Fair Trading Commission (FTC) |28 June 2019

Mr Lebon

New Bill to provide faster and more effective remedies to consumers and business organisations

Consumers and business organisations can expect more timely remedies from the Fair Trading Commission (FTC) with the Consolidated Fair Trading Bill to be tabled before the National Assembly in the near future.

In a cabinet meeting held on Wednesday this week, cabinet approved the draft Bill which seeks to address the gaps and shortcomings in the existing law and to harmonise the law with international best practices and the latest developments in consumer protection and competition laws.

Chief executive of the FTC, Francis Lebon, yesterday provided details on the draft Bill stating that it will allow FTC to better deliver on its mandate.

“Following a review of the existing laws governing FTC which includes the Fair Trading Act, Consumer Protection Act and the Fair Competition Act, provisions in the draft bill seek to address the gaps in the law, to reinforce the successes and strengths of FTC and build on them as well as harmonising it as much as possible with international best practices and the jurisdictions that are ahead of Seychelles in terms of good practices,” Mr Lebon stated.

One of the recommendations provided for in the Bill is for a tribunal to be established to handle matters as opposed to the current system comprising a board and appeal tribunal. The establishment of a tribunal will serve to speed up the process allowing consumers and businesses to get redress or remedies under the law quicker.

Asides from presenting the public with faster remedies, the bill aligns the functions and powers of FTC with international best practices and stakeholder departments and agencies like the Seychelles Licensing Authority (SLA), the department of planning and Public Health Authority (PHA) to ensure that functions do not overlap, and to facilitate enforcement.

With regard to competition laws, Mr Lebon noted that the numerous gaps identified in the law are addressed in the bill.

“Competition and consumer laws are dynamic and it changes regionally and internationally, we need to keep up with what is happening. And what is happening, the law was made 10 years ago and does not reflect the realities of today so we need to ensure that any provisions, we need to have foresight and ensure that in 5 years, the law can still stand and we don’t need any amendments,” Mr Lebon stated.

The new bill contains simplified definitions of the different types of mergers and includes provisions for the detection of cartels.

“The law in place is not for FTC only but it applies to business organisations and consumers so it is important that when we advocate the law to them, it is easy for them to absorb and to understand. And on the practical side, it is not difficult to implement, so it will be balanced on both sides and now we will see the results quicker on the market side and we can fulfil our mandate more effectively,” Mr Lebon stated.

Mr Lebon concluded his explanations by stating that the amendments reflect the commitment and importance that the government attaches to consumer protection.