New regulations on price information

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As of 28.05.2022, some regulations on price information have also changed. The Price Indication Ordinance has been fundamentally revised. We present the main changes to you.

The Price Indication Ordinance has been fundamentally revised and adapted to the requirements of the EU Directiveon better enforcement and modernization of consumer protection regulations.

Here are the most important changes to the regulations on price indications in the PAngV:

Price reductions

New regulations on price indications - PAngV, attorney, specialist attorney, competition law
© Vittaya_25 – stock.adobe.com

A number of innovations have been introduced in the regulations on price information for advertising with price reductions.

In the case of price reductions, reference must now be made to the lowest price within the last 30 days prior to the application of the price reduction. If prices are gradually reduced without interruption, reference can be made to the price that applied before the gradual price reduction began.

For new products added to the range, a comparison with the manufacturer’s recommended retail price (RRP) is permitted.

Base prices

For goods in pre-packages, open packages or sales units without wrapping that were offered by weight, volume, length or area, the obligation to indicate the basic price already applied until now.

The requirement to indicate the basic price in the immediate vicinity of the total price, which already did not comply with EU law, has now been amended to the effect that the basic price must beindicated next to the total price in an unambiguous, clearly recognizable and legible manner.

This also means that the total price and the basic price must be visible at a glance, so that there are no relevant changes to the previous practice of indicating the basic price below or next to the total price.

In future, the unit of measure for the basic price will generally be 1 kilogram, 1 liter, 1 cubic meter, 1 meter or 1 square meter. The previous exceptions for goods up to 250 g or 250 ml, where the basic price could be stated for 100 g or 100 ml, have been removed. However, the basic price for 100 g or 100 ml can still be indicated in future for goods offered by weight or volume, provided that this is in line with the general perception of the market. However, there is uncertainty as to what the general public perception is and how a judge will assess this in the event of a dispute. It is therefore advisable in future to state the basic price for 1 kilogram, 1 liter, 1 cubic meter, 1 meter or 1 square meter.

Deposit

If a refundable security such as a deposit is required, this may not be included in the total price or the basic price in future, but must be shown separately.

Conclusion on the amended regulations on price information

Retailers and companies must adapt their price information to the new regulations. The greatest need for action is likely to be in the units for the basic price, for goods with a deposit and for advertising with price reductions.

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