On Sept. 1, 1978, an extensive Consumer Protection Act came into force in Finland. The Act deals with the relationship between traders and consumers and includes regulations for marketing, contract terms and their alteration, the purchase of consumer goods, home sales and mail order sales. Its introduction has been accompanied by the appointment of a Consumer Ombudsman, the establishment of a Market Court for dealing with marketing questions, and a Consumer Complaint Board. The task of the latter is to mediate in individual conflicts between traders and consumers.

The new regulations for marketing, contract terms and their alteration, laid down in the Consumer Protection Act, apply to both consumer goods and consumer services, where services include not only repairs, servicing, storage of goods and insurance, but also travelling contracts, cultural events and sports events intended for the general public, etc. However, the Act does not yet state when a consumer service could be considered defective nor what the consumer could demand in view of a defect.

The purpose of the marketing regulations is to ensure that the consumer has adequate and accurate information about the goods or a service before a purchase is made. To this end, unfair trading and trading contrary to accepted practice may be prohibited. This means, e.g., that a trader must be able to prove that what he claims in his advertising is true. A marketing practice may also be banned on the grounds that it misuses the ambitions of consumers or because of the distribution method used, or by false pretences. Displaying higher discounts than have actually been made is also explicitly forbidden in the Act. Furthermore, so-called combined offers and extras are not allowed unless there is an obvious connection between the goods or services in question. Such offers are thought to make it difficult for the consumer to estimate the value of an article, and distract attention from the article itself. For the same reason, an upper limit on the value of prizes in competitions for the public may be stipulated.

A person involved in marketing may be forbidden to continue his practice insofar as it is found illegal. This ban may be applied not only to an importer, wholesaler or retailer who advertises goods or services, but also to the advertising agency responsible, or to the periodical or television company that has carried an advertisement.

The Consumer Ombudsman is responsible for monitoring marketing practices. Individual consumers and others may refer to him when they notice misuse. In minor matters, the Ombudsman himself may ban the continuation of a marketing practice, but where more serious offences are concerned he should summon the trader to the Market Court. A ban is accompanied by a fine, which is payable if the ban is not observed. In very grave cases criminal proceedings may be instituted against a trader.

In addition, the Consumer Ombudsman may assist individual consumers involved in conflicts with traders in cases of general interest to consumers.

The Consumer Ombudsman also ensures that contract terms used by traders are reasonable and may order a trader to withdraw an unreasonable clause or summon