About the Regulation on Amendments to the Regulation on Distance Contracts

The Regulation on Amendments to the Regulation on Distance Contracts (“Amendment Regulation”), published in the Official Gazette No. 31932 dated 23 August 2022, introduced various amendments regarding the responsibilities of suppliers/sellers, intermediary service providers, and consumers/customers under the Regulation on Distance Contracts (“Regulation”). Accordingly, as of 01.10.2022, the following regulations will enter into force regarding sellers or suppliers, intermediary service providers, and consumers within the scope of distance contract processes:

1. Pre-Contractual Information Obligation

• In addition to the information of the seller or supplier, the pre-contractual information form must also include the information of the intermediary service provider (name or trade name, MERSIS number or tax identification number).

• The intermediary service provider shall now be jointly and severally liable with the seller or supplier not only for the completion and confirmation of the pre-contractual information process but also for any deficiencies in the information provided. In cases where data entry is performed by the intermediary service provider, the intermediary service provider shall also be responsible for the accuracy of such data and completion of the process.

2. Right of Withdrawal and Returns

• Under the current Regulation, if the customer returned the product through the carrier specified by the seller or supplier, the return shipping costs were required to be covered by the seller or supplier. With the new regulation, it is stipulated that the pre-contractual information form must include information regarding the amount of the return shipping cost and the party responsible for covering such cost. Provided that such amount does not exceed the delivery cost, the return shipping cost may be charged to the customer.

• If the pre-contractual information form does not include information regarding the amount of the return shipping cost and the party responsible for payment, the return cost shall be covered by the seller or supplier. In distance contracts established through platforms, if such missing information arises from the intermediary service provider, the relevant return costs shall be covered by the intermediary service provider.

• In the event that the sold goods/products are defective, the return costs shall in all cases be covered by the seller or supplier.

• Following the Amendment Regulation, the period for the customer to return the goods to the seller or supplier after exercising the right of withdrawal has been extended from 10 days to 14 days.

• Although under the current Regulation the notification regarding the exercise of the right of withdrawal was required to be submitted directly to the seller or supplier, the new regulation allows such notification to also be submitted to the intermediary service provider. The intermediary service provider is required to establish a system for these processes. Accordingly, the supplier or seller and intermediary service provider receiving a return request shall immediately notify the other relevant supplier, seller, or intermediary service provider.

• Following the amendment, a distinction has been introduced for determining the commencement date of the 14-day period during which sellers and suppliers must refund all payments related to products subject to the right of withdrawal in a single payment and without imposing any additional costs. Accordingly, where the customer:

  • Delivers the product to the carrier specified for returns, the period begins on the date of delivery to the carrier;

  • Delivers the product to a carrier other than the one specified for returns, the period begins on the date the product is delivered to the seller;

  • Exercises the right of withdrawal before delivery of the goods/product to the customer, the period begins on the date the withdrawal notification is submitted.

• The intermediary service provider shall be jointly and severally liable with the seller or supplier for the above-mentioned 14-day refund processes where it intermediates the collection of payments.

3. Other Matters

• The intermediary service provider shall be responsible for damages arising from failure to fulfill commitments resulting from campaigns or discounted sales conducted without the approval of the seller or supplier.

• Following the amendment, the exceptions to the right of withdrawal have been expanded. The following contracts have been included among the exceptions where the right of withdrawal cannot be exercised:

  • Contracts regarding movable goods and unmanned aerial vehicles that must be registered pursuant to the Highway Traffic Law;

  • Contracts regarding mobile phones, smart watches, tablets, and computers delivered to customers;

  • Contracts concluded through live auction methods;

  • Contracts regarding goods that have been installed or assembled where the installation or assembly is specified to be carried out by the seller or authorized service provider in the user manual.

• Following the amendment, where payments in distance sales are made by card, the refunded amount must be added to the available limit of the cardholder in a single transaction after the return process, regardless of whether the customer purchased the product through installment payments. Card-issuing institutions shall be responsible for fulfilling this obligation.
  (The relevant provision will enter into force on 01.01.2023.)

4. Conclusion

With the Amendment Regulation, legal regulations have been introduced with the aim of minimizing problems arising within the relationship between consumers/customers, suppliers/sellers, and intermediary service providers in the e-commerce marketplace sector, which has a significant value in the national economy. These amendments aim to establish distance sales processes on a fair, transparent, and legally compliant basis.

Submitted for your information and consideration.