
Round Table China
China stiffens prepaid deal protections
May 8, 2025
A crackdown on prepaid scams in China is reshaping consumer rights, as new regulations from the Supreme Court aim to protect customers from businesses that vanish with their money. The shift comes amidst a surge in prepaid services in beauty and fitness, raising concerns about inadequate contracts. Meanwhile, Gen Z is shaking up the language of love, favoring terms like 'bro' and 'mate' over traditional pet names. Discover how these generational shifts and legal changes are redefining consumer confidence and affection.
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Quick takeaways
- China's Supreme Court introduced new regulations to protect consumers from prepaid scams, ensuring better refund processes for services rendered.
- Gen Z's shift towards casual terms of endearment reflects a cultural change, with traditional names considered outdated and less relatable.
Deep dives
New Regulations on Prepaid Services
China's Supreme Court has implemented new regulations banning prepaid scams that leave consumers vulnerable. Beginning May 1st, these rules aim to protect customers from businesses that fail to deliver services after prepaid transactions, which commonly occur in gyms and beauty salons. The surge of complaints, particularly in Shanxi province, highlighted issues such as misleading promotions and a lack of written contracts that made refund claims difficult. The regulations impose clear legal responsibilities on service providers, ensuring that if a business disappears or changes ownership, customers still have a path to recourse.