Sales presentations

The sale of goods in conjunction with a demonstration is a retail activity carried out by a trader or a person acting in the name of or on behalf of a trader for the purpose of displaying or selling a product during a trip or event. Such a supply of goods is an off-premises contract.

Thus, product sales with a sales presentation is a form of trade other than traditional commercial trade, whereby consumers, or even potential customers, are selected or invited who are often in a vulnerable situation for some reason, such as their age or health condition. The target group for trade fairs is therefore mainly elderly people, pensioners and people with medical conditions.

Since the legislator has set strict legal requirements for companies organising sales presentations, these companies may try to adapt to the changed circumstances by holding their presentations in registered shops that look like elegant private medical practices. The main problem is that the products sold are increasingly focused on the health line, where the main problem is that the presentations are attended by people who have no medical training whatsoever and who 'diagnose' serious, and in some cases fatal, illnesses for which they claim that the only effective remedy is the unrealistically expensive products they sell (costing up to several hundred thousand forints).

Risks of sales presentations - What to look out for?

People attending sales presentations often end up disappointed, as the event may not be about what the invitation stated.

Often, the products purchased are not needed by the participants. That is why it is important to be aware of the right of cancellation without justification, which is regulated by Government Decree 45/2014 (26.II.) on the detailed rules of contracts between consumers and businesses.

According to this, in the case of off-premises contracts concluded between absentee traders, the consumer has the right to cancel the contract without giving any reason within 14 days. Therefore, if the contract is concluded in a non-traditional way, away from the business's shop, place of business or place of establishment, the consumer may cancel the contract without giving any reason within the 14-day period. The consumer must be informed of the right of cancellation in advance by the undertaking, before the contract is concluded. If the undertaking fails to provide prior information, the cancellation period is extended by 12 months.

If the consumer decides to cancel, it is advisable to do so in writing, so that it can be verified and retrieved later. If the consumer exercises his right of cancellation within the time limit in accordance with the law, the undertaking may not refuse to do so and must reimburse the full purchase price or the cost of delivery. It may happen that the consumer exercises the right of cancellation after the product has been delivered to him/her. (It is important to point out that there are exceptions to the right of cancellation without giving reasons, these exceptions are set out in Article 29 of the above-mentioned Government Regulation.)

To avoid disappointment in the future, we recommend that you do your research before attending a sales presentation. It is important to consider whether we are really interested, whether we need the product, whether it is offered at a realistic price and whether we can ask for time to think about our purchase.