Consumer Legislation: Suspension of Procedural Terms and Hearings

Resolution No. 98/2020 and its subsequent amendments issued by the Secretariat of Domestic Trade (the “Secretariat”), within the Health Emergency framework (declared by Law No. 27,541 and ruled by Executive Decrees 260/2020 and its subsequent amendments) established at a national level:

1. The suspension of all procedural terms in all proceedings pending resolution before Consumer Protection authorities, under Law No. 24.240 (Consumer Protection Law) and Law 26,993 (System for the Resolution of Disputes in Consumer Relations Law), among others, as of March 16, 2020 up to and including August 16, 2020.

This suspension is maintained exclusively for the files pending resolution under Law No. 26993 and Section 45 of Law No. 24.240, for as long as the suspension of administrative terms established by Decree No. 298 and its amendments are in force

2. To address and resolve urgent matters only, requested and defined as such by the Secretariat. The General Reception Desk of the Ministry of Productive Development’s Office will remain operative for these matters.

3. The suspension of hearings before the Consumer Relations authority (the “COPREC”, after its acronym in Spanish), irrespective of the validity of the events held, whether in person, remotely or by electronic means, from March 16, 2020 and for as long as the suspension of administrative terms established by Decree No. 298 and its amendments are in force.

This suspension will have no effect on proceedings initiated under the Consumer Remote Conciliatory System (the “SICOME”, after its acronym in Spanish), established by Resolution 137/2020 issued by the Secretariat. This legislation provided that, during the validity of the social, preventive and mandatory isolation, hearings will be held by electronic means and every provider served with a proceeding by the authority must establish an electronic domicile.

4. To provide a minimum emergency service for the same period referred above, at the COPREC Reception Desk, to address urgent matters.

5. The suspension of all procedural terms, deadlines and hearings set within the framework of the National System of Consumer Arbitration, created by Decree No. 276/1998, for the same purposes and the same period, for as long as the suspension of administrative terms established by Decree No. 298 and its amendments are in force.

By means of Provision No. 2594/2020 and its subsequent amendments, the General Consumer Protection Authority of the City of Buenos Aires (the “DGDYPC”, after its acronym in Spanish), provided for:

1. The suspension of all procedural terms and deadlines, as of March 17, 2020 until May 24, 2020, including both dates, and extending them for a 60-day term. The suspension does not apply for providers which have adhered to the electronic service system.

2. The monitoring of the proper functioning of the online system for receiving claims regarding infringements to the Consumer Protection Law.

3. The suspension of all hearings set under laws No. 757 and No. 941, as of March 19, 2020 until May 24, 2020, which will be rescheduled accordingly to the development of the current Health Emergency.

By means of Provision No. 4366/2020, the DGDYPC provided that, during the validity of the social, preventive and mandatory isolation, hearings will be held electronically. Also, it provided for the implementation of the Electronic Notification System in Consumer Protection (the “SNEDC” after its acronym in Spanish). All providers who are reported for violations under Law No. 24.240 and served with a proceeding by the authority must establish an electronic domicile.

4. The validity of these measures will be automatically extended, according to the measures that the Argentine Executive may issue in relation to a possible extension of the social, preventive and mandatory isolation

Executive Decrees 814/2020 and 815/2020 extended the validity of the social, preventive and mandatory isolation and the suspension of administrative terms up to and including November 8, 2020. Therefore, it is important to pay close attention to the new rules that different local entities may issue to determine if current measures will be extended as well, and if so, how and when procedural terms will start running again, and hearings will be re-scheduled.