Unfair Competition Law European Union and Member States

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1 Unfair Competition Law European Union and Member States By Frauke Henning-Bodewig KLUWERLAW INTERNATIONAL

2 Preliminary Comment: Is There a European Unfair Competition Law? xv Chapter 1. Basic Considerations 1 I. "Unfair competition" as a separate field of law? Some (historical) observations 1 II. Demarcation from other fields of law 3 1. Tort law 3 2. Intellectual property laws 4 3. Consumer (contract) law 6 4. Antitrustlaw 7 III. Subject matters of unfair competition law 8 IV. The general clause and the definition of "unfair" 9 V. Enforcement 10 VI. Applicable law, multi-state conflicts, country-of-origin principle The "market-place" principle Country-of-origin principle 12 a. Article 28 EC and the country-of-origin-principle 12 b. Secondary Community law 13 Chapter 2. International Protection Against Unfair Competition 17 I. The Paris Convention Development of unfair competition law in the Paris Convention Risk of confusion, discrediting, misleading allegations and the general clause of "honest trade practices" 19 a. Risk of confusion 19 b. Discrediting competitors, misleading allegations 20 c. "Honest practices" 20 II. Trips 21 III. WIPO Model Provisions on Protection Against Unfair Competition 23 Chapter 3. Protection Against Unfair Competition Law on the Community Level 25 I. Primary and Secondary Community law 25 II. The role of the European Court of Justice 26 III. National Unfair Competition Law and Articles 28, 49 EC Basic principles of the ECJ 26 a. Article 28 EC 26 b. Article 49 EC Some landmark judgmentsof the ECJ 29 a. Article 28 EC 29 b. Article 49 of the EC Treaty 30 c. The benchmark of the "European Consumer"; the determination of deception 31

3 IV. Secondary Community Law: Directives, Regulations Basis of secondary Community law History and present State of harmonisation Directive 84/450/EEC concerning misleading advertising 36 a. Scope of application and purpose of protection 36 b. The concept of misleading 37 c. Criteria to determine the capacity to mislead 39 d. Enforcement Directive 97/55/EC concerning comparative advertising 41 a. Füll harmonisation 41 b. Scope of application and purpose of protection 41 c. The reference to a competitor 43 d. Misleading comparisons 44 e. Comparison of products for the same needs or purpose 46 f. Objective comparison of material, relevant, verifiable and representative features 46 g. Comparisons creating confusion 47 h. Discrediting or denigrating comparisons 47 i. Comparisons exploiting a competitor's reputation 48 j. Designations of origin, imitations, Special offers Directive 89/452/EC on Television Broadcasting Activities 49 a. Scope of application 49 b. Regulation of TV advertising 50 c. Regulation of Sponsoring 52 d. Minimum Standard and country-of-origin principle Directive 2003/33/EC on Tobacco Advertising Directive 97/7/EC on Distance Contracts Directive 2000/31/EC on Electronic Commerce 55 a. Scope of application, purpose of protection 55 b. Commercial Communications 56 c. Country-of-origin principle Directive 2002/58/EC on Privacy in Electronic Communications Directive 2005/29/EC on Unfair Commercial Practices 58 a. Relationship to other Directives and to national unfair competition law 58 b. Scope of application and purpose of protection 59 c. General clause 59 d. Misleading commercial practices Scope of application Misleading actions Misleading omissions "Blacklist" of misleading practices 62 e. Aggressive commercial practices Harassment, coercion, undue influence "Blacklist" of aggressive commercial practices 64 f. Enforcement 65 g. Internal market clause The Consumer Protection Cooperation Regulation The proposed Regulation on Sales Promotion 67 VI

4 Chapter 4. Unfair Competition Law in the Member States 69 I. Austria Austrian competition law in a nutshell e. Product- and media-specific advertising regulations 73 f. Other advertising regulations Risk of confusion Disparagement, defamation Misappropriation, imitation Impediment of competitors Breachofthelaw II. Belgium Belgian unfair competition law in a nutshell c. Aggressive advertising 82 d. Concealed advertising 82 e. Advertising rules for specific media and products Special sales methods, direct marketing Discrediting, denigration Misappropriation, slavish imitation, passing off Breachofthelaw Enforcement 85 III. Czech Republic Czech unfair competition law in a nutshell e. Product and media specific advertising regulations 89 f. Other regulations of advertising Risk of confusion Denigration, exploitationof reputation Misappropriation, imitation 91 vii

5 9. Impediment of competitors Breachoflaw Other forms of unfair competition Enforcement 91 IV. Cyprus Cypriot unfair competition law in a nutshell Misleading and comparative advertising Otherwise regulated advertising measures Advertising in the telecommunications area Impediment of competitors Misappropriation, imitation, risk of confusion 93 V. Denmark Danish unfair competition law in a nutshell e. Advertising regulations for specific product and media 97 f. Other advertising regulations Disparagement and denigration Misappropriation, risk of confusion, imitation Impediment of competitors Breachofthelaw Enforcement 101 VI. Estonia Estonian unfair competition law in a nutshell d. Product- and media-specific advertising regulation 103 e. Other regulations on advertising Information duties Direct marketing, specific marketing techniques Disparagement Passing off, imitation Impediment of competitors Enforcement 104 VII. Finland Finnish unfair competition law in a nutshell Vlll

