On October 3, 2024, the European Commission published a report evaluating the effectiveness of existing EU consumer protection laws in protecting consumers in the digital space.  More specifically, the report assesses the effectiveness of the following three consumer protection laws: (i) the Unfair Commercial Practices Directive (“UCPD”); (ii) the Consumer Rights Directive (“CRD”); and (iii) the Unfair Contract Terms Directive (“UCTD”).  It also identifies and analyses the main provisions in the DSA, DMA, Data Act, and AI Act that are of particular relevance for protecting consumers in the digital environment.  The report is the result of the 2022 public consultation we mentioned in our previous blog post.

The report found that the existing EU consumer laws are  not sufficiently effective in tackling current and emerging consumer harms in the digital environment.  The report will support the European Commission’s intention to start working a new EU consumer law called the “Digital Fairness Act”.  The new Act is expected to:

  • tackle new consumer risks in the digital space, such as dark patterns, addictive design and gaming, influencer marketing, personalization (of ads, rankings, recommendations and pricing/offers), contract cancellation, automated contracts in the context of connected devices, digital subscriptions, and generative AI systems (e.g., AI chatbots) and emotion-recognition AI systems;
  • provide for a greater degree of harmonization, further reducing differences in consumer laws at Member State level; and
  • ensure better enforcement, for example through the use of automated enforcement tools (e.g., automated market sweep tools), by strengthening the powers of consumer authorities to undertake joint enforcement actions, and by ensuring an increase in national and CJEU case law on consumer law in the digital environment.

This new regulation is expected to be proposed by the Commission in mid-2026.

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Covington & Burling regularly advises companies on all aspects of EU consumer law, as well as intersections with privacy, cybersecurity, and product safety laws.  We are happy to assist you with any inquiries related to compliance with EU consumer law.

Photo of Kristof Van Quathem Kristof Van Quathem

Kristof Van Quathem advises clients on information technology matters and policy, with a focus on data protection, cybercrime and various EU data-related initiatives, such as the Data Act, the AI Act and EHDS.

Kristof has been specializing in this area for over twenty…

Kristof Van Quathem advises clients on information technology matters and policy, with a focus on data protection, cybercrime and various EU data-related initiatives, such as the Data Act, the AI Act and EHDS.

Kristof has been specializing in this area for over twenty years and developed particular experience in the life science and information technology sectors. He counsels clients on government affairs strategies concerning EU lawmaking and their compliance with applicable regulatory frameworks, and has represented clients in non-contentious and contentious matters before data protection authorities, national courts and the Court of the Justice of the EU.

Kristof is admitted to practice in Belgium.

Photo of Anna Sophia Oberschelp de Meneses Anna Sophia Oberschelp de Meneses

Anna Sophia Oberschelp de Meneses advises on EU data protection, cybersecurity, and consumer law. Her practice covers the full range of Europe’s digital regulatory framework, including GDPR, ePrivacy, NIS2, the Cyber Resilience Act, the AI Act, the Digital Services Act, the Data Act…

Anna Sophia Oberschelp de Meneses advises on EU data protection, cybersecurity, and consumer law. Her practice covers the full range of Europe’s digital regulatory framework, including GDPR, ePrivacy, NIS2, the Cyber Resilience Act, the AI Act, the Digital Services Act, the Data Act, the European Health Data Space, and EU consumer protection law, including product safety, product liability, and consumer rights legislation. She focuses on the operational side of compliance — helping clients design policies and processes, draft documentation, and build the internal frameworks needed to meet regulatory requirements in practice.

She also advises on contentious matters, drawing on experience managing investigations before national regulators and proceedings before national courts and the Court of Justice of the European Union. She works closely with Covington’s disputes teams on matters at the intersection of regulatory compliance and litigation.