Category: Regulation & compliance
EU’s New Environmental Claims Law Gets Green Light
On 17 January 2024, the European Parliament approved the text for a new European Union directive aimed at ‘empowering consumers for the green transition’ by banning the use of certain unsubstantiated generic environmental claims in the EU, such as ‘environmentally friendly’, as well as claims such as ‘climate neutral’ based on emissions offsetting schemes. It also regulates the use of sustainability labels and bans certain practices associated with early obsolescence of consumer products.
2023 Was a Year of Reform in Europe – What’s Next in 2024?
Rod Freeman and Tracey Bischofberger
2023 was a year of reform – the most active year of regulatory change we’ve seen in the products law space, with impacts that will be felt by product stakeholders for years to come. New requirements will need to be understood, and any required changes to products and processes will need to be planned and implemented. Below is our roundup of some of the highlights.
New Product Liability Laws One Step Closer in Europe
Edward Turtle and Tracey Bischofberger
In an important step forward, last week the European Union reached provisional (political) agreement on the text for the proposed revision of the EU’s Product Liability Directive 85/374/EEC (PLD). The PLD establishes a strict liability (i.e., no fault) regime to enable claimants to seek compensation for defective products across the EU, meaning claimants do not need to establish fault to claim successfully. As a result, it is the preferred way of making product liability claims in the EU. The revision is a significant development, as the PLD dates back to 1985 and has been virtually unchanged for nearly 40 years – with only very minor amendments in 1999.
EU Reaches Political Agreement on Groundbreaking New Rules for Corporate Sustainability Due Diligence Impacting US Companies
On 14 December 2023, the European Union (EU) announced that it had reached political agreement on the new Corporate Sustainability Due Diligence Directive (CSDDD or CS3D). Once adopted, the CSDDD will create new and far-reaching mandatory human rights and environmental due diligence obligations for EU and non-EU companies operating in the EU.
Are You Ready for the Product Security and Telecommunications Infrastructure Regime?
Edward Turtle and Corinne Robinson
The UK has introduced a new cybersecurity regime under delegated legislation which will apply to consumer connectable products from April 2024. The regime has a very broad scope (applying to most connected products) and a short lead time (less than six months from now), and there has been minimal publicity about the impact of the changes
Provisional Agreement Reached on Groundbreaking New Products Law: EU Ecodesign for Sustainable Products Regulation
Provisional agreement on the text of the new Ecodesign for Sustainable Products Regulation was reached by the European Union institutions on 4 December 2023. The ESPR will introduce a new, broad ecodesign framework that will empower the European Commission to adopt far-reaching sustainability requirements for product groups. It also will create new transparency requirements for products in the form of an EU ‘digital product passport’ and will ban the destruction of unsold clothing and footwear.
Provisional Agreement Reached on Proposed EU Cyber Resilience Act
Emma Bichet and Tracey Bischofberger
Provisional agreement on the text of the proposed new European Union Cyber Resilience Act (CRA) was reached by the EU institutions on 30 November 2023. The first regulation of its kind, the CRA seeks to impose new cybersecurity requirements, as well as requirements for conformity assessment and CE marking to demonstrate compliance with the new requirements, together with recall and reporting obligations, on ‘products with digital elements’. This is a broad concept that covers connected products, software and certain types of data processing.
EU Changes CSRD Thresholds to Reduce Sustainability Reporting Burden
In January 2023, the European Union adopted the Corporate Sustainability Reporting Directive (CSRD), which requires EU and non-EU companies meeting certain thresholds to file annual sustainability reports alongside their financial statements. On 17 October 2023, the European Commission adopted an amendment to the thresholds in the Accounting Directive, impacting which entities will need to file CSRD-compliant reports.
Plastic Packaging Tax: Lifting the Lid
David Wilson , Natasha Kaye , Jack Jones and Eerik Kukebal
In this post, we lift the (recyclable!) lid on plastic packaging taxes – a relatively new and evolving area of environmental taxation. We focus on the UK’s plastic packaging tax, highlighting areas of complexity and steps to take if you may be within its scope, and provide an overview of the approach(es) being taken within the European Union.
EU Advocate General Argues That Harmonized Technical Standards Must Be Freely Available
In a case brought by two nonprofit organisations against the judgment of the EU General Court (the EU junior court) upholding the European Commission’s decision refusing to grant access to four harmonized technical standards (HTS), the Advocate General (AG) argued that the Court of Justice of the European Union (the EU senior court) should annul the General Court’s judgment and the European Commission’s decision and order the European Commission to grant the two nonprofit organisations access to the standards.