It is widely known that consumers have the right to withdraw from a contract within 14 days where they conclude it with a business "at a distance", that is most often over the internet (but also by phone, by email, in short without the buyer and seller being physically present together).
If the contract is concluded at a sales demonstration event (a promotional "sales trip") or through door-to-door selling, the period is now even 30 days (under the amendment to the Civil Code in force since 6 January 2023).
Despite how well known this right is, withdrawing from a contract still comes with plenty of question marks.
How can a consumer withdraw from a contract, and what do they have to do?
They can do so by any unambiguous declaration to the business. An email along these lines should be enough: "I am withdrawing from the purchase contract, order no. …, dated …"
Online shops often have withdrawal forms on their websites. If the consumer uses such a form, the business has to confirm receipt of the notice without undue delay (usually within hours or days).
By when does the consumer have to notify the business of their withdrawal?
Within 14 days. But when does this period start and end? If the consumer entered into a purchase contract (bought goods online), the 14-day period runs from the day the goods are received. If the goods were delivered in parts, it runs from the day the last delivery is received. If the contract was for regular deliveries of goods (monthly coffee deliveries, for example), it runs from the day the first delivery is received.
The period starts to run on the day after the goods are delivered and ends on the last (fourteenth) day. If, however, the last day falls on a non-working day (a public holiday or a weekend), the period does not end until the next working day. To meet the deadline, it is enough to send the declaration of withdrawal on the last day of the period.
If the business failed to inform the consumer of their right to withdraw, the period is extended by 1 year from the day on which the 14-day period would otherwise have ended.
By when does the consumer have to return the goods?
The consumer has to return the goods without undue delay, and no later than 14 days from the day of withdrawal. Again, the deadline is met as long as the consumer at least sends the goods off on its last day.
By when does the business have to return the money the consumer paid?
The business has to return the money without undue delay, and no later than 14 days from the day of withdrawal. It can, however, hold off on returning the money until the consumer returns the goods, or proves that they have sent them back (whichever happens first).
Does the business also have to refund the delivery costs?
The business has to return all the money it received under the contract, including delivery costs. There is one catch, though. If the business offered several delivery methods and the consumer chose one other than the cheapest, the business only has to refund the costs corresponding to the cheapest delivery method.
Example: a business offers delivery via PPL (100 CZK), DPD (80 CZK), and Czech Post's "parcel to hand" service (70 CZK). The goods can also be collected at a shop in Brno. The consumer chose delivery via PPL. They then withdrew from the contract and returned the goods. So the business has to refund the delivery costs as well as the price of the goods, but up to what amount? It will have to refund the costs corresponding to the cheapest delivery method on offer, that is 70 CZK (Czech Post). The consumer bears the difference in delivery cost.
Can the business claim that the consumer could have collected the goods for free at the shop in Brno, and so refuse to refund any delivery costs at all?
No, it can't. A "delivery method" means transporting the goods to the consumer. Collection at a shop is not a delivery method. So it is always the costs of the various methods of delivering the goods to the consumer, as offered by the business, that are taken into account.
Who pays the cost of sending the goods back to the business?
The consumer bears the cost, unless they were not told about this obligation. If the business did not tell the consumer in advance, before the contract was concluded, that they would bear the costs of returning the goods if they withdrew, the consumer does not pay the return costs.
Exceptions
For some types of goods the consumer's 14-day right of withdrawal is excluded. These include, for example:
- goods in sealed packaging which, for reasons of health protection or hygiene, are not suitable for return once the packaging has been opened (cosmetics, vitamins, manicure products);
- perishable goods, or goods with a short use-by period (flowers, food);
- goods made to the consumer's requirements or tailored to their personal needs (a made-to-measure dress or suit);
- newspapers, periodicals, or magazines (except for subscription contracts);
- and others.
If you have any doubts about the rights and obligations of businesses and consumers, we recommend getting in touch with a qualified lawyer.
HW Legal