The European Parliament backs the optional EU Contract law for b2c proposed by the EU’s Justice Commissioner (and European Commission Vice-President) Viviane Reding. Are all stakeholders and specialists from the legal traditions aware of the potential implications of such an optional law on the level of consumer protection for EU citizens? There needs to be more consultation, research and investigation on what bringing more coherence to contract law in Europe will mean for consumers. The press release stresses only „transaction costs (like adapting contractual terms and commercial policies or obtaining translation of the rules) and legal uncertainty“, but there is no mention of any impact assessment on potential outcomes for consumers when these decide to give up their national protection provisions in favour of the more business-friendly Law. Groups of academics and legal professionals, such as the EuSoCo Group want to look at the possibilities for this Optional Law to take account of more than just the transactional aspects of contracts.  Read press release below: (mehr …)

BEUC Press release 6 June 2011

EU Contract law – MEPs on the wrong track

The European Parliament votes this week Wednesday 8 on a report by MEP Diana Wallis (UK) supporting the European Commission’s proposal for a European contract law system.
The future European ‚Optional Instrument‘ or ’28th Regime’1, aims to establish a separate European system for contract law, as distinct from national law, which would govern day to day consumer contracts. Major concerns are held not only by consumer organisations, but by many stakeholders ranging from SMEs, major business representatives, to national law societies.
Fundamental flaws in the concept of an Optional Instrument for b2c contracts2 include the following:

• The Commission’s own EU-wide statistics found 79% of traders say the same legal rules across the EU would make little or no difference to boosting their cross border trade.
• ‚Optional‘ is not at all accurate: the business decides whether to use it or not, thereby deciding on the level of protection that the consumer would benefit from and putting the consumer in a ‚take it or leave it‘ situation.
• This instrument would create more complexity and daily confusion instead of more confidence and legal certainty not only for consumers but also for SMEs. It is unrealistic for consumers to make an informed choice between two legal systems (national and EU).

Monique Goyens, Director General of the European Consumers‘ Organisation (BEUC) commented:
„Vice President Reding’s ambition runs contrary to what consumers and SMEs want and expect the Commission to do to promote e-commerce. Instead, she pushes for high flying academic ideas which will not provide practical benefits to European citizens and contradict the Commission’s own statistics.“
„The stakeholders most concerned by this initiative, European consumers, SMEs and legal practitioners are aligned against it and have written jointly to MEPs asking them not to support it. An Optional Instrument will not help facilitating b2c cross-border transactions, but instead complicate them; in addition there is a clear risk that consumer protection standards will be weakened in many Member States.“

Expert Group Report on European contract law (May 2011)

„A European contract law for consumers and businesses: Publication of the results of the feasibility study carried out by the Expert Group on European contract law for stakeholders‘ and legal practitioners‘ feedback“

Following consultation (320 responses) of the Commission Green Paper on various legal instruments, the EU Commission wishes to propose an Optional Instrument (OI) for cross-border transactions covering all necessary rules for the life cycle of a contract between parties. On 3 May the Commission published the draft of 189 articles resulting from a one-year preparatory work by the 17 person Expert Group. EuSoCo should be a part of the discussions to be had following this feasibility study and should be involved in the preparation of any follow-up initiatives on European contract law.

(mehr …)

Results from the consultation on the “Green Paper from the Commission on policy options for progress towards a European Contract Law for consumers and businesses” can be found here: http://ec.europa.eu/justice/news/consulting_public/news_consulting_0052_en.htm.

Among the 319 responses they received is the EuSoCo Group’s submission (EuSoCo letter including our Declaration). It is located at the link above under the name “Europäischer Sozialvertragskodex – Code Européen des Contrats Sociaux – European Social Contracts Code – EuSoCo Group”

European Parliament’s Legal Affairs Committee approves a report favouring the elaboration of an optional European Contract Law

EP webpage here. Diana Wallis‘ report here. Read also the EU Comm’s press release (copied below). (mehr …)

Today,  we have sent a letter to Commissioner Reding with our view of their initiatives and the Green Paper and have included our EuSoCo Declaration from Hamburg 2010.

Here is the letter: EuSoCo Group – Green Paper ECL Response Jan2011

Luca Nogler, Udo Reifner

Der menschliche Makel – Principles of European Contract Law zwischen Merkantil- und Dienstleistungsgesellschaft

Inhaltsübersicht: 1. Einleitung. – 2. Die Freiheit vom Menschen – Merkantiles Arbeitsrecht – 3. Der geschützte Mensch: das soziale Arbeitsrecht als privatrechtliche Herausforderung in Europa. – 4. Der menschliche Makel im Zivilrecht. – 5. Vom Arbeitsrecht zum Verbraucherschutz. – 6. Der menschliche Makel im Allgemeinen Vertragsrecht – 7. Kauf und Miete im Vergleich – 8. Principles of European Contract Law zwischen Merkantil und Dienstleistungsgesellschaft.

Der menschliche Makel

Arbeitsrecht, Kreditrecht und Wohnraummietrecht – Ein Werkstattpapier

Note:  (Jan 2011)  Some of the links below are no longer working due to EC website and internal restructuring (e.g. former DG SANCO units in charge of contract law have been transfered to the competence of DG Justice, Fundamental Rights and Citizenship).

Updated link to consultation page: http://ec.europa.eu/justice/news/consulting_public/news_consulting_0052_en.htm

Green Paper German

Green Paper English

Green Paper Francais

Green Paper Italiano

——

EU-Commission publishes Green Paper on European Contract Law

We welcome contributions from all citizens and stakeholders, Member States, EU institutions, national, regional and local authorities, intergovernmental and non-governmental organisations, academia, social partners and civil society organisations.
From 01.07.2010 to 31.01.2011 (mehr …)

Note:  (Jan 2011)  Some of the links below are no longer working due to EC website and internal restructuring (e.g. former DG SANCO units in charge of contract law have been transfered to the competence of DG Justice, Fundamental Rights and Citizenship).

Updated link to consultation page: http://ec.europa.eu/justice/news/consulting_public/news_consulting_0052_en.htm

Green Paper German

Green Paper English

Green Paper Francais

Green Paper Italiano

Public consultation has opened: From 01.07.2010 to 31.01.2011.

IP/10/872

Brussels, 1 July 2010

European Commission seeks contract law solutions to smooth Single Market for consumers and businesses (mehr …)