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CAFIA solved the case of business practices of the company NaturaMed Pharmaceuticals Ltd.

05/04/2010
 
Czech Agriculture and Food Inspection Authority launched administrative proceedings with the company NaturaMed Pharmaceuticals Ltd. which distributes three sorts of food supplements by means of mail order sale, internet shopping and telemarketing in the Czech and Slovak Republic. CAFIA came to the conclusion that the company had been committing deceptive practices when offering its products by stating important information in an ambiguous and unintelligible way. The freely distributed leaflets, by means of which it was possible to order one sample package of food supplement only for the price of postage and packing, could give people the impression that the order of this bargain package did not oblige them to any further purchases. In reality, they became members of a subscribers’ program in this way and regularly, each month they were sent another package, however already for a full price.
The company also asked some customers to pay a package that, according to their words, they have never ordered or in some cases even never received. Eventually, the company asked customers to send them the unrequested packages back. Food supplements are sent out like ordinary mail and have such a size that they can be put into a normal post box; thus, in most cases people cannot refuse receipt of an unordered consignment. According to CAFIA’s opinion the company committed an administrative delict regarded as aggressive business practice.
There are many people complaining about practices of this company. CAFIA has registered 68 suggestions for inspection up to this day, some of them even from Slovakia; however, others have been constantly arriving. Many people also phone and ask CAFIA for advice because the company threatens them to carry out execution. In case people ordered first bargain package, but do not want more for a full price, they have to announce it to the company. The people can cut off delivery of consignments whenever and without giving any reason; however, it is better to do it in a verifiable way, for example by means of a registered letter. In case they have never ordered any goods and in spite of this the company claims money from them, upon the opinion of the company representatives it is sufficient to send a statutory declaration about this fact. Again, it is better to send it by registered mail. Customers are not obliged to return unrequested and unordered consignments to the sender.

Deceptive and aggressive practices belong to the unfair business practices that are banned by law on consumer protection. According to the measures imposed by CAFIA company NaturaMed Pharmaceuticals Ltd. already prints new leaflets on which the information for customers is intelligible and unambiguous. However, it has not taken sufficient measures so far, to be able to prove that the customer had really ordered the consignment.


Author: Mgr. Martina Šmídtová - CAFIA spokesperson, phone : +420-542426633