Consumer Protection Rules 2022 (Myanmar)

1. Consumer Protection Commission, Consumer Protection Committee, and the Office of Consumer Protection

CPR provides that the Consumer Protection Commission (the “Commission”) shall be established by the Ministry of Commerce to manage and fulfill the duties related to consumer protection provided in the CPL.

Further, CPR provides for the formation of the District, State, Regional and Union Territory Consumer Protection Committees (the “Committee”) and Offices of Consumer Protection (the “Office”) under the Department of Consumer Affairs to enforce the CPR, manage consumer protection affairs, settle disputes between consumers and entrepreneurs, and issue decisions. The Committee and the Office are empowered to issue administrative orders such as warning, replacement or compensation equivalent to loss and damage value, fines, prohibiting the sale of the disputed goods or services for a limited period, or suspension or cancellation of the operating license. If there is failure to comply with the administrative order issued by the relevant Office or the Committee within the timeline, the Committee or the Office may then initiate legal action against the entrepreneur before courts.

2. Investigation of Complaints

Consumers can file a complaint with the relevant Office for any damage or losses caused by the use of goods or services by filing the prescribed form along with the relevant materials and evidence as provided under Rule 78 of the CPR. Under Rule 95 of the CPR, the Office may scrutinize the documentary evidence that is submitted along with the complaint. In addition, the Office that received the complaint may request consumers and businesses to submit additional materials or documents. The Office shall transfer the complaint to the Committee if the complaint falls under the jurisdiction of the Committee.

If it is deemed necessary to conduct an inspection regarding the complaint, the Office has the power to assign the duties to the inspection officer to investigate complaints relating to breaches of the CPL. Pursuant to Rule 56 of the CPR, the inspection officer shall advice the relevant Office to take appropriate actions such as recalling, temporarily or permanently suspending the goods or services after monitoring, observation or inspections. The inspection officer shall report the findings of the inspection to the relevant Office in accordance with Rule 54 of the CPR.

3. Settlement of the Complaint

In order to settle the complaint, the Office may carry out mediation between the consumer and the entrepreneur and form a consensus on the date and time to arrive at a settlement. If either party is unable to appear on the prescribed date and time for mediation with sufficient reasons, the Office may determine the date and time for the second time. The complainant or entrepreneur is permitted to appoint a legal representative to represent him or her in the mediation proceedings. If the entrepreneur or legal representative fail to be present for settlement for more than two times, the Office shall conduct ex-parte proceedings. If the negotiation between the consumer and entrepreneur can reach a mutual settlement, they shall both sign the prescribed form of agreement provided in the CPR. After that, the Office shall then issue the administrative orders by using the prescribed form and the entrepreneur will be required to undertake the activities specified by such order within the prescribed timeline.

4. Appeal Process

CPR sets out the procedure for appeal, for anyone who is not satisfied with the administrative order made by the Office and the Committee. Appeal can be filed before the Committee via prescribed forms along with the relevant materials and evidence, if the decision was made by the Office. Similarly, appeal can be filed before the Commission if the parties are not satisfied with the administrative order issued by the Committee. Commission or the Committee shall respond to the appeal filed within 14 working days from receiving the appeal under the Rule 112. In addition, the Commission or the Committee shall notify its decision to the relevant parties within five working days from the date of its decision.

5. Invoices of goods and services

Notably, CPR provides the detail requirements for invoices of goods and services. Under Rule 75 of the CPR, the invoices for goods shall contain: (i) name of purchased goods; (ii) date of purchase; (iii) amount, quality and value of purchased goods; and (iv) name of seller or shop and contact address. Likewise, under Rule 76 of the CPR, the invoices for services shall contain: (i) name and address of the service provider; (ii) type of service provided and value; (iii) guarantee of provided service for consumer; and (iv) term of the service. However, the CPR is silent on offences or penalties associated with these non-compliance with these invoice requirements.

Conclusion

Since the implementation rules have been enacted, entrepreneurs now bear liability for their defective products, including products of poor quality, products with a deficient technical design or products with insufficient instructions. The CPR provides protections for consumers and places burdens on entrepreneurs. Thus, entrepreneurs should take proactive measures to minimize their risks of liability under the CPL by investigating and assuming the quality of their products.