The Court of Justice of the European Union (CJEU) ruled that national laws requiring specific language labelling for products sold online, including cosmetics, do not fall under the "coordinated field" of the EU's Directive on electronic commerce (Case C-88/23). The case involved Parfümerie Akzente GmbH and Swedish trade association KTF Organisation AB over the sale of unlabeled cosmetics in Swedish.
EU Electronic Commerce Directive and National Labelling Rules
In its decision, the CJEU clarified that the requirements relating to the labelling of goods, such as cosmetics sold online, are not part of the coordinated field covered by Directive 2000/31/EC, also known as the Directive on electronic commerce. This ruling stemmed from a legal dispute where KTF Organisation AB sought to prevent Parfümerie Akzente from selling cosmetics without Swedish-language labels through its Swedish website.
Under the directive, online service providers are generally bound by the laws of the Member State where they are established. However, the Court ruled that labelling obligations imposed by the country where the products are sold are not part of this coordinated field. Therefore, Member States have the right to enforce their own labelling laws on goods sold within their territories.
Labelling Obligations for Cosmetics
The ruling emphasizes that labelling obligations for products, including those sold online, are governed by separate EU regulations. Specifically, Article 19(5) of Regulation (EC) No 1223/2009 on cosmetic products allows Member States to require labelling in their national languages. Similarly, Directive 75/324/EEC allows Member States to mandate language use for aerosol dispensers. The Court ruled that such obligations aim to protect consumer safety and public health, thus falling outside the scope of the electronic commerce directive.
Implications for Online Retailers
The ruling reaffirms that businesses selling products online across the EU must comply with the specific consumer protection and public health requirements, such as labelling, of the destination country. In this case, Parfümerie Akzente must ensure that cosmetics sold to Swedish customers are properly labelled in Swedish, as required by local law.
This case builds upon previous rulings, including the 2020 decision in A (Advertising and sale of medicinal products online) (Case C-649/18), where the CJEU ruled that the sale and promotion of products online must comply with local product regulations. The decision reinforces the importance of consumer protection in cross-border e-commerce.
The Court’s decision underscores that, while the EU's electronic commerce directive facilitates cross-border online sales, national regulations regarding product safety and consumer information—such as language requirements for labelling—must still be respected.
