A law that aims to overcome trade barriers between EU states has been backed by an influential European Parliament committee despite charges that it would ‘increase complexity and create uncertainty’.

On 17 September the parliament’s legal affairs committee voted in favour of an amended version of the common European sales law (CESL) to cover distance selling, in particular internet shopping.

The proposed law, subject to negotiations with EU ministers and a vote in the European Parliament, is intended to build consumers’ confidence in online shopping by clarifying their rights when buying products from other EU countries.

Under the common European sales law a customer ordering a product online from a different country would have access to a range of remedies such as termination of the contract, a price reduction, or the replacement or repair of a faulty product.

However, the law would apply only if both parties to the contract, the seller and the buyer, voluntarily agreed to it. If they did not opt for it, existing national rules would apply.

A European Parliament spokesman said: ‘Consumers will enjoy a very high level of consumer protection, which will be a good incentive for choosing CESL.’

However the Law Society expressed scepticism. A spokeswoman said: “Although the Law Society stands for improving the functioning of the internal market, we think that the CESL would increase complexity and create uncertainty because it would not comprise a single set of rules and would add another layer to what exists in cross-border commerce.

 ‘We would like to assess the impact on trade of the EU Consumer Rights Directive, which is coming into force this year, before further steps are taken. Shifting the focus to improving access to practical redress would also be more likely to increase trade.’

The Consumer Rights Directive, agreed by the European Commission in 2011, focuses on simplifying and harmonising rules in key areas of consumer rights, including ensuring that consumers have the information and time needed to make good decisions, are aware of the costs they are committing to and the implications of any contract. 

The Law Society spokeswoman added: ‘Nevertheless, we are pleased that the legal affairs committee wants the CESL to focus on distance selling. If, despite our reservations, the instrument goes ahead, it would have a greater chance of success if tailored to a specific area – business-to-consumer online trade.’

The draft legislative resolution on the CESL was adopted as amended by the legal affairs committee by 19 votes to three, with two abstentions. The committee negotiators have received a mandate to start negotiations with EU ministers.