1000 Business Lessons Every Businessman Must Know

Chapter 119 Common Sense of Transaction Order Law that Bosses Must Know (1)
[-]. Consumer Protection Law
977. Basic rights of consumers
Consumer rights refer to the concretization of various rights that consumers enjoy in the constitutional field according to the provisions of the consumer rights protection law. The Law on the Protection of Consumer Rights and Interests has made unified provisions on the rights of hundreds of millions of consumers across the country. The rights of consumers stipulated in Chapter 2 of the "Consumer Protection Law" include nine items from Article 15 to Article No.[-]:

(1) On purchase.The right to enjoy personal and property safety when using goods and receiving services;

(2) The right to know the real situation of the goods purchased and used or the services received;

(3) Enjoy the right to independently choose goods or services;

(4) Enjoy the right to fair trade;

(5) If you suffer personal or property damage due to purchase, use of goods or acceptance of services, you have the right to obtain compensation according to law;

(6) Enjoy the right to establish social groups to protect their legitimate rights and interests in accordance with the law;
(7) The right to acquire knowledge about consumption and protection of consumer rights;
(8) When purchasing and using goods and receiving services, enjoy the right to be respected for their personal dignity and ethnic customs;

(9) Have the right to supervise the work of goods and services and the protection of consumer rights and interests.

These nine rights are essential for consumers to carry out consumption activities, of which the first five rights are the foundation and have the closest relationship with consumers, and the last four rights are derived from them.

978. Ways to resolve disputes over consumer rights
Article 34 of the Law on the Protection of Consumer Rights and Interests establishes the channels for resolving disputes over the rights and interests of consumers and business operators, including:

1. Negotiate and mediate with the operator

Negotiation and mediation refers to the activities in which consumers and business operators negotiate on issues related to the dispute and reach a settlement agreement after a dispute arises, so that the dispute can be resolved.Disputes over rights and interests between consumers and business operators are civil rights disputes in nature.Therefore, within the scope permitted by law, the parties can freely exercise and dispose of their rights.However, two elements must be met: ① A settlement agreement must be voluntary by both parties. ②The content of the settlement agreement must be legal.

2. Request mediation from the Consumer Association

Mediation is an activity in which a third party persuades and persuades both parties to a dispute, and communicates and mediates to facilitate the parties to reach an agreement to resolve the dispute. The Law on the Protection of Consumer Rights and Interests stipulates that consumer disputes can be resolved through mediation by consumer associations.In fact, any third party involved in a consumer dispute that participates in the settlement of the consumer dispute and facilitates the parties in dispute to reach an agreement falls within the scope of mediation.

3. Appeal to the relevant administrative department

Appeal is the act of citizens appealing to the relevant state organs for their own or other rights and interests, and requesting to deal with them.When consumers lodge a complaint, they should choose the appropriate agency to accept the lawsuit according to the nature and specific circumstances of the case.Disputes arising from the quality of food, medicines, and cosmetics can be requested to the administrative department of health; disputes arising from commodity prices or service charges can be appealed to the price department; disputes arising from false advertisements can be filed with the administrative department of industry and commerce appeal.

4. Application for Arbitration
According to the arbitration agreement reached with the operator, it is submitted to an arbitration institution for arbitration, which is generally applicable to the sale of bulk commodities.

5. File a lawsuit in the People's Court
The settlement of any civil dispute should follow the principle of judicial final settlement. For consumers, the most common judicial remedy is civil litigation.

[-]. Product Quality Law

979 What is the Product Quality Law

The Product Quality Law is a legal norm that regulates the relationship between product producers, sellers, and relevant government administrative departments in terms of product quality rights, obligations, and responsibilities.

广义的产品质量法是指任何调整产品质量关系的各种法律规范的总称。狭义的产品质量法又称形式意义上的产品质量法，是指以产品质量法命名的专门调查产品质量关系的单行法律。《中华人民共和国产品质量法》（以下简称《产品质量法》）于1993年2月22日第七届全国人大常委会No.30次会议通过，1993年9月1日开始实施，并于2000年7月8日进行了修改。

980. Contents and adjustment objects of the Product Quality Law

The Product Quality Law is a legal norm for adjusting product quality responsibility for product quality supervision and management, so its content includes:
1. Product quality supervision and management system
Product quality supervision and management refers to the management activities of product quality carried out by the national technical supervision administrative department and local technical supervision administrative departments in accordance with the statutory administrative powers and with the purpose of realizing state functions.The macro-management and specific supervision measures taken by the state to ensure product quality mainly include:
(1) Product quality inspection system.The quality of the product should pass the inspection. The inspection agency must have the inspection conditions and capabilities and pass the assessment of the relevant department before undertaking the inspection work; uninspected products are regarded as unqualified products.

(2) Special management system for some special or important products.Formulate special quality standards or management measures for products that may endanger human health and personal and property safety, important industrial and agricultural raw materials, and important industrial products that affect the national economy and people's livelihood.

(3) Enterprise quality system certification system.Enterprise quality system certification refers to the activities of verifying that the enterprise quality assurance can meet the corresponding requirements after the inspection and confirmation of the enterprise quality system by the certification body and the issuance of the certification certificate according to the national quality management and quality assurance system standards.The state recommends enterprise quality certification based on international general standards, and enterprises apply for enterprise quality system certification on a voluntary basis.Enterprises that have passed the quality system certification can be exempted from quality system review when applying for production licenses, product quality certification and other quality certification.

