Advertisers now have to watch out with all advertisements that state a particular price or “starting from [price]". In our previous newsletter we already mentioned the decision of the Court of Justice in the Ving Sverige AB case. As soon as a price and product are mentioned in an advertisement there is already an “invitation to buy". This means that the advertisement must contain all sorts of additional information. This European case law is now getting a Dutch aftermath. The Dutch Advertising Code Committee was fairly flexible in recent years. The severe information obligations for an invitation to buy only applied if an ordering mechanism was actually referred to in the ad. This limited interpretation was favourable towards advertisers. Now the ECJ has spoken and the Advertising Code Committee was therefore forced to expand the definition of invitation to buy in September 2011. Consequence: as soon as an advertisement refers to a price, even a starting-from price, in combination with a product or service, then all kinds of other information must also be provided straight away: the main characteristics of the product or the service must be clear but also the manner of payment and delivery and the exact price including all taxes. Even the name of the trader must be stated. A great deal of information therefore. Luckily there is still hope: if there is not much space (a banner) or not much time (a radio or TV commercial) a reference to the website or a brochure suffices for example. But watch out: the Advertising Code Committee and the Court are strict. Therefore no illegible font and no vague sentences. Short and to the point in the main message is okay but also: keep it short and clear and bring the entire message across.
Ebba Hoogenraad
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office Emerald House Jozef Israëlskade 48-G Amsterdam, the Netherlands t +31 (0)20 - 305 3066 www.hoogenhaak.nl |
post PO Box 76780 1070 KB Amsterdam e info@hoogenhaak.nl f +31 (0)20 - 305 3069 chamber of commerce 34314579 |
Advertisers now have to watch out with all advertisements that state a particular price or “starting from [price]". In our previous newsletter we already mentioned the decision of the Court of Justice in the Ving Sverige AB case. As soon as a price and product are mentioned in an advertisement there is already an “invitation to buy". This means that the advertisement must contain all sorts of additional information. This European case law is now getting a Dutch aftermath. The Dutch Advertising Code Committee was fairly flexible in recent years. The severe information obligations for an invitation to buy only applied if an ordering mechanism was actually referred to in the ad. This limited interpretation was favourable towards advertisers. Now the ECJ has spoken and the Advertising Code Committee was therefore forced to expand the definition of invitation to buy in September 2011. Consequence: as soon as an advertisement refers to a price, even a starting-from price, in combination with a product or service, then all kinds of other information must also be provided straight away: the main characteristics of the product or the service must be clear but also the manner of payment and delivery and the exact price including all taxes. Even the name of the trader must be stated. A great deal of information therefore. Luckily there is still hope: if there is not much space (a banner) or not much time (a radio or TV commercial) a reference to the website or a brochure suffices for example. But watch out: the Advertising Code Committee and the Court are strict. Therefore no illegible font and no vague sentences. Short and to the point in the main message is okay but also: keep it short and clear and bring the entire message across.
Ebba Hoogenraad