Talking Shop September 2022
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Welcome to the September 2022 edition of our Retail & Consumer news round-up
For those of you who were able to take some time off over July and August, we hope you had a good break. We have a lot of interesting updates to share since our last edition in June, including a podcast on trends in the retail M&A market, an article on the impact of sustainability on competition law, an invitation to our Business-to-Consumer Annual Update, and much more. Following feedback we have also added a new feature to the newsletter – each month you will be able to easily access all previous editions of Talking Shop via the link below.
Please get in touch or visit our webpage for more information about Bird & Bird's Retail & Consumer Group.
In this newsletter:
- Advertising
- Competition
- Corporate
- Dispute Resolution
- E-Commerce
- Intellectual Property
- Supply Chain
- Tax
- News & Events
Advertising
UK: ASA reminds retailers of responsible advertising and that they will be held jointly responsible for influencers who do not clearly label ads
The ASA has upheld two complaints against fashion retailer, Pretty Little Thing. The rulings serve as a reminder to retailers to ensure that their ads are responsible, do not contain content which is likely to cause offence by objectifying women and that influencers who market for retailers must make their marketing communications and commercial intent clear by using tags such as #ad.
Competition
Europe: Competition law and sustainability
With sustainability being one the most intensely debated topics over the last few years, competition authorities around the world are now providing increasingly detailed guidance on how they consider that sustainability may impact competition law. Our international competition practice has therefore chosen to take a closer look at the interplay between sustainability initiatives and competition law in this topical edition of Competitive Edge.
Denmark: When the gloves come off - member of chain of independent clothes stores to be fined directly by the Danish competition authority under new powers
The Danish Competition Council has recently found that a voluntary chain in the textile industry, Boligtextilbranchens Indkøbsservice A.M.B.A. ("Botex"), infringed Article 6 of the Danish Competition Act concerning anti-competitive agreements by agreeing that individual members of Botex were not allowed to distribute advertisements to households in areas assigned to other members.
Czech Republic: Czech Competition Office traces compliance with upcoming rules on trade practices in the food and agricultural sector
Between 2021 and 2022, the Czech Office for the Protection of Competition carried out an extensive investigation into the food and agricultural sector. Its aim was to analyse trade practices within food purchasing and redistribution markets. These were then evaluated against the upcoming new regulation of trade practices in these sectors. The Office’s investigation report shows which practices will have to be changed, offering some guidelines on compliance.
Corporate
UK: Trends and predictions in the Retail & Consumer sector
Head of Retail & Consumer, Graeme Payne, explores trends in the sector and speaks with Corporate partner, Nick O’Donnell, about M&A and corporate investor activity. Graeme and Nick discuss the impact of Brexit and COVID-19, provide some tips for potential buyers and sellers, and make predictions for the future around investment in e-commerce and the importance of sustainability.
Dispute Resolution
Global: Business Interruption insurance tracker
Businesses around the world have been affected by extensive disruption and/or closure as a result of the Coronavirus pandemic. Many businesses have made claims to seek to recover financial losses under their Business Interruption (BI) insurance policies. Our recently updated BI tracker highlights these developments and lets you see at a glance how the regulators and courts in a variety of jurisdictions view these policies and the coverage claims that have been and are currently being made.
E-Commerce
Germany: New Federal Supreme Court decision extends liability of website owners for customer reviews
Customer reviews and ratings of products, services or entire businesses are an essential element of e-commerce. But what to do when a review is unjustified or defamatory? Owners of websites that publish such reviews generally do not have the duty to proactively monitor the reviews. This changes once they have actual knowledge of a certain review. In that event the website owner has to investigate the matter and, if the complaint by the rated party proves correct, remove the review from its website. But what does actual knowledge mean?
Intellectual Property
UK: Supermarket price wars leads to trade mark dispute
The grocery retail market in the UK is highly competitive. In years gone by, the market was dominated by the ‘big four’ – Tesco, Sainsbury’s, Asda, and Morrisons. More recently though, their grip on the market has been increasingly loosened by newer entrants. Discount supermarkets such as Lidl and Aldi, have made a name for themselves with a focus on value for money. It’s against this backdrop that an interesting trade mark dispute has arisen between Lidl and Tesco.
Australia: Creating and protecting IP in the metaverse – an Australian perspective
Many IP offices across the globe have experienced a surge in the number of trade mark applications for goods and services to ensure that brand protection is afforded to those goods and services in the metaverse. As a result, the European Union Intellectual Property Office (EUIPO) published its policy regarding the classification of virtual goods, NFTs and other claims regarding the metaverse in its 2023 draft Guidelines on which a range of stakeholders have until 3 October 2022 this year to comment.
Supply Chain
Germany: Risk analysis as a core element of the Supply Chain Due Diligence Act
The Federal Office of Economics and Export Control recently published a handout on how to implement a risk analysis according to the requirements of the German Supply Chain Due Diligence Act (LkSG). Companies that fall within the scope of the LkSG or which are contractually obliged to comply with due diligence obligations under the LkSG should review the handout and adjust their risk management systems as well as standard contracts to the contents of the handout in a timely manner.
Tax
UK: New reporting rules for online platforms
The OECD’s Model Reporting Rules for Digital Platforms are to be adopted in the UK, requiring platform operators to report details of the sellers using their platforms, including the income generated by those sellers, to HMRC. Platforms will also be required to provide annual reporting to sellers to help them comply with their own tax obligations. In July the government released its consultation outcome on the implementation of these rules. This article outlines the key takeaways of the consultation.
News & Events
Webinar: International Business to Consumer Annual Update
Our International Business-to-Consumer Group is delighted to invite you to its Annual Update – an essential webinar for any business that interacts with consumers.
The last year has seen many important legal developments for consumer-facing businesses, including the implementation of the Omnibus Directive in the EU, and the UK government’s proposals for reforms of consumer law. In this webinar, you will hear from members of our international B2C team, who will kick off the event with a brief summary of the current UK & European landscape, before focusing on five core areas: Contracts, Advertising, Green Claims, Enforcement and Product Compliance. We will provide a high-level overview of what’s happening in each area – key trends, recent developments and upcoming changes.
We hope you can join us virtually!
