1 Public FTAA.ecom/inf/122 February 13, 2002 Original: English

2 Why Ask Consumers to Join Government Delegations? Contribute knowledge and ideas Bring balance of views on issues Help initiatives gain wide acceptance Promote mutual understanding and cooperation For example: OECD Consumer Committee on Policy ( Consumer Efforts

3 Public Education = Public Confidence Consumers and businesses feel more comfortable transacting online Understand rights and responsibilities Reduce potential for fraud and abuse Well-informed public more likely to report problems Consumer Efforts

4 Why Ask Consumer Organizations to Help Educate? Education must reach individual consumers Consumer groups have experience using many channels and media for public education Have credibility as objective and reliable sources of information Consumer Efforts

5 NCL Online Shopping Safety Campaigns ( online) MasterCard and Orbiscom provided support Campaigns used all forms of media – offline and online “Be-eWise” brochure and Web-based information Consumer Efforts

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7 NCL Online Privacy Education ( Partnership with Dell produced “Online E-ssentials” brochure, Web-based information Radio and television media tours reached millions Dell sends brochure with new computers Consumer Efforts

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9 ConsumerPrivacyGuide.org Partnership of NCL, Center for Democracy in Technology, Common Cause, Consumer Action, Call for Acton and Privacy Rights Clearinghouse Provides central source of objective information for consumers about online privacy Consumer Efforts

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11 Online Fraud and Abuse Damage consumer confidence Erode integrity of marketplace Fraudulent companies may appear and disappear quickly Action to stop them must also be quick Consumer Efforts

12 Why Ask Consumer Organizations to Help Combat Fraud? Consumers are confused about which agency to contact Multiple agencies may have jurisdiction Consumer organizations provide advice and assistance Can refer cases of fraud and abuse to appropriate law enforcement agencies Consumer Efforts

13 NCL’s Internet Fraud Watch Offers advice and takes fraud reports from consumers Toll-free number or Transmits information to relevant law enforcement agencies within 24 hours Supplies information to FTC Consumer Sentinel database Consumer Efforts

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15 Consumer Suggestions Work with business associations to educate online vendors Work with consumer organizations to educate consumers Name and “shame” repeat offenders Consumer Efforts

Business Involvement in Consumer Protection and Education Steve Cole Senior Vice President, General Counsel & Corporate Secretary Council of Better Business Bureaus, Inc.

17 Four Business Goals for E-Commerce Consumer confidence Uniform and predictable standards Minimize regulation International cooperation Business Involvement

18 Four Techniques Used in Business – Often in Combination Education Best practices/standard-setting Complaint resolution Certification/trustmark schemes Business Involvement

19 Business Organizations Implementing these Techniques Industry coalitions and associations – PLI, OPA, GBDe, DMA & DSA Accounting/consulting firms – E&Y Portals – AOL & Yahoo Consumer help organizations – BBB, TRUSTe, Square Trade & Planet Feedback Business Involvement

20 The Better Business Bureau®: A Good Example Business Membership Self-Regulation Organization 300,000 local members – 300 national members in U.S., Canada and Northern Mexico Online activities through BBBOnLine and We use all or most all of the “techniques” Other organizations have programs that are similar to one or more aspects – BBBOnLine used as an illustration Business Involvement