this Part of this Act.
Pyramid selling 
schemes.
Added by:
XXVI. 2000.15.
52. (1) All forms of pyramid selling schemes however
described shall be prohibited. Schemes or activities in which a
significant or material element consists of a pyramid selling
activity shall also be considered as a pyramid selling scheme for
the purposes of this article.
(2) A person who establishes, operates or promotes a pyramid
selling scheme shall be guilty of an offence against this Part of this
Act.
(3) For the purposes of this article, the term "pyramid selling
scheme" means - 
( a ) a scheme -
that provides for the supply of goods or services or
both for reward;
that to many participants in the scheme constitutes
primarily an opportunity to sell an investment
opportunity rather than an opportunity to supply goods
or services; and 
that is or is likely to be unfair to many of the
participants in that scheme in that -
(i) the financial rewards of those participants are
principally dependent on the recruitment of
additional participants, whether or not at
successively lower levels; and
(ii) the number of additional participants in the
scheme that must be recruited to produce
reasonable financial rewards to the participants
in the scheme is not attainable or is not likely to
be attainable by many of the participants in the
scheme; or
( b ) a scheme of the type similar to a chain letter scheme,
whether or not it provides for the supply of goods or
services, that is unfair to many of the participants in
the scheme in that -
(i) the financial rewards of many of the participants
are dependant on the recruitment of additional
participants; and
(ii) the number of additional participants in the
scheme that must be recruited to produce
reasonable financial rewards to participants in
the scheme is not attainable or is not likely to be
attainable by many of the participants in the
scheme.
(4) Participants, other than those referred to in subarticle (2), in
any pyramid selling scheme shall be entitled not later than two
  28      CAP. 378. ]                    CONSUMER   AFFAIRS 
years from the date on which they have made the last payment to
demand a full refund of any monies paid by them into the scheme.
Misleading 
representations 
about certain 
schemes or 
activities.
Added by:
XXVI. 2000.15.
53. (1) A person who makes a representation that is false or
misleading in a material particular concerning the profitability or
risk or any other material aspect of any work from home scheme or
other similar schemes or activities however described and which
that person represents as one that can be, or can be to a substantial
extent, carried from a person’s place of residence, shall be guilty of
an offence against this Part of this Act.
(2) A person who invites, whether by advertisement or
otherwise, persons to engage or participate, or to offer or apply to
engage or participate, in schemes or activities referred in subarticle
(1) requiring -
( a ) the performance by the persons concerned of works; or
( b ) the investment of money by the persons concerned and
the performance by them of work associated with the
investment
and makes, with respect to the profitability or risk or any other
material aspect of the business activity, a representation that is
false or misleading in a material particular, shall be guilty of an
offence against this Part of this Act.
Offences.
Added by:
XXVI. 2000.15.
54. A person who is guilty of an offence against this Part of
this Act shall on conviction be liable to a fine ( multa ) of not less
than two hundred liri and not more than two thousand liri.
Applicability over 
other laws.
Added by:
XXVI. 2000.15.
Cap. 16.
Cap. 13.
Cap. 313.
55. The provisions in this Part shall prevail over anything to
the contrary contained in the Civil Code, the Commercial Code and
the Trade Descriptions Act.
Added by:
XXVI. 2000.15.
PART VII
Liability for defective products
Interpretation.
Added by:
XXVI. 2000.15.
56. In this Part, unless the context otherwise requires:
"personal injury" includes any disease and any impairment of the
physical or mental condition of a person;
"primary agricultural products" means any product of the soil, of
stock-farming and of fisheries and game;
"product" means any movable and includes:
( a ) any movable incorporated into another product or into
an immovable,
( b ) electricity,
( c ) gas, and
( d ) primary agricultural products;
"producer" means:
( a ) the manufacturer of a finished or processed product, or
                CONSUMER   AFFAIRS     [ CAP. 378.        29
( b ) the manufacturer of a component part, or
( c ) the producer of any raw material, or
( d ) the producer of any products of the soil, of stock-
farming and of fisheries and game, or
( e ) any person who, by putting his name, trade mark or
other distinguishing feature on the product, presents
himself as its producer, or
( f ) where the product is manufactured or produced outside
Malta, any person who imports into Malta a product
for sale, hire, leasing or any other form of distribution.
Liability of the 
producer.
Added by:
XXVI. 2000.15.
57. The producer shall be liable for the damage caused wholly
or partly by a defect in his product.
Proof of damage 
and defect.
