Behavioral and Comparative Analysis of the Information Paradigm in Consumer Law

Abstract

This article examines the issue of information asymmetry in consumer law and deliberates on the necessity of regulation of the status of a consumer and their protection mechanisms. It is evident that the relevant Georgian law, by and large, does not guarantee the sufficient safeguarding level and thus the approximation to the respective EU legislation cannot be deemed successful in toto. Furthermore, this article analyzes the Draft Law of Georgia on the Protection of Consumer Rights and displays the possible challenges. In addition, the special emphasis is on consumer credit contracts. In the wake of the growing importance of behavioral analysis and its impact on the law and economics, the standard of an informed and rational consumer, which constitutes a cornerstone of the EU consumer law, is now highly debated. By reviewing some findings in behavioral law and economics, along with the international legislation and case law, it is argued that some implications of behavioralism should be taken into account in the field of consumer law.