CROSS-BORDER TRADE AND CONSUMER PROTECTION

Consumer protection in cross-border trade is an important part of EU Private International Law. Special rules aimed at protecting consumers are included in the Brussels Ibis Regulation and the Rome I Regulation. Furthermore, the specific rules of jurisdiction over consumer contracts are contained in Section 4 of the Brussels Ibis Regulation (Arts. 17-19) while Art. 6 of the Rome I Regulation comprises the respective choice of law rules. The rules of jurisdiction over consumer contracts contained in Arts. 17-19 of the Brussels Ibis Regulation presuppose the existence of an international or cross-border element. Art. 17 determines the scope of application of the provisions on jurisdiction over consumer contracts, which excludes the application of the general rules, e.g. Arts. 4, 7 and 8. Furthermore, Art. 18 defines the criteria on which the court shall base its jurisdiction to hear consumer disputes, both in cases where claims are brought by the consumer and where claims are brought against the consumer. The last paragraph sets out a rule for a counterclaim. Finally, Art. 19 prescribes the conditions for the valid conclusion of the choice-of-court agreement, additional to general conditions in Art. 25. In addition to the conditions which have to be fulfilled for a consumer contract to qualify for protection under Art. 6 Rome I Regulation, there are also exceptions provided for certain types of contracts. In cases falling under the scope of Article 6 protection, the consumer and professional are allowed to choose the law applicable to their contract, to the extent that the consumer is not deprived of the protection granted by mandatory rules of law which would otherwise be applicable, i.e. the law of the country where the consumer has his habitual residence. The aim of this paper is to update legal practitioners on EU consumer protection legislation in cross-border trade for the purpose of its effective implementation in practice, especially in view of the EU Court of Justice case law interpreting these provisions.