New e-Commerce Resolution Says Consumers Can Change their Minds

Resolution No. 424/20, issued by the Secretariat of Domestic Trade (SCI) requires e-commerce providers to include a “Changed My Mind” button (botón de arrepentimiento) on their websites. The purpose of the link is to make it easier for consumers to cancel accepted offers, free of charge, within a legally stipulated period of time. Providers have 24 hours to acknowledge user requests and 60 days from the Resolution’s date of publication in the Official Gazette to make any necessary adjustments to their websites. Failure to comply with the Resolution will carry the sanctions stipulated under Argentina’s Consumer Protection Law (CPL) No. 24.240.

The SCI noted that under the current lockdown order, known locally as the Social, Preventive and Mandatory Isolation law, aimed at palliating the effects of the pandemic, it is especially important to ensure access to clear, thorough, and reliable information and to give consumers the chance to terminate online e-commerce contracts.

The SCI noted that Argentina has a duty to ensure that consumers are informed and aware of their rights and obligations in the digital market. This duty is established in the United Nations Guidelines to Consumer Protection (Resolution No. 39/248 adopted by the United Nations General Assembly, Resolution No. 1999/7 by the United Nations Economic and Social Council, and Resolution No. 70/186 by the General Assembly).

The SCI also referenced an older resolution, Resolution No. 270 issued on September 4, 2020, by means of which Resolution No. 37 adopted by the Mercosur Group was incorporated into domestic law governing the protection of consumer rights in e-commerce transactions.

Under that older Resolution, providers are already required to include a “Termination” link on their institutional homepage for consumers to terminate contracted services; and that link has to meet certain visibility and accessibility requirements.    

Under the new Resolution, however:

1. E-commerce providers are required to feature a “Changed My Mind” button for consumers to revoke accepted online offers; and to do so in accordance with Section 34 of the Consumer Protection Law and Section 1110 of the Civil and Commercial Code.

2. When consumers exercise the above option, providers are required to give them a confirmation code.

3. The “Changed My Mind” button has to be large and easily visible. In addition, it has to be readily and directly accessible from the provider’s institutional homepage. Similarly, once consumers use the button, providers are not allowed to impose prior registration or any other steps on the consumer.

Failure to comply with the Resolution is subject to sanction under the CPL. Once the Resolution is published in the Official Gazette, Providers have 60 days to update their websites accordingly.