E-commerce and online shopping reached unprecedented levels during the COVID-19 pandemic, and this growth continues to expand. Today, the online shopping landscape offers consumers a broader selection of products and services compared to traditional shopping centers or tour sales offices. It also provides the convenience of shopping from home and the flexibility to purchase items anytime using various payment methods.
However, the rise in online activity has also led to fraudulent practices, such as delivering defective or damaged goods or charging consumers for products they never ordered. In the past, when online marketplaces were less prevalent, there was minimal need for specific legal protections. In response to these growing concerns, the Office of the Consumer Protection Board has introduced new measures. The Announcement of the Committee on Contracts Regarding the Classification of Goods Transportation Services with Cash on Delivery as Regulated Business in the Proof of Payment B.E. 2567 (2024), also known as “Dee-Delivery”, took effect on October 3, 2024.
This legislation applies to “goods transportation services with cash on delivery,” referring to businesses that transport goods and collect payment upon delivery. Under the law, the Business Operator is responsible for delivering products to consumers and collecting payment—whether in cash or via bank transfer—at the time of delivery.
Consumer Protections Under the Act
The law focuses on protecting consumers by granting them the right to refuse a product if, upon opening the package, they find that:
✓ It does not match its online description.
✓ It is not the product they ordered.
✓ It is damaged or defective.
In such cases, consumers have the right to request a refund from the seller. The law outlines the responsibilities of all parties involved in the transaction, including:
Figure 1. Key Parties in the Dee-Delivery Announcement.
✓ “Business Operator”: Any entity providing goods transportation services with cash-on-delivery options, such as Flash or JT&T.
✓ “Product Sender”: Individuals or businesses selling products to consumers and delivering them through cash-on-delivery services provided by Business Operators, such as online merchants on platforms like Shopee and Lazada.
Circumstances Allowing Returns and Refunds
Under Section 4(4) of the Announcement, the following circumstances allow consumers to refuse products and request refunds from the Product Sender:
1. If the product does not match its online description or is damaged/defective, the Business Operator must retrieve the product, return it to the sender, and issue a refund to the consumer.
2. If a consumer receives a product they did not order but pays for it through cash-on-delivery, they can contact the Business Operator for a refund. The Business Operator, holding the payment, must refund the consumer unless the Product Sender proves the consumer ordered it.
3. If the consumer opens the package in front of the delivery person or provides proof (e.g., photos or videos) that the product is incorrect, damaged, or defective, they can refuse to accept it.
4. If the Business Operator retains the consumer’s payment for more than five days after delivery without forwarding it to the Product Sender, and the consumer requests a refund, the Business Operator must first send the payment to the Product Sender before processing the refund.
5. If the consumer requests a refund within five days for any of the following reasons:
✓ They received a product they did not order.
✓ The product does not match their order.
✓ The product is damaged or defective.
If the claim is valid, the Business Operator must refund the full amount within 15 days of the customer submitting the request and returning the product to the sender.
Proof of Payment
Section 5 of the Announcement requires that consumers receive proof of payment immediately after making a payment. If the consumer opts to receive proof electronically, the rules under the Electronic Transactions Act B.E. 2544 (2001) and related regulations will apply.
Sections 4 and 7 of the Announcement specify the required content of the proof of payment, ensuring transparency and accountability in transactions.
Figure 2. Requirements and Prohibitions for Proof of Payment.