Singapore: Announced CCCS lawsuit against Fashion Interactive for allegedly applying unfair trading practices by using "Subscription Traps"

Description

Announced CCCS lawsuit against Fashion Interactive for allegedly applying unfair trading practices by using "Subscription Traps"

On 28 November 2019, the Competition and Consumer Commission Singapore (CCCS) applied to the State Courts on 28 November 2019 to obtain an injunction against Fashion Interactive and its director, Mr. Magaud, to stop them from engaging in an unfair practice known as a "subscription trap" on its e-commerce platform. A "subscription trap" is a practice by sellers to mislead consumers into signing up for a subscription by giving them the impression that they are only entering into a one-time purchase relationship. If consumers fail to cancel subscriptions, they will have recurring charges. The Court has to determine whether Fashion Interactive committed unfair practices.

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Scope

Policy Area
Consumer protection
Policy Instrument
Fair marketing and advertising practice requirement
Regulated Economic Activity
platform intermediary: e-commerce
Implementation Level
national
Government Branch
judiciary
Government Body
court

Complete timeline of this policy change

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2019-11-28
under deliberation

On 28 November 2019, the Competition and Consumer Commission Singapore (CCCS) applied to the State …

2020-01-06
in force

On 6 January 2020, the State Courts order concerning a CCCS investigation into Fashion Interactive …