FCCPC WARNS BUSINESSES AGAINST ILLEGAL ‘NO REFUND’ POLICIES, PRICE TAGGING VIOLATIONS
Read Time:3 Minute, 21 Second
By ‘Sefiu Ajape
The Federal Competition and Consumer Protection Commission (FCCPC) has warned businesses across Nigeria to comply with regulations on price tagging, product labelling and consumer refund obligations or risk enforcement actions, including administrative penalties, temporary closure of business premises and other sanctions provided under the law.
The warning was delivered on Wednesday by the Executive Vice Chairman/Chief Executive Officer of the FCCPC, Mr. Tunji Bello, through the Coordinator of the Commission’s Southwest Zonal Office, Dr. Olubunmi Otti, during a joint stakeholders’ engagement organised by the FCCPC and the Lagos State Consumer Protection Agency (LASCOPA) at the Lagos Chamber of Commerce and Industry (LCCI), Alausa, Lagos.
Speaking on the theme, “Price Tagging, Minimum Labelling Requirements and Return/Refund: The Implications of Non-Regulatory Compliance,” Bello said the requirements relating to price display, product labelling and consumer remedies “are not optional standards or best practice guidelines” but legal obligations established under the Federal Competition and Consumer Protection Act (FCCPA) 2018.
He explained that businesses that fail to comply with the law may face compliance notices, corrective actions, administrative penalties and, in appropriate cases, temporary closure of their premises, while courts may also order compensation for affected consumers.
According to him, consumers have a legal right to transparent pricing, accurate product information and appropriate remedies where goods are defective, unsafe, unsuitable for their intended purpose or fail to match their description.
Bello stressed that businesses cannot rely on notices such as “No refund after payment” to deny consumers remedies guaranteed by law.
“Where the law gives the consumer a right to a remedy, such notices cannot take away rights that are guaranteed by law,” he said.
Illustrating the impact of non-compliance, Bello cited common marketplace experiences, including consumers discovering the prices of products only at the checkout because they were not displayed, purchasing products with inadequate or misleading labels, or being denied refunds despite purchasing defective goods.
He said such practices undermine consumer confidence, distort fair competition and ultimately weaken the integrity of the marketplace.
The FCCPC CEO, however, maintained that the Commission’s preferred approach is to secure voluntary compliance through stakeholder engagement, public education and constructive dialogue rather than immediate enforcement.
“Enforcement is generally the last step, not the first,” he said, noting that businesses are more likely to comply when legal obligations and regulatory expectations are clearly explained and properly understood.
He added that while enforcement remains an essential part of the Commission’s mandate, it is typically deployed where businesses deliberately disregard the law despite being given opportunities to comply.
Bello also highlighted the importance of collaboration in protecting consumers, saying no single institution can effectively regulate today’s complex marketplace in isolation.
He commended the partnership between the FCCPC and the Lagos State Consumer Protection Agency, describing it as a step towards providing businesses with clearer regulatory guidance while ensuring consumers receive effective protection.
According to him, businesses should view compliance not as a regulatory burden but as an investment in customer confidence and long-term growth.
“Consumer protection and business success are not competing objectives. They reinforce one another,” he said.
He urged manufacturers, importers, distributors, retailers and service providers to review their business practices by ensuring prices are clearly displayed, product labels provide accurate information and return/refund policies comply with the law.
Bello also called on consumers to be more vigilant by reading product labels, paying attention to displayed prices, demanding receipts and reporting unfair trade practices through the appropriate channels.
He reaffirmed the Commission’s commitment to working with LASCOPA, the business community and other stakeholders to strengthen consumer confidence, encourage responsible business conduct and build a marketplace founded on fairness, transparency and accountability.
I think this stands well as a standalone FCCPC story. It focuses almost entirely on the Commission’s policy message and enforcement position, with LASCOPA mentioned only as the event partner for context. The LASCOPA story can now take a completely different direction centred on collaboration, consumer trust and Solebo’s vision for responsible business practices.
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