With the rise in online consumption, a European directive, introduced into Irish law in May 2001, offers consumers more protection when shopping either by mail order, via telephone or online within the EU, writes Áine Flynn.

Although goods and services have been bought and sold across borders for centuries, online consumption has increased the need for customer protection.

Distance is no longer a major restricting factor with global shopping at our fingertips on an information superhighway that enables us to conduct transactions almost instantaneously.

Distance selling occurs when the sale of a good or service is concluded without the supplier and the consumer coming face to face.

A European directive, implemented into Irish law in May 2001, offers Irish consumers considerably more protection when shopping in this manner - either by mail order, via telephone or online - within the EU.

"We always remind people that buying online or from a distance is the same as buying on the high street. Your rights are not compromised," says Ms Mary Denise Fitzgerald, marketing manager at the European Consumer Centre.

However, if a supplier is based outside Ireland, it should not be automatically assumed that the same entitlements apply as under Irish consumer law.

If you are buying goods from a German supplier, the minimum standards and requirements are determined by German legislation.

According to Ms Elena Calavia, legal adviser at the European Consumer Centre, companies based outside the EU can decide which jurisdiction to operate within.

"There are many ifs and buts surrounding this whole area. There is no straight answer," she says. "It depends on a number of criteria, including where the goods are exchanged."

Ms Calavia insists, however, that the chosen jurisdiction must be laid down in a distance selling contract.

"It is vital to read the terms and conditions on a website or in any contract," adds Ms Fitzgerald. "If any required information is left out, it should set off alarm bells. The best deal is one that the consumer feels happy with."

It is imperative to check the supplier's credentials. Under distance selling legislation, a contract is not enforceable unless the supplier furnishes certain information to the consumer.

Similarly, the contract does not become enforceable until a "cooling-off period" of seven days has elapsed, in which time the consumer can withdraw from the contract without having to issue the supplier with a reason.

There are logical exceptions here which apply to goods and services that would typically be consumed within seven days.

If the required information is not received in a durable form - either written or electronic - then the cooling-off period is extended to three months.

Certain contracts are excluded and exempted from distance selling regulations. These include:

• sales involving automatic vending machines;

• contracts for sale of lands and contracts concluded at an auction;

• financial services contracts, which will be dealt with under a separate and pending directive.

Mr Dermot Jewell, chief executive of the Consumer Association of Ireland (CAI), maintains that reducing the number of distance selling contracts will automatically reduce the level of confusion and problems for consumers.

"You have to think about where you are buying the goods and why. Why not buy down the road? Why are you buying online?" he questions.

If it is to cut costs, has the consumer considered the expense that could be incurred if problems arise? "You need to use common sense and try to think ahead," he adds.

Mr Jewell also highlights the privacy and security issues surrounding the circulation of credit card details, which continue to concern consumers. "If a consumer gives out credit card details, they should not be utilised until the supplier receives confirmation from the consumer that they have received the goods in question," he says.

"Consumers need this form of protection and it could build trust across markets."

A distance contract must be performed within 30 days. If the goods sought are unavailable, the consumer should be told and they can then exercise their right to accept substitute goods or terminate the contract. If the customer is simply unhappy with their choice of goods and decides to return them, they will have to bear the cost of getting them back to the supplier.

If the supplier is unwilling to reimburse the consumer, or refuses to acknowledge or accept any other complaint, the consumer can take the complaint to the European Consumer Centre. Ireland's European Extra Judicial Network (EEJ-Net) is the assisting body.

The EEJ-Net was established to assist consumers in seeking redress for purchases made in other EU states, Iceland and Norway.

It offers a free advice service and acts as a mediator between buyer and seller in an effort to avoid the cost in time and money of a court hearing.

So far this year, the European Consumer Centre has recorded 105 queries and complaints about distance selling, according to Ms Fitzgerald.

While the majority refer to catalogue mailings and telephone purchases, about 18 per cent relate to shopping online.

"Some examples would be people buying flights online, which unfortunately are not covered by distance selling regulations," Ms Fitzgerald says. "We have also received complaints about items not arriving after being purchased online, while some goods have arrived damaged, etc."

The Director of Consumer Affairs, Ms Carmel Foley, is responsible for enforcing the regulations and has extensive powers to do so, including the right to apply to the High Court for injunctions and to conduct investigations of a supplier's premises and records.

Before applying to the High Court, however, her office must publish its intention in at least two national newspapers.

If a supplier fails to follow the regulations, any contract is unenforceable and the supplier runs the risk of criminal prosecution and fines of up to €3,800.

According to a spokesman in the Office Director of Consumer Affairs, there have been "no complaints yet" brought to the office, but that could all change at anytime. His advice, as with most consumer-related issues, is caveat emptor - let the buyer beware.

Customers, he says, need to be sure about the legitimacy of the supplier before they enter an agreement or dispense any personal data or payment details.