Ministry Cracks Down on False Discounts During Black Friday with Hefty Fines

The Ministry of Social Rights, Consumption, and Agenda 2030 has announced penalties amounting to nearly 350,000 euros against seven online companies for misleading consumers with false discount practices during Black Friday. According to a statement from the ministry, led by Pablo Bustinduy, these companies engaged in serious violations by inflating prices just days before the discount period and subsequently lowering them to their original levels on the day of Black Friday, only to advertise them as discounted. Such actions violate Article 20 of the Retail Trade Regulation Law, which requires retailers to display the lowest price a product has been sold for in the 30 days before the discount is applied. The Ministry has highlighted that these false discounts constitute a clear act of deception against consumers. Out of the seven sanctioned companies, three have admitted to their involvement in these deceptive practices and have opted not to appeal the fines, agreeing to pay reduced penalties for prompt payment. Conversely, the remaining companies have chosen to contest the allegations, which has resulted in higher fines for them. As part of its enforcement efforts, the General Directorate of Consumption has also concluded an eighth case involving a company that has committed to altering its practices to comply with regulations. In preparation for these sanctions, the Ministry monitored a vast array of prices during the Black Friday events of 2023, utilizing a price reduction tracking tool developed by the European Commission. This proactive approach aims to deter future instances of false discounts in online retail. Furthermore, the Ministry has announced an ongoing investigation into potential false discounting activities for Black Friday 2024, which may result in additional penalties. Consumers are urged to stay informed and vigilant while shopping online to avoid being misled. For the latest updates, you can follow El Huffpost via their mobile application, available for download on both Android and iOS platforms. Related Sources: • Source 1 • Source 2