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INDUSTRIAL PROPERTY LAW

Council of Ministers approves the legislative decree implementing Directive (EU) 2019/2161 for the modernization of consumer law.

The Council of Ministers approved, in preliminary consideration, a legislative decree implementing Directive (EU) 2019/2161 of the European Parliament and of the Council of November 27, 2019, amending Council Directive 93/13/EEC and Directives 98/6/EC, 2005/29/EC and 2011/83/EU of the European Parliament and of the Council for better enforcement and modernization of Union rules on consumer protection.

The decree expands consumer protection in the case of contracts with unfair terms, unfair commercial conduct, unfair competition, or untruthful commercial communications with consequent changes to the regulation of administrative fines.

It is stipulated, among other things, that price reduction announcements must indicate the price charged in the previous 30 days; products that have been on the market for less than 30 days and perishable agricultural and food products are exempted.

In addition, the promotion of a good, in one member state, as identical to a good marketed in other member states, although significantly different in composition or characteristics, is also brought under the notion of misleading practice, and the list of information considered misleading is enriched to include indications regarding the characteristics of the provider.

The list of commercial practices considered misleading in any case is supplemented with those of: failure to clearly indicate paid advertisements in order to obtain a better product ranking; resale of tickets for events purchased using automated tools; and use of false product reviews or without having verified their authenticity.

With regard to the penalty regime: the maximum edictal limit relating to the sanction that can be imposed by the Competition and Market Authority (AGCM) in case of unfair commercial practice is raised from 5 to 10 million; in case of sanctions imposed on cross-border operators on the basis of information also acquired from European Authorities, the sanction is equal to 4% of the turnover achieved in Italy (failing that, the maximum edictal limit is 2 million euros); the maximum penalty that can be imposed by the AGCM for non-compliance with emergency measures and injunctions or the removal of the effects and commitments made is increased from 5 to 10 million euros; the consumer is allowed to bring an action before the ordinary courts in the case of unfair business practices; the penalty is set at 5. 000 euros to 10 million for violations of unfair terms. In imposing penalties, the AGCM also takes into account the economic and asset conditions of the trader.

Finally, the deadline for exercising the right of withdrawal is extended to 30 days with reference only to contracts concluded in the context of unsolicited visits to the consumer's home and excursions organized to sell products.

Translated with www.DeepL.com/Translator (free version)
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