# Regulatory Compliance Category > Consumer Protection Act Forum >  How will the Consumer Protection Act affect you.

## lawbinded

This act will be in effect from the 1st of April this year. This will include major changes required by business and second hand sales. Your thoughts?

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## lawbinded

> This act will be in effect from the 1st of April this year. This will include major changes required by business and second hand sales. Your thoughts?


Some changes will include: 

- Widespread responsibility.
- Guarantees
- Service quality
- Advertising
- Risk management
- etc.

For more information, visit http://www.iol.co.za/news/south-africa/how-the-new-consumer-law-protects-you-1.1020996.

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## tec0

What I would be interested in is how Consumers can react, Example: I got mobile phone it is 6 months old and it keeps on crashing with software it has a history at the shop where I have returned it to be repaired more than twice. Now innocently enough the phone dies as usual and I am stuck on a deserted road with a blown water pump. I cannot phone for help. 

Next moment I get attacked stabbed and killed because I was unable to get assistance due to a faulty phone. Now I imagine that this new consumer protection act will not apply in this scenario. But are they still to blame.

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## sterne.law@gmail.com

Well you will be dead, so not like you can take action!!!!!!!!!!

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## lawbinded

> Well you will be dead, so not like you can take action!!!!!!!!!!


Thats so very true  :Smile:

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## Dave A

Make sure you're insured - public liability and product liability  :Frown:

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## Justloadit

> Well you will be dead, so not like you can take action!!!!!!!!!!


Could the estate not lead the case on the behalf of the deceased?

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## sterne.law@gmail.com

Yes the estate can represent you. Obviously damages would be extenuated if one is a bread winner, claims for maintenance etc.
One would not need the consumer protection act for that anyway.
The CPA is not any new law. It is merely reduced or transferred onus/burden of proof and is attempting to create a platform or forum that is accessible(read financially)

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## lawbinded

Well, what will happen to the Consumer Protection act remains to be seen. I know some people aren't even aware of these changes.

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## sterne.law@gmail.com

I read a comment once -
"the consumer act will do for consumerism what the CCMA did for Labour"
Pretty apt, but will take some time to gain momentum. Difference is when you are unemployed you are fighting for your life, so to speak.
A product, you may just want your money back etc,etc but you have to weigh up the costs and time. People will represent themselves, companies will use attorneys. Pretty much like CCMA. (Many employers organizations are already offering CPA advice/representation as an add on service)
The consumer is unlikely to instruct attorneys. Attorneys will want fees(no use looking at percent-unlikely to be viable on most cases.) So with the playing fields not level, a couple of misses and consumer loses faith in the system, understandably so.

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## Phil Cooper

CONSUMER PROTECTION ACT INSURANCE

Recently I went to a presentation on a new liability policy which will indemnify Insured businesses for actions under the Consumer Protection Act. 

To say that this presentation knocked me out would be an understatement. It provides benefits far beyond anything that I expected. 

The new policy provides a Broad Form type of coverage. What does this mean? In a nutshell, it provides the following covers, which are well beyond those of a conventional multi-peril policy:

-	Non-accidental Operative Clause
-	Wide Pollution Definition includes Light and Noise Pollution
-	Damage to Third Party Property includes Loss of Use
-	Injury includes Mental Anguish
-	Care Custody and Control
-	Product Inefficacy
-	Pure Economic Loss
-	Employers Liability includes Employee to Employee Claims
-	Worldwide Jurisdiction (ex USA/ Canada)
-	Negligent Advice and Pure Errors and Omissions Cover
-	Warehousemens and Carriers Liability
-	Incidental Medical Malpractice
-	Contractors Liability
-	Advertising Injury
-	Copyright Infringement
-	
In addition to this, the CPA liability package also contains the modern day answer to the elusive magical charm; real risk management tools that actually make a difference to the wellbeing of the business environment. These tools include access to:

- senior advocates who specialise in new consumer protection obligations, contracts and disclaimers.
- product safety and quality control risk specialists with expertise in all industry sectors.
- a network of legal practitioners to take much of the uncertainty and anxiety out of the legal process.

VALUE ADDED SERVICES

Clients insured under this product have access to a number of value added services: inter alia 

-	A call centre manned by commercial law specialists who provide telephonic advice on any business related legal matter

-	A team of over 2,500 attorneys countrywide provides consultations and representation

-	Legal risk assessments and assistance with consumer protection legislation
-	Assistance with international jurisdictional issues
-	A monthly newsletter on topical legal matters affecting all businesses
-	Product quality control and premises safety advisory services
-	Emergency medical and evacuation service
-	Private arbitration services

In addition, Advocate Louis Nel will provide clients with a one-hour consultation per month to deal with consumer protection compliance and assessment of contracts and standard trading conditions.

There are various other pluses to this product.

The scheme is underwritten by Camargue Underwriting Managers, who are specialist underwriting group that have specialised in liability insurance for many years, and bring a wealth of experience to the table.

The beauty of this, as well, is the cost. If you have existing Liability cover, implementing this cover should increase your premiums by a maximum of R55.00 per month: in some cases NO additional cost was involved.

For this, you will be getting R31-million liability covers on the Broad Form wording, and all the extensions referred to above. 

This is probably well above your current cover limits.

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Dave A (15-Apr-11), IanF (15-Apr-11), lawbinded (15-Apr-11)

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## Dave A

Phil, I think we need to talk. Please drop me a PM with you contact details and I'll give you a buzz on Monday.

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## IanF

Phil
While my thoughts are the CPA is there to legislate ethics into some of our big companies, cover for this is a must so please PM me as well.

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