The Consumer Right to Rescind the Contract in European and Domestic Law Cover Image

Pravo potrošača na raskid ugovora u evropskom i domaćem pravu
The Consumer Right to Rescind the Contract in European and Domestic Law

Author(s): Zlatan Meškić
Subject(s): Law, Constitution, Jurisprudence, EU-Legislation
Published by: Правни факултет Универзитета у Источном Сарајеву
Keywords: Consumer law;Rescission of conract;Withdrawal from the contract;Directive on consumer's rights;Consumer Protection Act;
Summary/Abstract: The consumer right to rescind the contract is the most important legal instrument which releases the consumer from all obligations arising out of the contract without any explanation. The consumers are thereby given the opportunity to compensate for their deficit in information and experience which exists in comparison to the trader as the other contracting party, by the ex post revision of all information relevant for the contract within the withdrawal period and without any influence by the trader. While, in this way, the consumers are given the opportunity to reconsider and possibly change their mind, for traders and third persons it is a factor of disturbance and insecurity, because until the expiration of the withdrawal period it is unclear whether the contract will remain valid. The consumer’s right to rescission is introduced into the legal system of Bosnia and Herzegovina by harmonization with the EU law and can now be found in the Consumer Protection Act as well as in the Draft and Proposal for a new Obligation Relations Act. The following paper illustrates the basic characteristics of the consumer right to rescission, its current development in EU law, especially in the Directive on consumer rights of 2011, and identifies the existing deficiencies in the regulation of this institute in the legal system of Bosnia and Herzegovina.