On 3 December, the so-called Geographical Block Regulation will enter into force in Latvia and elsewhere in the European Union (EU)

30.11.2018

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On 3 December 2018, Regulation (EU) 2018/302 of the European Union, which prevents unjustified geographical blocking and other forms of discrimination in the internal market because of the nationality, residence or place of establishment of customers, will enter into force. By this date, THE CRPC will also launch the monitoring of the Regulation.
Geographical blocking is a discriminatory practice where traders in one EU Member State deny access to their homepages, mobile apps or other online interfaces to customers of other EU Member States who want to make purchases on the Internet. Similarly, geographical blocking includes customer forwarding without the customer's consent to another version of the website targeted at a specific national market, in support of their behaviour with the customer's nationality, place of residence or place of business. The geographical blocking also applies to practices where the consumer of another Member State is prevented from completing a purchase or being asked to pay a purchase with a payment card of another Member State.
The objective of the Regulation is to prevent unjustified geographical blocking and other forms of discrimination based on direct or indirect discrimination between customers after three signs:

  • nationality;
  • residence;
  • place of establishment.

When faced with unjustified geographical blocking, the Latvian consumer has the right to apply for assistance TO THE CRPC. Furthermore, the Regulation protects not only consumers (natural persons) but also operators who purchase goods and services for final consumption. THE CRPC will also provide advice on geographical blocking issues, as well as on opportunities for Latvian consumers and businesses to open the eographic Block Regulation.
If THE CRPC finds an infringement of consumer rights which will affect the interests of the consumer group (consumers' collective interests) and will be likely to cause damage or harm to consumers, including a separate consumer, THE CRPC, assessed the nature and nature of the infringement and other aspects, will be entitled to do one or more of the following:

  • propose that the manufacturer, seller or service provider undertakes, in writing, to prevent the infringement committed within a specified time limit;
  • adopt a decision ordering the manufacturer, the seller or the service provider to terminate the infringement and to take certain steps to prevent its effects by setting a time limit for the performance of those activities;
  • a written undertaking of the manufacturer, seller or service provider to be placed on the website of the Consumer Rights Protection Centre or the decision taken in part or in full shall be placed on the website of the Consumer Rights Protection Centre and published in the newspaper Latvijas Vēstnesis (the expenditure related to publication shall be covered by the manufacturer, the seller or the service provider).

The prohibition of geographical blocking will allow consumers and businesses, when they are in Latvia, to identify the assortment of goods and prices offered to consumers of other countries, as well as to purchase goods from other homepage versions. If a Latvian consumer or company meets all the general conditions laid down by a trader, traders in other EU Member States will no longer be able to refuse a transaction to Latvian consumers or entrepreneursbased solely on their nationality, place of residence or place of establishment.
Discrimination is also eliminated in respect of the payment options for the purchase of a product or service. If a trader accepts a type of payment specified by another EU Member State or a specific credit card or debit card brand, the trader shall not be entitled to refuse the payment solely because it is made from Latvia or by using a card issued in Latvia.
However, it should be noted that the Regulation does not oblige the trader to carry out the supply throughout THE eu, so consumers and businesses should always be closely familiar with the general conditions of access and supply of the trader when making purchases on the Internet.
The information was prepared by
Evita Urpena
Ministry of Economics
Head of Public attiecību Division
 

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