Talking Shop November 2022
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Welcome to the November 2022 edition of Talking Shop.
In this edition we explore the increase in upcycling and the interface between sustainability and IP, new requirements on single-use products for companies selling fast food and beverages in Sweden, the UK FCA's new Consumer Duty, the crack down on misleading green claims in Australia, and much more.
Please get in touch or visit our webpage for more information about Bird & Bird's Retail & Consumer Group.
In this newsletter:
- Spotlight on the Collective Redress Directive
- Consumer Law
- Employment
- Finance
- Sustainability
- Tax
- News & Events
Spotlight on the Collective Redress Directive
Europe: Take a look at our CRD implementation tracker and collective action landscape map
The Collective Redress Directive introduces a new EU-wide right for collective actions to be brought on behalf of consumers. We are tracking the implementation of the Directive and have mapped the current European collective action landscape it is updating. As the CRD must be implemented by 25 December 2022 and come into force in EU member states no later than 25 June 2023 many EU member states have started the implementation process.
The CRD Implementation Tracker uses a simple colour code to denote the stage of implementation, and indicates, based on the existing collective action regime in any given country, what level of change will be required in order for the Member State to implement the Directive. The CRD has already been implemented in the Netherlands and Denmark. The CRD will allow collective actions to be brought by a representative body against businesses if they breach EU laws intended to protect consumers. This includes laws in a broad range of areas such as data protection, travel and tourism, financial services, energy and telecommunications. EU member states must put in place at least one effective procedural mechanism that allows such actions to be brought. Qualified entities, representing consumer groups, can seek a wide range of remedies, including declarations of law, injunctions or financial compensation. These entities will be legally and financially supported to bring actions on behalf of groups they represent.
The Collective Action Landscape Map provides a snapshot of the currently available collective action mechanisms in major European jurisdictions (EU and non-EU). Certain jurisdictions are emerging as particularly “high-risk” for companies who may find themselves on the receiving end of a mass claim. Businesses can use this map as a starting point to assess the likelihood of being sued by a group in each jurisdiction, to understand what form such action might take and to identify what procedural hurdles might exist to slow down or prevent the action from gaining ground.
Find out more about our Consumer Class Actions experience here
Consumer Law
Australia: Market regulators cracking down on greenwashing
On 27 October 2022, the Australian Securities and Investments Commission (ASIC) announced that it had taken its first formal action against an entity involved in greenwashing. This enforcement action follows a suite of public announcements made by ASIC and the Australian Competition and Consumer Commission (ACCC) regarding the regulatory bodies’ intent to crack down on misleading claims regarding greenwashing.
Australia: Reforms to the Australian Unfair Contract Terms Regime and consumer law penalties passed by Parliament
We recently published an article summarising the proposed changes to the Australian Unfair Contract Terms regime and maximum penalties for breaches of Australia's Competition and Consumer Act 2010 (Cth) (CCA). On 27 October 2022, the Australian Parliament passed the Treasury Laws Amendment (More Competition, Better Prices) Bill 2022 (Cth) (the Bill) without amendment. The Bill received Royal Assent on 9 November 2022.
Employment
Germany: Festive season, peak season and its (time) labour law options
For many companies in the retail sector, Advent season marks the start of what is probably the busiest time of their working year. As a result, questions about the legal limits of the pre-Christmas workweeks are raised: how much must and may be worked, is overtime to be worked, and is Sunday work even possible?
Finance
UK: The FCA’s new Consumer Duty
The Financial Conduct Authority recently set out its final rules and guidance for a new Consumer Duty to be introduced into the FCA’s principles for businesses. The Consumer Duty aims to increase the current level of consumer protection in the retail financial services market by setting clearer and higher standards for the culture of firms and the conduct the FCA expects of them. Firms will be required to consider the impact of the products and services they sell to consumer both at pre-sale and post-sale stages.
Sustainability
Europe: Upcycling - the interface between sustainability and IP
Upcycling has gained momentum in recent years and is becoming more and more mainstream. This is expected to increase further with the upcoming national implementation of Extended Producer Responsibility regimes for the textile industry, under which producers will become financially and operationally responsible for the recycling and reuse of textiles they put onto the market. The rise of upcycling is also starting to present the first IP conflicts, and indeed from a trademark law perspective upcycling could run into a number of hurdles.
Sweden: New upcoming requirements on single-use products for companies selling fast food and beverages
Sweden has now implemented directive(EU) 2019/904 on the reduction of the impact of certain single-use products on the environment, and included additional national measures for the sustainable use of single-use products through the Swedish Regulation on single-use products. As of January 1 2024, amendments to the Swedish Regulation will enter into force, imposing obligations on companies selling fast food and beverage in single-use products.
Tax
Poland: Sugar tax and a tax on alcoholic beverages under 300 ml
Since the start of 2021, to stimulate health-focused consumer choices, two taxes have been in place in Poland - a sugar tax and a tax on alcoholic beverages under 300 ml in volume, intended for consumption outside the place of sale. However, the introduced regulations have raised many interpretation doubts from taxpayers. In response, the Ministry of Finance has published a draft Act amending the Public Health Act of 11 September 2015 regulating the above issues to clarify the provisions and remove the interpretation doubts that have arisen.
News & Events
Webinar: The life of a distribution contract - new Belgian civil and competition law perspectives
01 December, 11.00 CET
A complete overhaul of 200+ year-old legislation is not a daily occurrence. The entry into force on 1 January 2023 of the new Belgian regime on contractual obligations is therefore nothing less than a landmark event, which will have a significant impact on the contractual practice of your business. In addition, after 12 years, the competition law regime applicable to distribution contracts was also significantly amended on 1 June 2022 with the adoption of the new Vertical Block Exemption Regulation.
On 1 December, our experts will guide you through the main changes of the new legislation and explain how these changes will impact your contracts, from the negotiation of the agreement until its termination and beyond.
Webinar: Crossing borders in employment law - restructuring and moonlighting, German and Indian perspectives
07 December, 13.00 CET
Whether you are already actively operating in the German or Indian markets or currently evaluating your market entry, this webinar will provide interesting insights and guidance for players in both Germany and India who either employ or are taking over staff in these jurisdictions.
In this session, Bird & Bird and the legal experts of Khaitan & Co, will present the legal issues and best practices when faced with such issues in the German or Indian market from an employment law perspective and will also share some areas to watch out for.
