One more year?

A year ago, we wrote that Hungarian legislation on adopting the guidelines about unfair trade practices accepted by the EU Commission in 2005, is to be passed by 11. June 2007 at the latest. As Dr. Judit Firniksz from the attorneys Réti, Antall és Madl Landwell has told us, the legislation procedure is way behind schedule. When legislation about informing customers and guaranteeing the freedom of choice comes into effect, some marketing strategies will automatically become illegal, as the legislation includes a list of practices automatically regarded as unfair. New legislation which contains amendments of four laws will bring a three level regulatory system to life. Bill no. T/5451. about B2B advertising will amend the law on advertising. Bill no. T/5448. about unfair trade practices regarding customers will be applicable to B2C cases. The practices blacklisted on the third level of regulation will make life harder for FMCG companies, as these will automatically lead to prosecution. New issues like the intentional nature of such offences will also need to be examined. It is still debated how intentional nature can be proved. It is conceivable that as advertising is an intentional form of behaviour, the intentional nature of misconduct will be assumed automatically as well.