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Fair Trading Practices
CCCS enforces fair trading laws to protect consumers from unfair business conduct, ensuring transparency and ethical standards in transactions.
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Understanding the Consumer Protection (Fair Trading) Act
Unfair Trade Practices
The Consumer Protection (Fair Trading) Act 2003 (or CPFTA) protects consumers against unfair trade practices.
An unfair trade practice can be anything that a business says or does that misleads or deceives a consumer, especially if it involves taking advantage of a vulnerable consumer such as an elderly or disabled.
Although majority of businesses in Singapore are fair traders, there may be a small number of businesses who engage in unfair trade practices to mislead consumers and gain an unfair competitive advantage against competitors.
Unfair trade practices harm competition and consumers. For businesses, unfair trade practices give errant businesses an unfair advantage and make it harder for honest businesses to compete. These practices also prevent consumers from making informed decisions and may cause them to pay more.
The CPFTA applies broadly to businesses, including businesses marketing products to consumers though not necessarily selling them. The CPFTA applies to businesses that reside within or outside of Singapore that sell to consumers residing in Singapore.
There are various considerations for the actions that businesses take in different circumstances. In this regard, the reasonableness of the action by the business will be considered in determining whether the business has engaged in an unfair trade practice.
For more information, refer to Consumer Protection (Fair Trading) Act | CCCS.
CCCS’s enforcement actions and whistleblowing channels
When your business engages in an unfair trade practice, you face more complaints and disputes that take more time and effort to deal with. You also lose the trust of your customers that you may have taken a long time to build up.
Furthermore, there are consequences under the CPFTA for businesses that persistently engage in unfair trade practices. If your business persistently engage in an unfair trade practice, CCCS can take enforcement action against your business. Such action may include obtaining a court order to stop the unfair trade practice. If the court order is not complied with, CCCS can take your business to court for contempt of court, which is a criminal offence that could result in a fine or imprisonment.
If you do not cooperate in an investigation, such as refusing to provide information, provide false or misleading information or obstruct an officer conducting the investigation, you could be guilty of an offence and liable on conviction to a fine or imprisonment.
How to lodge a complaint against an egregious business (for businesses)
Under the CPFTA, a business should not engage in an unfair trade practice. An unfair trade practice is a misleading representation or a false claim made to consumers in a business-to-consumer transaction.
If you have information and evidence that a business has committed an unfair trade practice in relation to a business-to-consumer transaction, you may contact CCCS via the feedback/complaint form.
Other Useful Information
Where can I find more information?
More information can be found below.
Guidelines
Guidelines on Price Transparency
Guide on Fair Trading Practices for the Renovation Industry
Public Register
FAQs
What can CCCS do?
Unfair Trade Practices
CCCS is the administering agency of the Consumer Protection (Fair Trading) Act (CPFTA) and enforces it in egregious cases to protect consumers against unfair trade practices.
It is not appropriate for CCCS to provide specific advice on how the CPFTA may apply in specific circumstances. You may wish to refer to the general guidelines that CCCS has issued, or seek your own legal advice.
It is not CCCS's role, nor does CCCS have any legal power, to compel businesses to provide redress or compensation to affected consumers or resolve disputes.
CCCS works with partner agencies in administering the set of escalating measures under the Singapore consumer protection framework.
Under the framework, the Consumers Association of Singapore (CASE) and Singapore Tourism Board (STB) are the first points of contact for local consumers and tourists respectively to handle business-to-consumer disputes.
Egregious businesses who persist in unfair trade practices despite CASE/STB’s interventions may be referred to CCCS for investigation.
The CPFTA empowers CCCS to gather evidence and take enforcement actions. In egregious cases, CCCS can file for court orders to stop businesses from engaging in unfair trade practices. Non-compliance with court order may result in contempt of court, which can attract a fine or imprisonment.
What can I do?
Seeking compensation
The Consumer Protection (Fair Trading) Act (CPFTA) empowers consumers to seek civil redress against businesses that engage in unfair trade practices in Singapore.
Under the CPFTA, the Consumers Association of Singapore (CASE) and Singapore Tourism Board (STB) are the first points of contact for local consumers and tourists respectively to handle complaints. CASE will assist aggrieved consumers to obtain redress, and in some cases, compensation through negotiation or mediation. For assistance, please approach CASE at 6277 5100 or visit www.case.org.sg. Errant retailers may enter into a Voluntary Compliance Agreement (VCA) with CASE or STB, through which they agree in writing to stop the unfair trade practice, and in some cases, compensate affected local consumers or tourists.
Reporting Unfair Trade Practices
Be aware
Know about unfair trade practices here.
Report
If you know of any business that is engaging in an unfair trade practice, you may contact CASE at 6277 5100 or visit www.case.org.sg. You may also share your feedback with CCCS on egregious cases by filing a complaint.
Assist with CCCS investigations
CASE and STB may refer egregious cases to CCCS for investigation. As part of such investigations, CCCS may approach you for assistance with our investigation. You are advised to cooperate fully, as your assistance is crucial for CCCS to take effective action against businesses that persistently engage in unfair trade practices.