Added by:
XXVI. 2000.15.
58. The injured party shall only have the onus of proving the
damage, the defect and the causal relationship between the defect
and the damage and shall not have the onus of proving the fault of
the producer.
Liability of the 
supplier of the 
product.
Added by:
XXVI. 2000.15.
59. (1) The supplier of the product shall be treated as the
producer if -
( a ) the producer cannot be identified and the injured party
has asked the supplier to provide the identity and full
address of the producer or of the person who supplied
the supplier with the product, or
( b ) in the case of an imported product where the importer
cannot be identified even if the name of the producer is
indicated and the injured party has asked the supplier
to provide the identity and full address of the importer
or of the person who supplied the supplier with the
product,
and the supplier fails do so within thirty days from when the
request was made to him.
(2) A request under subarticle (1) shall -
( a ) be in writing and sent by registered mail or official
letter to the place of trade or business of the supplier;
and
( b ) indicate the product that caused the damage, the place
from where and, if possible the approximate date,
when it was acquired.
(3) The supplier has the burden of proving that he provided the
injured party with the information required under subarticle (1)
within the period therein indicated.
Defective product.
Added by:
XXVI. 2000.15.
60. (1) A product is defective if it fails to provide the safety
which a person is entitled to expect, taking all circumstances into
account including:
( a ) the presentation of the product, how it was marketed,
  30      CAP. 378. ]                    CONSUMER   AFFAIRS 
and any directions and warnings provided,
( b ) the use to which it could reasonably be expected that
the product would be put, and
( c ) the time when the product was put into circulation.
(2) A product shall not be considered defective only because a
better product is subsequently put into circulation.
(3) A product shall be considered defective if it does not
provide for the safety which is usually provided for by other
models of the same type.
Damages that are 
recoverable.
Added by:
XXVI. 2000.15.
61. Damages that may be recovered under this Part are:
( a ) damages caused by death or by personal injury, or
( b ) loss of, damage to, or destruction of, any item of
property other than the defective product itself, having
a value of at least two hundred liri, or such other value
that the Minister may prescribe:
Provided that -
(i) the item of property is of a type ordinarily
intended for private use or consumption, and
(ii) the item of property was used by the injured
party mainly for his own private use or
consumption.
Defences a 
producer may 
raise.
Added by:
XXVI. 2000.15.
62. The producer shall not be liable under this Part if he
proves-
( a ) that he did not put the product into circulation, or
( b ) that, having regard to the circumstances, it is probable
that the defect which caused the damage did not exist
at the time when the product was put into circulation
by him or that this defect came into being afterwards,
or
( c ) that the product was neither manufactured by him for
sale or for any form of distribution for an economic
purpose nor manufactured or distributed by him in the
course of his business or trade, or
( d ) that the defect in question is due to compliance with a
mandatory requirement imposed by law or by a public
authority, or
( e ) that the state of scientific and technical knowledge at
the time when he put the product into circulation was
not such as to enable the existence of the defect to be
discovered, or
( f ) in the case of the manufacturer of a component or the
producer of a raw material, that the defect is
attributable to the design of the product in which the
component has been fitted or the raw material has been
incorporated or to the instruction given by the
manufacturer of the product.
                CONSUMER   AFFAIRS     [ CAP. 378.        31
Provisional 
payment of referee.
Added by:
XXVI. 2000.15.
Cap. 12.
63. The court may, notwithstanding any provisions of the Code
of Organization and Civil Procedure, order that the fees of a referee
be provisionally paid or deposited by the producer if there is  prima
facie  evidence that the damage was caused by a defect in the
product. 
Joint and several 
liability.
Added by:
XXVI. 2000.15.
64. Where under this Part, two or more persons are liable for
the same damage, they shall be liable jointly and severally.
Contribution to 
damage by injured 
person.
Added by:
XXVI. 2000.15.
Cap. 16.
65. Article 1051 of the Civil Code shall apply in determining
the liability of the producer where the damage is caused by a defect
in the product and by the fault of the injured person or by a person
for whom the injured person is responsible.
Liability if there is 
an act or omission 
of a third party.
Added by:
XXVI. 2000.15.
66. The liability of the producer shall not be reduced when the
damage is caused both by a defect in the product and by the act or
omission of a third party.
Limitation of 
action.
Added by:
XXVI. 2000.15.
67. (1) The action for damages under this Part shall be barred
by the lapse of three years commencing from the day when the
injured party became aware, or should reasonably have become
aware, of the damage, the defect and the identity of the producer.
