Consumer Protection Act, 2008 (Act No. 68 of 2008)Chapter 2 : Fundamental Consumer RightsPart E : Right to fair and responsible marketing34. Trade coupons and similar promotions |
| 1) | This section does not apply to— |
| a) | a franchise agreement; |
| b) | a loyalty programme, loyalty credit or award regulated in terms of section 35; |
or
| c) | a promotional competition, as defined and regulated in terms of section 36. |
| 2) | In this section, ‘‘promotional offer’’ means an offer or promise, expressed in any manner, of any prize, reward, gift, free good or service, price reduction or concession, enhancement of quantity or quality of goods or services, irrespective of whether or not acceptance of the offer is conditional on the offeree entering into any other transaction. |
| 3) | A person must not make a promotional offer with the intention of— |
| a) | not fulfilling it; or |
| b) | fulfilling it other than as offered. |
| 4) | Any document setting out a promotional offer must clearly state— |
| a) | the nature of the prize, reward, gift, free good or service, price reduction or concession, enhancement of quantity or quality of goods or services, or other discounted or free thing being offered; |
| b) | the goods or services to which the offer relates; |
| c) | the steps required by a consumer to accept the offer or to receive the benefit of the offer; and |
| d) | the particulars of any person from whom, any place where, and any date and time on or at which, the consumer may receive the prize, reward, gift, free good or service, price reduction or concession, enhancement of quantity or quality of goods or services or other discounted or free thing. |
| 5) | Subject to subsection (6), a person who makes or sponsors a promotional offer must— |
| a) | ensure that the supply of the particular prize, reward, gift, free or reduced price good, or the capacity to provide enhanced quality or services, is sufficient to accommodate all reasonably anticipated demands resulting from the offer; |
| b) | not limit or restrict capacity to supply any such goods or services in response to the acceptance of the offer, on any basis other than that it applies to such a supply in exchange for any other form of consideration; |
| c) | not require the consumer to accept an inferior quality of any such goods or services than those generally available to any other consumer on the same date who tenders a different form of consideration; and |
| d) | not impose any monetary charge for the administration, processing or handling of a transaction in respect of which the consumer tenders a trade coupon. |
| 6) | It is a defence to an alleged failure to comply with subsection (5)(a) if the supplier offered to supply or procure another person to supply a consumer with comparable goods or services of the relevant kind to satisfy the consumer’s acceptance of the promotional offer, and the consumer— |
| a) | accepted the supplier’s offer, and the supplier has supplied or procured another person to supply the goods or services so offered and accepted; or |
| b) | unreasonably refused the supplier’s offer. |