Modernisation of EU consumer protection rules: A new deal for consumers

Briefing 15-01-2020

On 11 April 2018, the European Commission adopted a proposal for a directive on better enforcement and modernisation of EU consumer protection rules, as part of its 'new deal for consumers' package of measures. The proposal followed a fitness check of consumer legislation and an evaluation of the Consumer Rights Directive that showed that EU consumer legislation could benefit from certain aspects being clarified and brought into line with the reality of the digital economy. Following negotiations between the European Parliament and the Council of the EU, the agreed text was adopted by the European Parliament in April 2019, and the final act was signed on 27 November 2019. The new directive leaves the consumer’s right of withdrawal intact. It will ban several unfair commercial practices, such as false online reviews, and require Member States to set the maximum penalty for widespread infringement to at least 4 % of the trader’s annual turnover. Dual quality of food will not be banned altogether, but could be considered to be misleading depending on the circumstances. Online marketplaces will be required to inform consumers about the parameters of their search results. Fourth edition. The 'EU Legislation in Progress' briefings are updated at key stages throughout the legislative procedure.