(2) Notwithstanding subarticle (1), the action for damages
under this Part shall in any case be extinguished upon the
expiration of the period of ten years from the date on which the
producer put into circulation the actual product which caused the
damage unless the injured party has in the meantime instituted legal
proceedings against the producer.
Cap. 16.
concerning the causes which prevent, suspend and interrupt
prescription shall apply to actions made under this Part.
(4) The burden of proving when the actual product which
caused the damage was put into circulation shall lie on the
producer.
Prohibition of 
exclusion of 
liability.
Added by:
XXVI. 2000.15.
68. The liability of a producer under this Part may not be
limited or excluded whether by any term of contract, by any notice
or in any other manner whatsoever.
Other rights of 
action not 
precluded.
Added by:
XXVI. 2000.15.
Cap. 16.
69. The provisions under this Part shall not exclude or limit
any rights or remedies available to the injured person under the
Civil Code or any other law.
Damages arising 
from nuclear 
accidents.
Added by:
XXVI. 2000.15.
70. The provisions under this Part shall not apply to injury or
damage arising from nuclear accidents which are governed by any
international agreement to which Malta is a party.
Application of this 
Part.
Added by:
XXVI. 2000.15.
71. This Part shall apply to products which are put into
circulation in Malta after the coming into force of this Part.
  32      CAP. 378. ]                    CONSUMER   AFFAIRS 
Added by:
XXVI. 2000.15.
PART VIII
Sale of goods to consumers
Interpretation.
Added by:
XXVI. 2000.15.
72. (1) In this Part unless the context otherwise requires:
"commercial guarantee" means any representation or undertaking
however described or given by a trader or a producer to a
consumer, irrespective of whether given with or without an extra
charge, to reimburse the price paid or to replace, repair or handle
goods in any way if they do not meet the specifications set out in
the guarantee statement or in the relevant advertising;
"free of charge" refers to the exclusion of the costs incurred to
bring the goods into conformity with the contract of sale,
particularly of the cost of postage, labour and materials, which
costs shall accordingly be borne by the trader;
"goods" means any tangible movable item of property;
"guarantor" means the person who is responsible to the consumer
for the execution of a commercial guarantee and includes any other
person acting for or on behalf of the guarantor;
"producer" means the manufacturer of consumer goods, the
importer of consumer goods into Malta or any other country or
group of countries as may, from time to time, be designated for this
purpose by the Minister by notice in the Gazette, or any person
purporting to be a producer by placing his name, trade mark or
other distinctive sign on the goods;
"repair" means in the event of lack of conformity, the process of
bringing goods into conformity with the contract of sale.
(2) Contracts for the supply of consumer goods still to be
manufactured or produced shall also be deemed contracts of sale
for the purposes of this Part.
(3) The provisions of this Part shall be applicable to contracts
of sale of goods to consumers concluded or executed after the
coming into force of this Part.
Conformity with 
the contract.
Added by:
XXVI. 2000.15.
73. (1) Traders are obliged to deliver to consumers, goods
which are in conformity with the description and specifications in
the contract of sale, and shall accordingly be obliged to ensure that
the goods -
( a ) comply with the description given by the trader and
possess the characteristics, features and qualities of
the goods which the trader has promised or has shown
or otherwise held out to the consumer as a sample or
model;
( b ) are fit for the particular purpose for which the
consumer requires them and which he made known to
the trader at the time of conclusion of the contract;
( c ) are fit for the purpose for which goods of the same
type are normally used; and
( d ) show the quality and performance which are normal in
goods of the same type and which the consumer can
                CONSUMER   AFFAIRS     [ CAP. 378.        33
reasonably expect, given the nature of the goods and
taking into account any public statements on the
specific characteristics of the goods made about them
by the trader, the producer or his representative,
particularly in advertising or on labelling.
(2) The obligations of the trader under subarticle (1) at the
time when the contract was concluded, shall lapse and cease in the
following circumstances:
( a ) where the consumer was aware, or could not
reasonably be unaware, of the lack of conformity, or
( b ) where the lack of conformity has its origin in materials
supplied by the consumer.
(3) The trader shall be bound by public statements referred to
in subarticle (1)( d ) unless he -
( a ) shows that he was not, and could not reasonably have
been, aware of the statement in question, or
( b ) shows that by the time of conclusion of the contract
the statement had been corrected, or
( c ) shows that the decision to buy the goods could not
have been influenced by the statement.
