Ministry of Trade Publishes New Rules on Commercial Advertising and Unfair Commercial Practices

The Turkish Ministry of Trade (“Ministry of Trade”) has recently issued the Amending Regulation on the Regulation on Commercial Advertising and Unfair Commercial Practices (“Regulation”). The Regulation is based on the Law No.6502 on Consumer Protection dated November 7, 2013, and it covers all kinds of commercial advertisements and unfair commercial practices for the consumer.

The Regulation on Commercial Advertising and Unfair Commercial Practices aims to determine the principles to be followed by advertisers, advertising agencies, media organizations, and all persons, institutions, and organizations related to advertising and those engaged in commercial practice, to determine the principles of review to be made within the framework of these principles and to protect consumers against unfair commercial practices.

Firstly, the Regulation repeals the provision that prevents advertisements from containing statements or images of patients before and after treatment, and it allows these statements and images in advertisements.

In addition, the Regulation set forth provisions for advertisements containing price information. In this context, the price offered by analyzing the purchasing behavior and other personal data of the consumer regarding a good or service is defined as a ‘customized price’. If a price is offered to the consumer in this way, the information regarding this matter, and the current sales price and customized price determined by the seller or supplier for that good or service shall be included in the same field.

With the Regulation, it is obligatory to indicate the price before the discount in advertisements containing any written, audible, or visual phrase showing that a discount has been made for a good or service. In addition, in determining the sales price of a good or service before the discount, the lowest price applied within thirty days before the discount is applied shall be taken as the basis. It is also stipulated that when calculating the amount or rate of the discount in advertisements for perishable goods such as fruits and vegetables, the price before the discounted price will be taken as a basis. The burden of proof regarding these matters lies with the advertiser, whereas it was previously stipulated that the the burden of proof that the goods or services subject to the discounted sale are offered for sale at a lower price than the price before the discount was the advertiser.

In advertisements where it is stated that a good or service is offered for sale with a tied loan, the information regarding the credit period, the interest rate, the monthly and annual percentage values of the total cost to the consumer, and the repayment conditions shall also be presented in the area where the advertisement is published or on a website where consumers can get detailed information by directing consumers with a link or warning sign, or shall be included in a pop-up screen.

Besides that, biocidal products have been added to goods or services with special regulations regarding advertising.

As per the Regulation, the requirement has been established regarding ranking applications. Within this framework, in case of a ranking by comparing the price, quality, and similar aspects of a good or service offered for sale on the internet, information on the criteria for which the ranking was created shall be placed in the same area or in a pop-up screen where consumers can be directed and get detailed information with a link or warning sign. It is also obligatory to include the word "advertisement" in the ranking results displayed based on advertising or sponsorship and similar agreements.

Moreover, provisions regarding consumer reviews have been made. Accordingly, in the case of enabling consumers to review a good or service, or a seller or providers, by the vendors and providers or the intermediary service providers that mediate the establishment of distance contracts on their behalf on the internet, these reviews shall only be allowed to be made by purchasers of the relevant good or service. It is also stipulated that the principles and rules regarding the publication of these reviews are displayed in the area where the reviews are published or on the pop-up screen where consumers are directed with a link or warning sign. Consumer reviews are published according to an objective criterion such as date, review grade, ranking by seller or supplier for at least one year, without any distinction between positive or negative reviews, after the necessary examinations are made. Consumers whose reviews are not published in accordance with the pre-determined principles and rules shall be immediately notified. However, consumer reviews containing health claims contrary to the relevant legislation may not be published.

As per the Regulation, if the consumer, seller, or supplier reports that the consumer grievance experienced regarding the evaluated good or service has been eliminated by the seller or supplier, this situation is published without delay in the same place as the first review after the necessary verification is made. Also, it is not possible to make an agreement with a natural or legal person, or to purchase a service for making inaccurate reviews or using expressions that commend the good or service to increase the sales of a good or service.

In addition to these obligations, the responsibilities of complaint platforms, whose main field of activity is to enable the publication of consumer complaints, which are like reviews regarding a good or service or the sellers or providers of that good or service, are also stipulated with the Regulation.

Further, sample practices considered as unfair commercial practices are included in the annex of the Regulation, some of which falsely claim that a code of conduct has been approved by institutions or organizations, showing a defective example of a good or service, and telling the consumer that the workplace or subsistence of the person performing the commercial practice will be endangered if he/she does not receive the goods or services.

Finally, it has been regulated that the guidelines for protecting the consumer against commercial advertisement and unfair commercial practices to be implemented together with this Regulation shall be prepared by the Board of Advertisement and published on the website of the Ministry of Trade.

Esra Temur, Kortan Gödekoğlu