Internal market & consumer affairs committee

1. Internal market & consumer affairs committee 20 March 2019

2. Agenda 10.30 Welcome 10:35 Consumer and digital issues 11.00 Speaker: Mr Ray Pinto, Digital Europe 12:00 IMCO Digital and Consumer Priorities 13:00 Lunch 14:00 Speaker: Mr Franz Ulberth, JRC 15:00 COMPET Single Market conclusion 15.30 End / A.O.B.

3. Ongoing files – state of play – Omnibus • Trilogue 21 March • Coreper 20 March on Council position vs EP amendments

4. Dual quality – wording Council (c) any marketing of a productgood, in one Member State, as being identical to the same productgood marketed in several other Member States, while thosethatproductsgoodhavehassignificantlymaterially different composition or characteristics, unless justified by legitimate and objective factors; Parliament Stating or otherwise creating the impression by its appearance, description or pictorial representation that a good is identical or seemingly identical to another good marketed in another Member State when it is not, unless these goods differ on account of clear and demonstrable regional consumer preferences, the sourcing of local ingredients or requirements of national law, while this distinction is clear and comprehensively marked so as to be immediately visible to the consumer.

5. Ongoing files – state of play – Collective redress • JURI vote in December 2019 -- Council still in discussions • EP improved Commission’s proposal • More robust criteria for qualified entities • More transparency for third party funding • Consumer mandate required at least from consumers from other countries • Safeguards such as ban on contingency fees, ban on punitive damages, and requirement for loser pays • Clarity still missing on • Impact on domestic actions • Cross-border actions

6. Consultation on Unfair Contract Terms • Unfair Contract Terms Directive 1993 • Minimum harmonisation • Impossible to harmonise due to very diverging transposition • Commission to publish guidelines – before summer • Stakeholders consultation • Members to receive draft guidance document and to comment by 8 April

7. Artificial Intelligence Speaker: Mr Ray Pinto Director for Member Relations and Digital Transformation, Digital Europe

8. Taking stock of closed filesLessons learned • SALE OF GOODS • Disappointment • Harmonisation not reached. New rules at higher level • Some rules need clarification – mainly smart goods • Do we approach the Commission for guidance? • Is any other action needed?

9. Taking stock of closed filesLessons learned • GEOBLOCKING • Despite overall flaws good lobby efforts • EuroCommerce FAQ – useful? • Commission report by March 2020 + every 3 years • Our evaluation to prepare feedback to Commission: by December 2019? Earlier? • Internal market and cross-border e-commerce, Admin and financial burden for traders resulting from non-harmonised consumer law • Territorial supply constraints • Is any other action needed?

10. Taking stock of closed filesLessons learned • Platforms to Business (P2B) • Overall balanced outcome – for platforms and business users • Dual role of EuroCommerce (represents) platforms and business users) – limited scope for position making • Do we need any clarification? Do we approach the Commission for guidance? Is any other action needed?

11. Taking stock of closed filesLessons learned • ACCESSIBILITY • Relatively low interest among members • Ecommerce and self service payment terminals covered but overall good outcome on long transition period • Transposition– 3 years -- Application 6 years after entry into force -- Services that were lawful may continue for 11 years -- Self service terminals that were lawful may continue for 20 years • Microenterprises in general not exempt but MS shall facilitate compliance • Documentation of non-compliance in case of disproportionate burden of assessment kept 5 years; upon request

12. Better presentation of information to consumers RECOMMENDATIONS for a better presentation of information to consumers • Voluntary industry principles developed with the Commission to facilitate compliance with information obligations • Sections covered • Improving consumers’ access to information • Mandatory consumer information • Standard Terms & Conditions • Changes to contract terms • Endorsement expected – 8 April – Can we endorse?

13. Information: Consumer Journey 1

14. Information: Consumer Journey 2

15. Information: Consumer Journey 3

16. Information: Consumer Journey 4

17. Upcoming priorities • Consumer issues • Price personalisation • Technology impact on consumers (information, rights, digital ethics) • Digital issues • Platforms: Liability, access to data -- need to discuss EuroCommerce position in view of the ecommerce directive revision • Artificial Intelligence – will be big (access to data, liability) • Availability of data • Data economy – EuroCommerce narrative under development: contractual freedom vs access to data • Cybersecurity? • Privacy beyond GDPR and ePrivacy

18. Top 5 issues for BEUC for 2019 EP elections

19. Where we’re heading – 2019-2021 strategy • DATA-PRIVACY (GDPR, e-privacy) • DATA-FLOW & ACCESS • CYBERSECURITY • AI - BLOCKCHAIN • PAYMENTS (fintech) • B2B (UTP/PLATFORMS) • DISTRIBUTION AGREEMENTS • TAXATION & VAT • IMPORTS FROM CHINA FAIR COMPETITION • PROTECTIONISM • EU SINGLE MARKET • ‘Retail Fit for the 21st century’ • CENTRAL & EASTERNEUROPE • TRADE AGREEMENTS • BREXIT • HEALTH & ENVIRONMENT • JOBS & SKILLS • TOWNS & SHOPS

20. IMCO future priorities – for discussion • AI • Data access and ownership – jointly with SUPCHAIN • Price personalisation • Remaining areas of consumer protection • UCTD guidelines – room for improvement • Sales and promotions • Platforms liability • Consumer information

21. Update dual quality • JRC – interim results study postponed • JRC – what about non-food • UCPD amendment– trilogue • HLF – final report to be published soon

22. Update JRC EU testing campaign dual quality products Speaker: Mr Franz Ulberth, Head of Unit, Fraud Detection and Prevention, Commission Joint Research Centre

23. COMPET Single Market conclusions • 8 March: EuroCommerce presented priorities in COMPET working party • 21 & 22 March European Council • 29 March, 8 & 16 April next COMPET preparatory meetings • 9 May: Sibiu Summit • 27 & 28 May: COMPET Council

24. Focus so far • Digital transformation • EU is part of global environment • Lack of commitment, fragmentation, overregulation • Enforcement at EU and national level

25. Concrete ideas put on the table • Implementation of recommendations retail communication • Ensure proper enforcement, application and interaction new rules first • National technical rules (including gold-plating) • Support territorial supply constraints • Infringement process & Rule of Law