DOMAIN:EU_REGULATION:CONSUMER_PROTECTION¶

OWNER: eric
ALSO_USED_BY: julian, aimee, margot
UPDATED: 2026-03-26
SCOPE: EU consumer protection obligations for client-facing digital services

OVERVIEW¶

EU consumer protection is a layered system of directives and regulations.
Every GE project with B2C elements must comply.
Eric assesses consumer protection requirements at client intake.
Margot must ensure client communications meet transparency standards.

KEY_INSTRUMENTS:
- Consumer Rights Directive (2011/83/EU) — distance selling, withdrawal, information
- Unfair Commercial Practices Directive (2005/29/EC) — misleading/aggressive practices
- Unfair Contract Terms Directive (93/13/EEC) — see contract-law.md
- Digital Content Directive (2019/770) — conformity, updates, remedies
- Consumer Sales Directive (2019/771) — goods with digital elements
- Price Indication Directive (98/6/EC) — price transparency
- Product Liability Directive (2024/2853) — NEW, replaces 85/374/EEC
- Omnibus Directive (2019/2161) — enforcement modernisation
- ADR Directive (2025/2647) — NEW, replaces 2013/11/EU

PRE-CONTRACTUAL INFORMATION REQUIREMENTS¶

CONSUMER RIGHTS DIRECTIVE (Art. 6)¶

BEFORE contract conclusion, trader MUST provide clearly and comprehensibly:

IDENTITY_INFO:
CHECK: trading name and legal name
CHECK: geographic address of establishment
CHECK: telephone number, email address
CHECK: where applicable: identity of trader on whose behalf they act

PRODUCT/SERVICE_INFO:
CHECK: main characteristics of goods/services/digital content
CHECK: functionality of digital content (including applicable DRM)
CHECK: compatibility and interoperability of digital content
CHECK: environmentally friendly delivery options (new — Directive 2024/825)

PRICE_INFO:
CHECK: total price including all taxes
CHECK: if price cannot be calculated in advance: manner of calculation
CHECK: all additional freight, delivery, or postal charges
CHECK: if open-ended contract: cost per billing period
CHECK: for subscriptions: total monthly/annual cost

CONTRACT_INFO:
CHECK: payment, delivery and performance arrangements
CHECK: complaint handling policy
CHECK: right of withdrawal (conditions, deadline, procedures, model form)
CHECK: conditions for terminating open-ended or auto-renewing contracts
CHECK: existence of relevant codes of conduct
CHECK: minimum duration of consumer obligations
CHECK: existence and conditions of deposits/guarantees

FAILURE CONSEQUENCES¶

IF withdrawal information not provided: withdrawal period extends to 12 months + 14 days
IF other pre-contractual info missing: contract may be voidable
FINES: Member State dependent — NL up to EUR 900,000 (ACM)

PRICE TRANSPARENCY¶

PRICE INDICATION DIRECTIVE (98/6/EC)¶

REQUIREMENTS:
CHECK: selling price must be displayed unambiguously, clearly, easily identifiable
CHECK: if unit pricing applicable: price per unit of measurement
CHECK: all taxes included in displayed price
CHECK: no hidden charges revealed only at checkout

OMNIBUS DIRECTIVE ADDITION (Art. 6a)¶

PRICE_REDUCTIONS (since May 2022):
CHECK: any announced price reduction must show prior price
PRIOR_PRICE: lowest price applied during 30 days before reduction
PURPOSE: prevent artificial reference pricing (fake discounts)
EXCEPTION: perishable goods, goods on market less than 30 days

PERSONALISED PRICING (Omnibus Directive)¶

IF price personalised based on automated decision-making or profiling:
CHECK: trader must inform consumer before purchase that price was personalised
CHECK: must explain that price was determined based on automated profiling
LEGAL_BASIS: GDPR Art. 22 also applies (automated individual decision-making)

DRIP PRICING¶

PROHIBITED: revealing mandatory charges only during checkout process
ALL_MANDATORY_FEES: must be included in or clearly disclosed alongside headline price
AIRLINE_STYLE_PRICING: explicitly addressed — ancillary fees must be opt-in, not pre-selected

UNFAIR COMMERCIAL PRACTICES (Directive 2005/29/EC)¶

SCOPE¶

APPLIES_TO: all B2C commercial practices before, during, and after transactions
MAXIMUM_HARMONISATION: Member States cannot be more or less strict

MISLEADING ACTIONS (Art. 6)¶

PROHIBITED: providing false information or presentation likely to deceive average consumer
REGARDING: product existence, nature, main characteristics, price, need for service/repair,
nature/attributes of trader, consumer rights, risks

MISLEADING OMISSIONS (Art. 7)¶

PROHIBITED: omitting or hiding material information consumer needs for informed decision
INCLUDES: hiding information in fine print, using ambiguous language, failing to identify commercial intent

