Merchant not obliged to take back sold jewellery

By Eudore R. Chand

DUBAI 12 April 2020: A merchant is not legally obliged to take back gold or jewellery already purchased.

According to UAE law, a consumer is defined as anyone who receives goods or services in fulfilment of his or her personal needs. Therefore, those who wish to sell gold and jewellery are not considered consumers, and the merchant has the right to set the conditions for the buying process within the framework of commercial regulations and terms, as agreed upon between the two parties, said a statement from Commercial Compliance and Consumer Protection (CCCP), sector at Dubai Economy.

Gold and jewellery purchases accounted for hardly 0.5 percent of the total consumer complaints received in 2019, according to the annual report of Dubai Economy.

Mohammed Ali Rashed Lootah, CEO of CCCP, said that regulations and procedures put in place to maintain the attractiveness of the market and ensure the rights of merchants and consumers alike have complemented the growth of the local gold and jewellery sector.

“We are keen to launch awareness campaigns targeting various groups of consumers. For example, we urge consumers purchasing jewellery to make sure of the price of gold and the making charges, which varies according to the distinct designs of jewellery. Buyers should also be aware that the making charge will not be taken into account while reselling jewellery, as they are only acquiring the raw gold. If a piece of jewellery is redesigned or used to make a new item, then the value of the workmanship may be restored,” he said.

“Our objective is to educate consumers and merchants about their rights and duties, and spread awareness over the consumer protection law, thus enhancing the competitiveness and sustainability of the gold market in Dubai. The emirate is one of the most attractive markets for residents, visitors, and tourists alike, capable of meeting their needs and providing them with a pleasant shopping experience,” added Lootah.