Superintendency of Industry and Commerce fined Rappi for more than $...

The Superintendency of Industry and Commerce fined the domiciliary company Rappi SAS with 2,000 Colombian legal minimum wages in force; that is, $ 1,755,606,000.

The entity accused the company, mainly, of violating “consumer protection standards”, which include misleading advertising, the creation of abusive clauses, offering minimal information or even omission of it, incorrect deliveries , at the wrong time and even with poor quality products.

The SIC explained in its official press release that Rappi SAS had not been clear or precise in explaining the services it offered, including offers and promotions. The entity assured that the domiciliary company does not act in a timely and truthful manner with respect to the information it provides to its clients and the services it offers.

According to the Superintendency, the legal action is justified after it established that Rappi:

– You did not indicate in a sufficient, precise and truthful way, the restrictions to access promotions and offers.

– It did not provide in a clear, sufficient, timely, precise and truthful manner the information related to the prices displayed visually in its electronic commerce platform, nor did it guarantee the right that assisted consumers to only pay the advertised price.

– You did not sufficiently provide the information corresponding to the correct returns, since by including in your business model the return of returns in “RappiCréditos” and not in legal tender, you were obliged to sufficiently inform said provision, to effects of guaranteeing the minimum information for the adoption of reasonable and informed consumer decisions.

· It included abusive clauses that limited their liability, implied waiver of consumer rights, presumed the expression of their will and restricted or eliminated their ability to enforce the guarantees before Rappi.

– It did not inform consumers in advance in the sales transactions through remote methods, the existence of the withdrawal rights and the reversal of the payment, nor the processing thereof.

– It did not guarantee the right of reversion of payments that assisted consumers, by not making timely reimbursements within the established legal terms.

– It did not guarantee the right of consumers to receive quality products and services, finding proven failures in the provision of after-sales services, such as: i) delays in the delivery of orders, ii) cancellation of products, iii ) non-application of coupons, iv) non-refund of money, v) omission in loading the RappiCréditos, vi) non-delivery of products, vii) delivery of products other than those requested or in poor condition, viii) unjustified charges, among others .

In addition to these accusations, the SIC found contradictions in what the company expressed regarding the services it offered in the country since, according to them, they were a contact portal.

The decision, made under resolution No. 65205, came after the SIC established that Rappi SAS does receive income from consumer transactions that people make through its platform. They also earn money for services created by themselves, such as “Rappi Antojos”, “Rappi Cash” and “RappiPrime”.

The Superintendency of Industry and Commerce concluded its official statement noting that Rappi will have 30 days, from the date, to rectify what the SIC had already requested.

On October 16, the entity sanctioned Rappi for non-compliance with five of the seven orders issued in August 2019, which, basically, asked the company to inform the origin of the right of withdrawal and reversal of payment, that it was available PQRS reception mechanisms that allowed follow-ups, that the contractual provisions of the terms and conditions were adjusted, that the total price of the products was reported, including all additional costs without their modification being possible, and that it was established in the agreements with the allies the intervention of each one against the effectiveness of the guarantee.