AGGRESSIVE PRACTICES (Art. 8-9)¶

PROHIBITED: practices using harassment, coercion, or undue influence to impair consumer freedom
INCLUDES: persistent unwanted solicitation, threatening language, exploiting misfortune,
onerous barriers to exercising contractual rights, threatening legal action when no right exists

BLACKLISTED PRACTICES (Annex I) — always unfair regardless of circumstances¶

DIGITAL_RELEVANT:
- falsely claiming to be signatory to code of conduct
- displaying trust mark without authorisation
- claiming product approved when it is not
- bait and switch (advertising product with no intent to sell, pushing alternative)
- false urgency ("only 2 left!" when untrue)
- false claims about product reviews or endorsements
- presenting consumer rights as distinctive feature of offer
- creating, commissioning, or endorsing fake reviews/endorsements

GREEN CLAIMS (Directive 2024/825 — transposition by Mar 27, 2026)¶

NEW_PROHIBITIONS:
- generic environmental claims without recognised certification ("eco-friendly", "green", "sustainable")
- claims based on emissions offsetting alone
- sustainability labels not based on official certification or established by public authority
- durability claims without evidence

COMPLAINT HANDLING¶

LEGAL REQUIREMENTS¶

CONSUMER_RIGHTS_DIRECTIVE: must inform consumers of complaint handling mechanism
DIGITAL_CONTENT_DIRECTIVE: consumers must be able to complain about lack of conformity

BEST PRACTICES FOR GE CLIENTS¶

CHECK: clear complaint submission channel (email, form, in-app)
CHECK: acknowledgement within 48 hours
CHECK: substantive response within 14 days
CHECK: escalation path clearly communicated
CHECK: records retained for at least 3 years
CHECK: complaint data analysed for systemic issues
CHECK: free of charge (cannot charge for complaint handling)

DUTCH SPECIFICS¶

REGULATOR: ACM monitors complaint handling
CONSUMER_ORGANISATIONS: Consumentenbond active in collective actions
COLLECTIVE_ACTION: WAMCA (Wet afwikkeling massaschade in collectieve actie) since 2020
EXAMPLE: Stichting Privacy claims against Big Tech under WAMCA

ADR/ODR — ALTERNATIVE DISPUTE RESOLUTION¶

ODR PLATFORM — DISCONTINUED¶

STATUS: EU ODR Platform closed Jul 20, 2025
REASON: low usage — only ~200 cases/year forwarded to ADR bodies (2% of complaints submitted)
ACTION: remove ALL references to ODR Platform from client websites and T&C
REGULATION_REPEALED: Regulation (EU) 524/2013 — ODR provisions no longer apply

NEW ADR FRAMEWORK (Directive 2025/2647)¶

ADOPTED: Dec 16, 2025
IN_FORCE: Jan 19, 2026
TRANSPOSITION_DEADLINE: expected ~2028

KEY_CHANGES:
- expanded scope: digital products, pre-contractual claims, non-contractual disputes (discrimination, unfair practices)
- geographical expansion: traders outside EU now covered
- trader response obligation: 20 working days to respond to ADR entity (30 for complex cases)
- traders must provide written reasons for refusing to comply with ADR decisions
- Commission must develop interactive digital tool by Apr 20, 2026 (replaces ODR platform)

CURRENT OBLIGATIONS (until new framework transposed)¶

TRADERS MUST:
CHECK: inform consumers about ADR availability on website and in T&C
CHECK: identify relevant ADR entity for their sector
CHECK: state whether they commit to using ADR
IF COMPLAINT NOT RESOLVED: inform consumer of relevant ADR entity and whether trader will use it

DUTCH ADR ENTITIES¶

GENERAL: De Geschillencommissie (sgc.nl) — 65+ sector-specific commissions
DIGITAL: Geschillencommissie Thuiswinkel (online purchases)
FINANCIAL: KiFiD (Klachteninstituut Financiele Dienstverlening)
TELECOM: Geschillencommissie Telecommunicatie

PRODUCT LIABILITY (NEW Directive 2024/2853)¶

KEY CHANGES¶

REPLACES: Directive 85/374/EEC (nearly 40 years old)
IN_FORCE: entered force Dec 2024
TRANSPOSITION_DEADLINE: Dec 9, 2026
APPLIES_FROM: Dec 9, 2026

SCOPE_EXPANSION:
- SOFTWARE explicitly included as "product" — standalone software, AI systems, SaaS
- DIGITAL_MANUFACTURING_FILES: 3D printing files treated as products
- AI_SYSTEMS: AI that causes damage through its output

LIABILITY:
- strict liability (no fault required) for defective products
- manufacturer, importer, EU authorised representative all potentially liable
- if no EU manufacturer: fulfilment service provider liable
- online marketplace liable if no EU-based liable person identifiable

RELEVANCE FOR GE¶

IF GE builds software deployed to market under client brand: client is manufacturer
IF GE builds AI feature that causes damage: both GE and client potentially liable
IF defect traceable to GE's code: client may seek recourse from GE

ACTION: Eric must include liability allocation clause in all client contracts.
ACTION: Julian must ensure defect logging and update mechanisms meet PLD requirements.

