login
login
Image header Agence Europe
Europe Daily Bulletin No. 8377
Contents Publication in full By article 19 / 42
GENERAL NEWS / (eu) eu/internal market

Commission takes Belgium before Court of Justice for banning certain loyalty schemes

Brussels, 13/01/2003 (Agence Europe) - On Monday, the European Commission announced its decision to take Belgium before the European Court of Justice on account of national legislation limiting the scope for operating customer loyalty schemes. Belgian law on trading practices prevents the issuing of loyalty cards that enable consumers to accumulate points when making purchases from different suppliers and later exchange them for free products and services or price reductions. The Commission points out that it is "aware that, in practice, such loyalty schemes often operate on the Belgian market despite the legal ban". However, it points out, the prohibition provided for by Belgian legislation is "an obstacle to freedom to provide services and is thus in breach of Article 49 of the EC Treaty". The Commission considers that Belgian consumers are thus denied benefits enjoyed by other European consumers, and that the legislation also prevents companies from setting loyalty schemes in place when they operate in other Member States.

The Commission had opened infringement procedure in March 1999, after a complaint was filed by a company hoping to organise loyalty schemes in Belgium for various businesses providing products and services.

Contents

A LOOK BEHIND THE NEWS
THE DAY IN POLITICS
GENERAL NEWS
WEEKLY SUPPLEMENT