(4) Any lack of conformity resulting from incorrect installation
of the goods shall be deemed to be equivalent to lack of conformity
of the goods if the installation is part of the contract of sale of the
goods and the goods were installed by the trader or under his
responsibility. This shall also apply if the product, intended to be
installed by the consumer, is installed by the consumer and the
incorrect installation is due to a shortcoming in the installation
instructions.
Remedies available 
to consumer.
Added by:
XXVI. 2000.15.
74. (1) The trader shall be liable to provide a remedy pursuant
to this article to the consumer for any lack of conformity in the
goods which existed at the time the goods were delivered by the
trader to the consumer. Subject to the other provisions of this Part,
it shall be for the consumer to decide which remedy to request.
(2) In the case of such a lack of conformity, the consumer shall
be entitled either -
( a ) to have the goods brought into conformity free of
charge by repair or replacement, in terms of article
75(1), or
( b ) to a refund of an appropriate reduction in the price or
by having the contract rescinded with regard to those
goods, in terms of article 76(1) or (2).
Repair or 
replacement of 
goods.
Added by:
XXVI. 2000.15.
75. (1) Unless it is impossible or disproportionate, the
consumer may, in the first instance, require the trader to repair the
goods or else to replace them, in either case free of charge.
(2) A remedy shall be deemed to be disproportionate if it
imposes costs on the trader which, in comparison with the
alternative remedies available under this Part, are unreasonable,
  34      CAP. 378. ]                    CONSUMER   AFFAIRS 
taking into account -
( a ) the value of the goods had there not been lack of
conformity,
( b ) the significance of the lack of conformity, and
( c ) whether the alternative remedy could be completed
without significant inconvenience to the consumer.
(3) Any repair or replacement shall be completed, as soon as
practicable, within a reasonable time and without any significant
inconvenience to the consumer, taking account of the nature of the
goods and the purpose for which the consumer required the goods.
Reduction of price 
or rescission of 
contract.
Added by:
XXVI. 2000.15.
76. (1) The consumer may require an appropriate reduction of
the price or have the contract rescinded -
( a ) where the consumer cannot obtain either the remedy of
repair or of replacement, or
( b ) if the trader has not completed the remedy of repair or
replacement within a reasonable time, or
( c ) if the trader can only provide or complete the remedy
of repair or replacement with significant
inconvenience to the consumer.
(2) The consumer is not entitled to have the contract rescinded
if the lack of conformity is minor or insignificant.
Right of redress of 
final seller.
Added by:
XXVI. 2000.15.
77. Where the trader as the final seller of goods is liable to the
consumer because of a lack of conformity resulting from an act or
omission by the producer, a previous seller in the same chain of
contracts or any other intermediary, the final seller shall be entitled
to pursue remedies against the person or persons liable in the
contractual chain.
Prescription.
Added by:
XXVI. 2000.15.
78. The trader shall be liable under the provisions of articles
73 and 74 where the lack of conformity becomes apparent to the
consumer within two years from the delivery of the goods. This
period of prescription shall be suspended for the duration of
negotiations carried on between the trader and the consumer with a
view to an amicable settlement.
Notification of 
trader.
Added by:
XXVI. 2000.15.
79. (1) In order to benefit from the remedies available under
this Part, a consumer must notify the trader of any lack of
conformity in writing within two months from the date on which
the consumer detected such lack of conformity.
(2) For the purposes of this article, it shall be considered
sufficient proof of notification if the notification is made by a
judicial act within the prescribed period, or if the consumer shows
that the letter was sent by registered mail within the prescribed
period.
Presumption of 
existence of lack of 
conformity.
Added by:
XXVI. 2000.15.
80. Unless proved otherwise, any lack of conformity which
becomes apparent within six months of delivery of the goods shall
be presumed to have existed at the time of delivery, where this
presumption is broadly compatible with the nature of the goods or
                CONSUMER   AFFAIRS     [ CAP. 378.        35
the nature of the lack of conformity.
Contractual clauses 
not binding if they 
waive or restrict 
rights.
Added by:
XXVI. 2000.15.
81. Any contractual clauses or agreement concluded by the
consumer with the trader before the lack of conformity is brought
to the attention of the trader, are not binding on the consumer if
such clauses or agreement directly or indirectly waive or restrict
the rights available under this Part.
Commercial 
guarantee to be 
more 
advantageous.
Added by:
XXVI. 2000.15.
82. A commercial guarantee is an additional guarantee which
places the beneficiary of such a guarantee in a more advantageous
position than that established at law. A commercial guarantee shall
not adversely affect other available remedies under any other law
governing contractual or delictual liability.
Requirements for 
commercial 
guarantees.
