Hong Kong toy shop fined for deceptive conduct
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An unidentified Hong Kong toy-shop owner has been convicted of misleading omission commercial practice.
The owner was convicted of engaging in commercial practices involving misleading omission according to the Trade Description Ordinance (TDO) and sentenced to 200 hours of community service by Kowloon City Magistrates’ Courts. The court also ordered him to compensate HK$11,210 (US$1440) to three victims.
An investigation carried out after Hong Kong Customs received a complaint from the victims alleging that a toy shop owner had engaged in unfair trade practices, showed that the owner had failed to explain the risks of late delivery to its customers on a social-media platform page. The owner has sold eighteen types of toy models without regard to the risk of delay.
Under the TDO, any trader who engages in a commercial practice that omits or hides material information or provides material information in a manner that is unclear, unintelligible, ambiguous or untimely, or fails to identify its commercial intent and as a result causes, or is likely to cause, an average consumer to make a transactional decision commits an offense. The maximum penalty upon conviction is a fine of $500,000 and imprisonment for five years.
Questions & Answers
Q.What specific offence was the toy shop owner convicted of?
What specific offence was the toy shop owner convicted of?
The owner was convicted of misleading omission commercial practice. This involved engaging in commercial practices with misleading omission under the Trade Description Ordinance (TDO).
Q.What was the total penalty received by the shop owner?
What was the total penalty received by the shop owner?
The owner was sentenced to 200 hours of community service. Also, the court ordered him to pay HK$11,210 (US$1440) in compensation to three victims.
Q.What information did the shop owner fail to provide to customers?
What information did the shop owner fail to provide to customers?
The owner failed to explain the risks of late delivery to customers on the shop's social-media platform page. He sold eighteen types of toy models without addressing these potential delays.
Q.What is the maximum penalty for this type of offence under the TDO?
What is the maximum penalty for this type of offence under the TDO?
The maximum penalty upon conviction under the Trade Description Ordinance is a fine of $500,000. It also includes the possibility of imprisonment for five years.
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