Challenges of Electronic Contracts and Consumer Protection in Nigeria under the FCCPA 2018 and CAMA 2020

Abstract

This paper explores the legal challenges surrounding electronic contracts in Nigeria, particularly consumer protection under the Federal Competition and Consumer Protection Act (FCCPA) 2018 and the Companies and Allied Matters Act (CAMA) 2020. As digital platforms increasingly dominate commerce, from fintech to online retail, electronic contracting has become standard. Frameworks such as the Evidence (Amendment) Act 2023, the Cybercrimes (Prohibition, Prevention, etc.) Act 2015, NITDA guidelines, and the Nigeria Data Protection Act 2023 contribute to the regulatory landscape, but the FCCPA and CAMA remain pivotal. However, both Acts reveal significant gaps and ambiguities that compromise enforcement and consumer rights in digital transactions. Key findings include: (1) the FCCPA outlines progressive consumer rights and establishes the FCCPC as the principal enforcer, but lacks procedural clarity for online disputes and does not address challenges such as clickwrap agreements and digital identity fraud; (2) CAMA acknowledges electronic filing, but does not resolve questions concerning electronic signatures, corporate accountability, or transparency in online business models; (3) although other statutes provide partial safeguards, the legal framework remains fragmented; (4) enforcement is hindered by institutional overlap, limited technical expertise, and low consumer digital literacy; and (5) international models, including UK and EU frameworks, offer benchmarks for reform. The paper proposes statutory clarification of electronic consent, mandatory transparency for digital traders, sector-specific FCCPA guidance, enhanced corporate obligations under CAMA, unified standards for electronic signatures, expedited ODR mechanisms, and institutional capacity building. These reforms can reduce power imbalances, enhance consumer redress, and build trust in Nigeria's digital economy.