A consumer had ordered products from a company in the United States and paid for purchases with a Visa card. When the seller failed to supply the products, the consumer demanded that Luottokunta, Finland's credit card service, refund the amount paid. Luottokunta did not accept responsibility to refund money.
Since the case had considerable value as a precedent, the Consumer Ombudsman assisted the consumer in court. The demand for a refund was based on a section in the Consumer Protection Act concerning the creditor's responsibility. On this basis if the consumer has the right to get a refund or compensation from the seller because of a breach of contract, the consumer also has the same right towards a creditor that has financed the transaction.
The Helsinki District Court ruled in favour of the plaintiff in June 2004, but the Helsinki Court of Appeal overturned the ruling on 29 November 2005. The Court of Appeal said that the provision in the Consumer Protection Act concerning a creditor's responsibility does not apply to a situation in which a transaction has been financed with a general-purpose credit card such as a Visa card. The same question concerning a creditor's responsibility applies to all general-purpose credit cards (Visa, MasterCard, Diners Club etc). The Consumer Ombudsman has asked for permission to appeal to the Supreme Court.