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AMENDMENTS TO LEGISLATION ON UNFAIR COMMERCIAL PRACTICES ENTER INTO FORCE

           
01.03.2023   2088 Views    

On 26 February 2023, amendments to the legislation on unfair commercial practices entered into force.


These amendments, first of all, introduced a new chapter (Chapter V2) into the Law No. 231/2010 on Internal Trade, which regulates in detail a wide range of actions constituting unfair commercial practices in relations between suppliers of agricultural products and foodstuffs and purchasers (who buy agricultural products and foodstuffs, excluding the final consumer).


The new legislative provisions, adopted in order to counteract the negative effects of unfair commercial practices, prohibit conduct contrary to good commercial behaviour, good faith and fair dealing which is unilaterally imposed by one trading partner on another, even when it results from an agreement between the parties. They lay down payment terms for agricultural and food products, conditions for the listing of such products by buyers, other binding contractual conditions to be observed when contracts are concluded between suppliers and buyers.


In the near future, the Government will also approve the list of products to which the respective provisions of the law will apply.


In case of violations of the new provisions of the Law on Internal Trade by buyers, suppliers will be able to lodge complaints with the Competition Council, which will examine them in the order to set out in the Contravention Code.


Unfair commercial practices will be punishable by a fine of 50 to 100 conventional units (from 2 500 MDL to 5 000 MDL) imposed on an individual, and a fine of 200 to 400 conventional units (from 10 000 MDL to 20 000 MDL) imposed on a legal entity. 


Therewith, disputes on unfair commercial practices can be settled, before being referred to the Competition Council, by amicable means, according to Law No. 137/2015 on Mediation or in arbitration, according to Law No. 23/2008 on Arbitration.


* The updated version of the Law on Internal Trade can be accessed via the following link: https://www.legis.md/cautare/getResults?doc_id=133112&lang=ro#

The Chapter covering unfair commercial practices is Chapter V2 (Articles 2114-2118).

 

 

 

 

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