(4) Product quality certification system.Product quality certification is based on the corresponding technical requirements of product standards, confirmed by the certification body and issued certification marks to prove that a product meets the corresponding standards. Article 9 of the "Product Quality Law" stipulates that the state refers to the requirements of international advanced product standards, and enterprises voluntarily apply for product quality certification; if they pass the certification, the certification agency will issue a certificate, allowing enterprises to use product quality certification marks on products or packaging.

(5) Product quality supervision and inspection system.The main method is to conduct spot checks on products that may endanger human health, personal and property safety, important industrial products that affect the national economy and people's livelihood, and products that consumers and relevant organizations report have quality problems.

2. Product quality responsibility system
Product quality responsibility refers to the obligations that the producers, sellers and other relevant parties of the products should undertake for the product quality and the legal responsibilities they should bear in case of violation of such obligations.

981. Basis for judging product quality liability

The basis for judging product quality responsibility stipulated in my country's "Product Quality Law" includes three items:

1. BREACH OF IMPLIED WARRANTIES
Violation of implied warranty refers to the violation of product quality requirements stipulated by national laws and regulations by producers and sellers.Since the product quality requirements stipulated by national laws and regulations do not need to be explicitly stated by producers and sellers to users and consumers, it is an implied guarantee.If the products provided by the producers and sellers fail to meet the general standards or the minimum standards, it is a violation of the implied warranty and should bear the responsibility for product quality.

2. Breach of Express Warranty
Violation of express warranty means that producers and sellers violate the expressly adopted product quality standards and the quality conditions expressed in contracts, product descriptions, physical samples, etc.Express guarantees can be made to unspecified users and consumers, and can also be made to specific users and consumers.If the product provided by the producer or seller fails to meet the quality status indicated by the product description, label, advance notice, sample, quality standard item in the contract, etc., it is a violation of the express warranty and shall bear the responsibility for product quality.

3. Defects in product quality
Product quality defect means that the products provided by producers and sellers have unreasonable dangers that endanger the personal and property safety of others or do not meet relevant standards, and cause personal injury or property loss to users or consumers.

In the case of breach of the implied guarantee and the breach of the express guarantee, the producer and seller must bear the responsibility for product quality regardless of whether it causes personal or property damage to users and consumers.In the case of defects in product quality, producers and sellers shall bear product quality responsibilities only if they cause personal or property damage to users at the same time.

982. Forms of legal liability for violation of the Product Quality Law

1. Order to stop production and sales

Ordering to stop production and sales is an administrative penalty, mainly applicable to the production and sales of products that do not meet the national standards and industry standards for the protection of human health and personal and property safety; producers or sellers adulterate or adulterate products , passing off fake products as genuine ones, substandard ones as good ones, or passing unqualified products as qualified products; producing products that have been phased out by the state or selling products that have been phased out by the state and whose sales have been stopped; selling invalid or deteriorated products; forging the place of origin of the product Forged or fraudulently used other people's factory name and address, forged or fraudulently used certification marks and other quality marks.

2. Revocation of business license
The business license is the proof of the qualifications of corporate legal person and individual industrial and commercial operation.The revocation of business license means that the corporate legal person and self-employed persons will lose their operating qualifications, and it is a very serious administrative sanction.Suspension of business license is applicable to: the products produced or sold do not meet the national standards and industry standards for the protection of human health, personal and property safety; Good; the production of products that are explicitly eliminated by the state; the sales of products that are invalid or deteriorated.Refusal to accept product quality supervision and inspection conducted according to law, etc.

3. Confiscation of illegal gains

Confiscation of illegal gains is a mandatory economic sanction, mainly applicable to: production or sale of products that do not meet the national standards and industry standards for the protection of human health, personal and property safety; producers and sellers doping, Adulteration, passing off fakes as genuine ones, substandard ones as good ones, or substandard products passing off as qualified products; producing products that are explicitly eliminated by the state; selling invalid or deteriorated products; producers and sellers falsifying the origin of products; forging or Fraudulently using other people's factory name and address; forging or fraudulently using certification marks and other quality certification marks, etc.In addition to being ordered to stop production and sales, their products or illegal gains will be confiscated.

4. fine
Fines are a relatively common form of economic sanction.A fine shall be imposed on those who are ordered to stop production and sales; and a fine shall be imposed on those who are punished by the confiscation of illegal products and illegal income.Anyone who falsifies inspection data or forges inspection conclusions shall be ordered to make corrections and imposed a fine.

5. Pursue criminal responsibility
Offenses subject to criminal penalties are:

(1) The production and sale of products that do not meet the national standards and industry standards for the protection of human health and personal and property safety constitute a crime.

(2) Doping or adulterating products, passing off fakes as genuine, substandard products as good ones, or passing unqualified products as qualified products constitutes a criminal act.

(3) Selling invalid or deteriorated products constitutes a crime.

(4) Product quality inspection agencies and certification agencies forge inspection results or issue false certificates, which constitute a crime.

(5) Knowing or should know that it is a product that is prohibited from being produced or sold under the Product Quality Law, and providing convenient conditions for transportation, storage, storage, etc., or providing counterfeit production technology for a fake product, which constitutes a crime .

[-]. Anti-Unfair Competition Law

983. Principles of Anti-Unfair Competition Law
According to the spirit of my country's Anti-Unfair Competition Law, the Anti-Unfair Competition Law has the following principles:

(1) The principle of independent competition.Producers and operators, as independent civil subjects, independently decide and compete according to their own wishes and market conditions without external interference.

(End of this chapter)