Added by:
XXVI. 2000.15.
83. (1) A commercial guarantee shall be drawn up in written
form in a clear and legible manner, in plain language and it shall
comply with the following:
( a ) be formulated in at least one of the official languages
of Malta;
( b ) set out the name and address of the guarantor, and
clearly state the permanent address of the place of
trade or business and the name of the person who is
supplying the consumer with the commercial
guarantee;
( c ) clearly state the contents of the guarantee including its
territorial scope if this is limited as well as the
duration of the guarantee from the date of purchase
and different periods may be stipulated for different
components of any goods;
( d ) clearly specify the manner how a consumer is to
proceed to make a claim and to obtain execution of the
commercial guarantee, the person authorised to
execute the commercial guarantee and an address in
Malta where claims may be sent. If a person who in
supplying a commercial guarantee, fails to provide the
consumer with the information required under this
paragraph he shall then be responsible for the
execution of the commercial guarantee at his expense;
( e ) clearly state whether the commercial guarantee may be
transferred to others. Unless otherwise stipulated the
commercial guarantee may also be availed of by any
subsequent owners of the goods to which the
commercial guarantee refers:
Provided that unless the commercial guarantee
specifically states otherwise, it shall be assumed that
in the case of goods, the commercial guarantee covers
any defects that may result during the period of
guarantee;
( f ) provide a clear description of the goods or services
covered under the commercial guarantee;
( g ) clearly stipulate what the guarantor undertakes to do if
there is a defect in the goods covered by the
  36      CAP. 378. ]                    CONSUMER   AFFAIRS 
commercial guarantee or if the services covered by the
guarantee are not properly carried out; and
( h ) state clearly that the consumer enjoys certain rights at
law in relation to the sale of goods to consumers and
that those rights are not adversely affected by the
guarantee.
(2) At the request of the consumer, the trader shall make
available to the consumer the commercial guarantee in writing or in
another durable medium accessible and available to the consumer.
(3) Where a commercial guarantee does not comply with the
requirements set out in this article, the validity of the guarantee
shall not be affected and the consumer shall remain entitled to
claim under it and require that it be honoured.
Liability under a 
commercial 
guarantee.
Added by:
XXVI. 2000.15.
84. Where a trader or any other person gives a commercial
guarantee to a consumer, irrespective of when or how it is given,
then that trader or other person shall be liable to the consumer for
the observance of the terms and execution of the commercial
guarantee as if he were the guarantor, unless that trader or other
person, as the case may be, proves that he had expressly and clearly
informed the consumer to the contrary at the time of the delivery of
the goods or performance of the service.
Commercial 
guarantee shall not 
exclude rights 
under other laws.
Added by:
XXVI. 2000.15.
85. (1) A commercial guarantee and any rights granted to a
consumer under the guarantee shall not in any way, whether
directly or indirectly, exclude or limit the rights of a consumer
under this Act or under any other law. Any such exclusion or
limitation stipulated in violation of this prohibition shall be null
and ineffective.
(2) The provisions in this Part shall apply in all cases where the
contract for the sale of goods to a consumer has been concluded in
Malta or otherwise has a close connection with Malta, or such other
countries or group of countries as the Minister may from time to
time designate for the purpose of this provision by notice published
in the Gazette. Accordingly the rights arising in favour of
consumers under this Part shall remain applicable and shall not be
affected by the adoption of the law of a country not falling under
the provisions of this Part.
Guarantor may ask 
only for charges as 
stipulated.
Added by:
XXVI. 2000.15.
86. A guarantor may not, when performing or executing a
commercial guarantee, request a consumer to pay any fee or any
charge however designated, unless this had been expressly and
clearly stipulated in the commercial guarantee.
Cost of carriage.
Added by:
XXVI. 2000.15.
87. The guarantor shall assume the cost of any carriage
incurred in respect of the performance of a commercial guarantee
unless otherwise stipulated in the commercial guarantee.
Extension of 
commercial 
guarantee.
Added by:
XXVI. 2000.15.
88. The duration of a commercial guarantee shall be
automatically extended for a period equal to the time during which
the guarantor had the goods or part of the goods in his possession in
order to perform or execute the commercial guarantee or as a result
of the recall of the goods or part thereof by the manufacturer.
                CONSUMER   AFFAIRS     [ CAP. 378.        37
Guarantee by a 
third person.
Added by:
XXVI. 2000.15.
89. The designation by the guarantor of a third person to
execute a commercial guarantee does not free the guarantor from
the obligation towards the consumer pursuant to the commercial
guarantee given to the consumer.
