Consumer protection

The Digital Markets, Competition and Consumers Bill (expected to be brought in force later this year or in the first half of 2025) is expected to raise the stakes considerably for B2C businesses, as infringements will be punishable by fines of up to 10% of worldwide turnover. It will also impose new requirements on subscription contracts, which are key to the business models of many consumer-facing businesses. For more, read our briefing and take a look at our Competition section.

B2C businesses should be aware that the EU is pursuing tougher measures to combat misleading "green" claims about consumer products and services:

• Green Transition Directive – aims to tighten up consumer protection law around green claims; and
  
  
• Green Claims Directive – sets out specific requirements businesses must meet before they can make promotional claims about the green credentials of a product or service. These include rules about the evidence required to support the claim, a requirement for pre-vetting by independent third parties and new rules about communicating claims (and linking to the supporting evidence via QR codes etc).

Although it's likely to be several years before the full package of measures is in force, businesses should start considering the implications for their long-term marketing strategy. For more, read our briefing.

After a software glitch incorrectly showed that a player had won £1 million in an online game, the Court of Appeal has ruled that former National Lottery operator Camelot did not need to make the £1 million payout, based on its "click-wrap" terms and conditions. Although this case is a useful confirmation that B2C click wrap terms actually work, it also highlights the importance of ensuring that relevant terms are clearly presented and that consumers have a reasonable opportunity to read them (even if they ultimately choose not to do so). The Court of Appeal also called for the Law Commission to conduct a fresh review of this area of law, noting that there is a tension between achieving fairness to consumers and enabling traders to protect themselves contractually. Our briefing looks at the lessons for other B2C businesses, particularly where the contract is made online.