The Legislative Assembly of El Salvador recently approved a package of reforms to the Consumer Protection Law, emphasizing price transparency, personal data protection, and the elimination of abusive practices. Additionally, they introduce support mechanisms for indebted consumers.
Among the approved reforms are:
1. Modification in the Prices of Goods and Services
Corrected wording: Article 7 of the law now states that suppliers cannot offer, sell, or make available goods or services at a price higher than the publicly advertised price and the price listed on the product labels.
2. Protection of Personal and Credit Data
Limitation on data collection: Suppliers are prohibited from collecting, sharing, and transferring consumers’ personal and credit data without their authorization. Data can only be shared with data information agencies with the consumer’s prior authorization. Such authorization cannot be a condition for purchasing products or contracting services.
3. Advice for Indebted Consumers
New Article 19-A: Allows consumers with excessive debt to request advice from the Consumer Protection Office of El Salvador on alternative dispute resolution mechanisms to reach restructuring agreements, solutions, or beneficial payment plans.
As of the date of this publication, the aforementioned reforms are pending publication in the Official Gazette.
oscar.torres@garciabodan.com
Managing Partner
García & Bodán
El Salvador