Commercial 
guarantee stated in 
advertisement.
Added by:
XXVI. 2000.15.
90. A commercial guarantee whether about goods or services
that is mentioned in a statement or advertisement by any person
shall be binding on that person even if such a commercial guarantee
is not specifically mentioned in the contract of sale.
Rights of action 
under commercial 
guarantee.
Added by:
XXVI. 2000.15.
91. (1) Without prejudice to any other remedies at law, a
consumer may institute civil proceedings against a guarantor who
fails to observe any of the terms or undertakings stipulated in a
commercial guarantee.
(2) The court may in any civil proceedings instituted under this
Part -
( a ) order the guarantor to take such remedial action as
may be necessary to observe the terms of the
guarantee, or
( b ) order the guarantor to perform his obligations under
the commercial guarantee to its satisfaction within
such period as the court may establish. In doing so the
court may order the guarantor to pay to the consumer a
sum not exceeding fifty liri for each day of default in
case of non-compliance after the lapse of the period
established by the court.
Provisions to 
prevail over other 
laws.
Added by:
XXVI. 2000.15.
92. The provisions of this Part where they are more favourable
to the consumer, shall prevail over the provisions of any other law.
Replacement parts, 
repair service 
where goods 
require 
maintenance.
Added by:
XXVI. 2000.15.
93. (1) If the goods being the object of a contract of sale to a
consumer, are of a nature that may require maintenance, or possible
replacement of parts, then replacement parts and appropriate repair
service must be made available for a reasonable time from the date
of the delivery of the goods by the trader to the consumer.
(2) The trader or the producer may release himself from this
obligation by specifically and expressly warning the consumer in
writing, before the contract is entered into, that he does not supply
replacement parts or repair service.
Added by:
XXVI. 2000.15.
PART IX
Compliance orders
Issue of 
compliance orders.
Added by:
XXVI. 2000.15.
94. (1) Where he feels it reasonably appropriate or necessary
in the public interest, the Director may, of his own initiative or on a
written application to him by a qualifying body, issue a compliance
order -
( a ) on any person requiring -
(i) the deletion or alteration of terms in a consumer
  38      CAP. 378. ]                    CONSUMER   AFFAIRS 
contract which the Director considers to be
unfair to consumers in accordance with the
provisions of Part VI of this Act; and 
(ii) the incorporation of terms in a consumer
contract which the Director considers to be
necessary for the better information of
consumers, or for preventing a significant
imbalance between the rights and obligations of
the parties, and this to the benefit of consumers;
( b ) requiring any person engaging, promoting or
undertaking, or proposing to engage in or undertake or
promote any advertising which is misleading or is not
permitted comparative advertising in terms of Part VI
of this Act, to discontinue or refrain from such
advertising;
( c ) requiring any person to take any measures specified in
the compliance order, within the time specified in the
compliance order to ensure that this Act or any
regulations made thereunder or any other law dealing
with consumer rights and protection as may be
designated by Order in the Gazette by the Minister
acting after consulting the Council, are complied with;
and
( d ) requiring any person to cease or desist from
committing an offence against this Act or any
regulations made thereunder or of any other law
dealing with consumer rights and protection as may be
designated by Order in the Gazette by the Minister
after consulting the Council.
(2) The Director shall, when issuing a compliance order under
this article -
( a ) serve a copy of the compliance order on each person
against whom the order is made;
( b ) include with the compliance order, information about
the right to institute an action before the court in
accordance with article 97; and
( c ) briefly state his reasons for issuing the compliance
order, which reasons shall be notified to each person
against whom the compliance order is issued and, if
any, to the qualifying body on whose application the
compliance order is issued.
(3) No precautionary warrant or other order under any other
law shall be issued by any court or tribunal restraining or
restricting the Director from issuing a compliance order under this
Act.
(4) A qualified body, when making an application under this
Part, is not required to have or to prove an interest in, or be affected
by, the matter or act in issue.
                CONSUMER   AFFAIRS     [ CAP. 378.        39
Discretion of 
Director to issue a 
compliance order.
Added by:
XXVI. 2000.15.
95. (1) It shall be at the discretion of the Director whether or
not to issue a compliance order after a written request by qualifying
body has been made to him in terms of article 94.
(2) If the Director decides not to issue a compliance order after
an application has been made to him by a qualifying body, he shall,
within seven days from the date of his decision, notify in writing
the qualifying body and the persons against whom the compliance
order is requested with his decision stating his reasons therefor.