6 e. Advertising regulations for specific products f. Other Regulations on Advertising 4. Information duties 5. Direct marketing 6. Sales promotion 7. Disparagement and denigration 8. Misappropriation, imitation 9. Breachofthelaw 10. Enforcement VIII. France 2. French unfair competition law in a nutshell d. Other advertising regulations e. Regulations for specific media and products 6. Disparagement 7. Danger of confusion 8. Misappropriation, imitation 9. Impediment of competitors 10. Breachoflaw IX. Germany 2. German unfair competition law in a nutshell e. Advertising regulation for Special products etc. f. Other forms of advertising 6. Disparagement and denigration 7. Risk of confusion; misappropriation 8. Impediment of competitors 9. Breach of the law 10. Enforcement X. GreatBritain 2. English unfair competition law in a nutshell 3. Advertisement IX

7 6. Defamation, disparagement 7. Danger of confusion 8. Misappropriation 9. Impediment of competitors 10. Breachoflaw XI. Greece 2. Greek unfair competition law in a nutshell e. Product and media specific advertising regulations f. Other advertising regulations 6. Denigration, disparagement 7. Danger of confusion 8. Misappropriation, imitation 9. Impediment of competitors 10. Breachoflaw XII. Hungary 2. Hungarian unfair competition law in a nutshell c. Disguised advertising d. Intrusive advertising e. Product- and media-specific advertising regulation (references) f. Other regulations on advertising 4. Information requirements 5. Direct marketing, specific marketing methods 6. Sales promotion 7. Disparagement 8. Passing off, imitations 9. Obstructive competition 10. Breach of statutory duty 11. Remedies, procedure XIII. Ireland 2. Irish competition law in a nutshell 3. Advertisement 4. Sales promotion 5. Direct marketing

8 6. Disparagement, denigration and misappropriation 7. Danger of confusion 8. Misappropriation; imitation 9. Impediment of competitors 10. Breachofthelaw XIV. Italy 2. Italian unfair competition law in a nutshell e. Other advertising regulations f. Media- and product-specific advertising regulations 6. Disparagement and denigration 7. Misappropriation, imitation, risk of confusion 8. Impediment of competitors 9. Breach of the law 10. Indications of geographic origin XV. Latvia 2. Latvian unfair competition law in a nutshell d. Product- and media-specific advertising regulation e. Other regulations on advertising 4. Information requirements 5. Direct marketing, specific marketing methods 6. Sales promotion 7. Disparagement 8. Passing off, imitation 9. Obstructive competition 10. Breachoflaw XVI. Lithuania 2. Lithuanian unfair competition law in a nutshell d. Product- and media-specific advertising e. Other regulations on advertising XI

9 xii 4. Information requirements Direct marketing; specific marketing methods Sales promotion Disparagement Passing off, imitation Impediment of competitors Breachoflaw XVII. Luxembourg Luxembourg's unfair competition law in a nutshell e. Product- and media-specific advertising regulations Denigration and disparagement Misappropriation, exploitation of reputation, imitation Impediment of competitors Enforcement 197 XVIII. Malta Maltese unfair competition law in a nutshell 198 XIX. Netherlands Dutch unfair competition law in a nutshell Regulation of advertising e. Other advertising 204 f. Product- and media-specific advertising regulations Direct marketing; Special sales methods Sales promotion Disparagement Misappropriation, exploitation of reputation, imitation Impediment of competitors Breachofthelaw Enforcement 208 XX. Poland Polish unfair competition law in a nutshell c. Disguised advertising 212 d. Intrusive advertising 213

10 e. Advertising rules for certain products and media f. Other regulations on advertising, specific marketing techniques 6. Disparagement, exploitation of goodwill 7. Passing off, imitation 8. Impediment of competitors 9. Breach of statutory duty 10. Sanctions, procedural rules XXI. Portugal 2. Portuguese unfair competition law in a nutshell e. Product and media specific regulations f. Other advertising regulations 6. Disparagement, danger of confusion 7. Misappropriation, exploitation of reputation, imitation 8. Impediment of competitors 9. Breachoflaw 10. Enforcement XXII. Slovak Republic 2. Unfair competition law of Slovakia in a nutshell e. Product and media specific advertising regulations f. Other advertising regulations 6. Danger of confusion, disparagement, misappropriation of reputation, imitation, impediment of competitors; breach of the law 7. Enforcement XXIII. Slovenia 2. Slovenian unfair competition law in a nutshell c. Other advertising regulations 4. Sales promotion Xlll

11 5. Danger of confusion Disparagement, exploitation of reputation Slavish imitation Impediment of competitors Enforcement 233 XXIV. Spain Spanish competition law in a nutshell e. Product and media specific advertising Prohibitions 238 f. Other advertising regulations 238, Special sales Danger of confusion Disparagement, denigration Misappropriation, imitation Impediment of competitors Breachoflaw XXV. Sweden Swedish unfair competition law in a nutshell d. Harassing, intrusive advertising 246 e. Advertising regulations for specific products and media 246 f. Other advertising regulations Information duties Direct marketing, Special methods of advertising Sales promotion Disparagement, exploitation of reputation Misappropriation, imitation Breachofthelaw Enforcement 251 xiv

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