The Ministry of Commerce and the National Bank of Cambodia have jointly alerted all banking and financial institutions to comply with the Law on Consumer Protection and Prakas on Unfair Contract Clause In order to protect consumers' rights and promote fair competition, the Ministry of Commerce and the National Bank of Cambodia, upon their Press Release dated 24 March 2023 on the Implementation of the Law on Consumer Protection and Prakas on Unfair Contract Clause in the Banking and Financial Sector, have jointly advised all banking and financial institutions to avoid the use of standard form of contract including any of the following unfair clause that:

• does not grant consumers the power to modify or amend any of the contract's clause or conditions to safeguard the consumer's legitimate interests;
• embed some hidden meaning and unfair clauses in order to excessively exploit benefits from consumers;
•  includes clauses providing the exemption or limitation of liability of the business operators on the guarantee of their goods and/or services;
• allows the business operators the right to make substantial changes to the kind, amount, price, and qualify of goods and/or services, or any modification of important elements of the standard form of other contracts without the
  consumer's prior notice and agreement of the consumer;
• grants a business operator the power to interpret the contract unilaterally or to terminate the contract at the discretion of the business operator.

Disclaimer: The information contained herein is for general information purpose only without being intended to constitute any legal or other professional advice on the subject matter.