(3) A qualifying body may within fifteen days from the date of
notification upon it of the decision of the Director not to issue a
compliance order, institute an action before the Courts of
Magistrates in their civil jurisdiction for the issue of an order
requiring the Director to issue a compliance order under article 94.
The persons against whom the compliance order is requested to be
made shall be parties to the suit, and it shall be the duty of the
qualifying body to notify such persons accordingly.
(4) In exercising his functions and powers under this Part the
Director shall in all cases act as expeditiously as possible. In the
case of an application by a qualifying body, the Director shall give
his decision within fifteen days from receipt of the application.
Compliance order 
to take immediate 
effect.
Added by:
XXVI. 2000.15.
96. A compliance order shall come into force with immediate
effect.
Application for 
revocation of a 
compliance order.
Added by:
XXVI. 2000.15.
97. (1) A person against whom a compliance order has been
made may, within fifteen days of the notification of the compliance
order on him, institute an action before the Courts of Magistrates in
their civil jurisdiction for a revocation of the compliance order.
Such action may be made only on the following grounds:
( a ) on a material point of law; or
( b ) if the making of a compliance order is grossly
unreasonable or unjustified.
(2) The court may confirm, change or cancel the compliance
order on any terms or conditions it considers appropriate.
(3) Where an action is instituted under subarticle (1), the
compliance order shall be stayed pending the outcome of the case.
The Director may however, if he considers it appropriate or
necessary in the public interest, request the court to make an order,
hereinafter referred to as an interim compliance order, ordering that
the compliance order may subject to such modifications as the
court may in the interim compliance order determine, continue in
force pending the final determination of the case instituted in
accordance with subarticle (1). An interim compliance order shall
expire upon the final determination of the case.
(4) A person against whom a compliance order has been made
may not institute an action before the court in terms of this article if
he has already been made a party to the suit in terms of article 95.
  40      CAP. 378. ]                    CONSUMER   AFFAIRS 
Cases to be heard 
and determined 
with urgency.
Added by:
XXVI. 2000.15.
98. Actions instituted under articles 95 and 97 shall be heard
and determined by the court with urgency and as expeditiously as
possible.
No need to prove 
actual loss, etc.
Added by:
XXVI. 2000.15.
99. The Director, when issuing a compliance order under
article 94, shall not be required to prove -
( a ) actual loss or damage, or
( b ) actual recklessness, negligence or fault on the part of
the person against whom the order is made.
Director to seek 
voluntary 
compliance.
Added by:
XXVI. 2000.15.
100. The Director shall, whenever he considers it to be possible
and reasonable to do so, seek first to achieve voluntary compliance
by the person or persons involved, with this Act or regulations
made thereunder or with any other law dealing with consumer
rights and protection as may be designated by the Minister after
consulting the Council by Order in the Gazette, before proceeding
for the issue of a compliance order under article 94.
Director may 
require 
publication.
Added by:
XXVI. 2000.15.
101. The Director, in order to eliminate or reduce the continuing
effects of any non-observance of any provisions of this Act or of
regulations made thereunder or of any other law dealing with
consumer rights and protection as may be designated by the
Minister after consulting the Council by Order in the Gazette, may
by notice in writing require any person -
( a ) to publish a copy of the compliance order made under
article 94 against any such person, in full or in part and
in such form as he considers to be appropriate and
adequate; and 
( b ) to publish a corrective statement in relation to any
contravention of this Act, against any regulations
made thereunder, or against any other law dealing with
consumer rights and protection as may be designated
by the Minister after consulting the Council by Order
in the Gazette;
Publication shall be made in at least two daily newspapers
within seven days from receipt of the notice and shall be at the
expense of the person served with such notice. Where such
publication is not effected as aforesaid, the Director may proceed to
effect publication himself, in which case he shall have the right to
recover from the person on whom the notice is served, any
expenses incurred, as a civil debt.
 
Added by:
XXVI. 2000.15.
PART X
Enforcement
Production of 
written 
authorisation.
Added by:
XXVI. 2000.15.
102. The Director may in writing authorise a public officer to
perform any of his functions or exercise any power granted to him
under this Part. Any such officer shall when required, produce the
written authorisation signed by the Director.
                CONSUMER   AFFAIRS     [ CAP. 378.        41
Entry of 
inspection.
Added by:
XXVI. 2000.15.
103. (1) For the purpose of discharging his functions under
this Act, the Director may -
( a ) enter and search any premises other than premises
used exclusively as a place of residence;
( b ) make any inspection, conduct any test and on paying
or making tender therefor, take any goods; and
( c ) take any books, documents or records however kept or
stored.