DISCLOSURE OF EVIDENCE¶

NEW: courts can order defendant to disclose relevant evidence
LOWERS burden of proof for consumers in complex technical cases
IF defendant refuses disclosure: defect presumed

DIGITAL CONTENT CONFORMITY (Directive 2019/770)¶

SCOPE¶

APPLIES_TO: contracts for digital content or digital services supplied to consumers
DIGITAL_CONTENT: data produced and supplied in digital form
DIGITAL_SERVICE: service allowing creation, processing, storage, or access to data in digital form

CONFORMITY REQUIREMENTS¶

SUBJECTIVE (Art. 7 — match contract):
CHECK: matches description, quantity, quality, functionality as per contract
CHECK: fit for particular purpose consumer made known and trader accepted
CHECK: delivered with all accessories, instructions, updates as per contract

OBJECTIVE (Art. 8 — match reasonable expectations):
CHECK: fit for purposes for which same type normally used
CHECK: normal quality and match public statements by trader
CHECK: delivered with accessories and instructions consumer may reasonably expect
CHECK: matches trial version or preview

UPDATE OBLIGATION (Art. 7(3))¶

MUST supply updates necessary to maintain conformity for:
- contract duration (continuous supply)
- reasonable period (single supply)
INCLUDING: security updates, bug fixes affecting conformity
INFORM: consumer of available updates and consequences of not installing

CONSUMER REMEDIES¶

BRING_INTO_CONFORMITY: repair or replacement without significant inconvenience
PRICE_REDUCTION: proportionate reduction if conformity not achieved
TERMINATION: if defect not minor, or if conformity cannot be achieved
DAMAGES: according to national law

BURDEN OF PROOF¶

WITHIN 1 YEAR of supply: any lack of conformity presumed to have existed at supply time
TRADER must prove conformity existed if they dispute within that period

ENFORCEMENT LANDSCAPE¶

AUTHORITIES¶

EU-LEVEL: CPC Network (Consumer Protection Cooperation) — cross-border enforcement
DUTCH: ACM (Autoriteit Consument & Markt)
SECTOR: specific regulators (e.g., AFM for financial, AP for data protection)

RECENT ENFORCEMENT (2025-2026)¶

TEMU: ordered to change practices (misleading discounts, fake urgency, dark patterns)
SHEIN: EUR 150M (cookie consent) — overlapping GDPR/consumer protection
BOOKING.COM: investigated for pressure selling ("only 1 room left")
RYANAIR: targeted for drip pricing, hidden charges
APPLE: investigated for App Store practices under DMA + consumer protection

COLLECTIVE ACTIONS¶

REPRESENTATIVE_ACTIONS_DIRECTIVE: (EU) 2020/1828 — applicable since Jun 25, 2023
ENABLES: qualified entities to bring actions on behalf of consumer groups
DUTCH_IMPLEMENTATION: WAMCA — already produced major class actions
TREND: increasing consumer litigation in digital services sector

UPCOMING CHANGES¶

Requirement	Date	Status
Green claims (2024/825) transposition	Mar 27, 2026	TRANSPOSITION_DUE
Product Liability Directive transposition	Dec 9, 2026	UPCOMING
Withdrawal button mandatory	Jun 19, 2026	UPCOMING
New ADR framework transposition	~2028	FUTURE
EU Digital Omnibus (GDPR/consumer reform)	2031+	PROPOSED

IMPLEMENTATION CHECKLIST FOR GE CLIENTS¶

PRE-LAUNCH:
CHECK: all pre-contractual information provided (Art. 6 CRD checklist)
CHECK: price transparency — no hidden fees, prior price shown for reductions
CHECK: withdrawal mechanism — 14-day right clearly explained, model form provided
CHECK: withdrawal button implemented (from Jun 2026)
CHECK: complaint handling mechanism — clear, free, documented
CHECK: ADR information — on website and in T&C
CHECK: terms of service — reviewed against unfair terms directive
CHECK: digital content conformity — update mechanism, remedies documented
CHECK: product liability — liability allocation in contract
CHECK: no dark patterns in UI (also DSA requirement)
CHECK: no misleading commercial practices (fake reviews, urgency, green claims)
CHECK: privacy compliance intersection verified (see privacy/ domain)

READ_ALSO: domains/eu-regulation/contract-law.md, domains/eu-regulation/digital-services-act.md, domains/eu-regulation/pitfalls.md