No entry and search shall be effected between seven in the
evening and seven in the morning, unless the Director has reason to
believe that delay could cause the loss of necessary information.
(2) Where the Director takes any book, document or record
under this article, he may retain that book, document or record -
( a ) for as long as it is necessary to enable it to be
inspected and copies of extracts from it to be made or
taken, or
( b ) if it is required as evidence in proceedings for an
offence under this Act or any regulations made
thereunder.
(3) The Director shall give to the person from whom anything
has been taken, a receipt for what has been taken.
(4) If the Director keeps the original of any book, document or
record, he shall allow the owner thereof to have reasonable access
thereto or to a copy thereof as soon as practicable.
Cap. 9.
(5) Nothing in this Part shall be deemed to detract from the
powers of the Police under the Criminal Code or any other law.
(6) In the course of any entry and search under this Part, the
Director may request the assistance of the Police.
Obtaining 
information.
Added by:
XXVI. 2000.15.
104. (1) The Director may, for the purpose of discharging his
functions under this Act, require any person to provide any
information in any manner, including:
( a ) by answering any questions, orally or in writing; or
( b ) by producing any books, documents or other records as
the Director may consider to be necessary.
(2) A person shall not be required to answer any question if the
answer may subject him to criminal proceedings.
Obstruction of 
Director.
Added by:
XXVI. 2000.15.
105. Any person who -
( a ) wilfully obstructs, assaults, threatens, resists or
interferes with the Director or a public officer in the
exercise of his duties under this Part, or attempts so to
do; or 
( b ) uses threatening, abusive or insulting language to the
Director or a public officer in the course of his duties
under this Part,
shall on conviction be guilty of an offence against this Act.
  42      CAP. 378. ]                    CONSUMER   AFFAIRS 
Offences.
Added by:
XXVI. 2000.15.
106. (1) Any person who -
( a ) fails to comply with a compliance order issued under
this Act or regulations made thereunder;
( b ) refuses or fails to furnish information as required
under this Part or else provides false or misleading
information,
shall be guilty of an offence against this Act.
(2) A person guilty of an offence against this Act or of any
regulation made thereunder shall, unless a different punishment is
prescribed therefor, on conviction be liable to a fine ( multa ) of not
less than one hundred liri and not more than ten thousand liri.
(3) The court may also order any person to pay a fine ( multa ) of
not more than fifty liri for each day of non-compliance with an
order of the Director made under this Act.
Court order.
Added by:
XXVI. 2000.15.
107. Where the court finds that a person has committed an
offence under this Act or regulations made thereunder, the court
may, without prejudice to any other order it may make under any
other law -
( a ) order the restitution of any money, property or other
consideration given by the consumer;
( b ) make an order of specific performance against that
person; and
( c ) make any other order the court considers appropriate.
Prescription of 
offences under this 
Act.
Added by:
XXVI. 2000.15.
108. The prosecution of an offence under this Act shall be
prescribed by the lapse of three years from the date on which the
offence is alleged to have been committed.
Exemption from 
liability.
Added by:
XXVI. 2000.15.
109. The Director or any public officers acting under his
direction or control or any member of the Council in the
performance of their functions under this Act, or any regulations
made thereunder, shall not be liable for any loss or damage suffered
by any person by reason of anything done or omitted to be done in
good faith in the course of the administration of this Act or any
regulation made thereunder.
Service of orders 
or notices under 
this Act.
Added by:
XXVI. 2000.15.
110. (1) Where an order or notice is required or authorised to
be served under this Act, it shall be served in any of the following
manners:
( a ) by delivering it, or by sending it by registered mail to
the person on whom it is to be served at his place of
residence, office or place of work; or
( b ) in the case of a body corporate or other body of
persons, by delivering it to an officer or servant
thereof at the registered office or any other place of
business, or sending it in a registered letter addressed
to any such office.
(2) In any case where it is not reasonably possible to effect
service in any manner stated in subarticle (1) of this article, the
                CONSUMER   AFFAIRS     [ CAP. 378.        43
Director may effect service by publishing a summary of such notice
in the Gazette and any two daily newspapers.
Amended by:
XXVI. 2000.14.
PART XI
Miscellaneous
Director to 
administer certain 
laws.
Amended by: 
XIX.1996.10;
XXVI. 2000.14.
Cap. 313.
Cap. 317.
111. The Director shall be responsible for the administration of
the Trade Descriptions Act and the Door-to-Door Salesmen Act.
