Newsletter 39 - 18 December 2017 Read the same newsletter in French here and in English here
Opportunity : a favorable ruling from the European Court of Justice on a major issue for luxury Recognition of the legitimacy of selective distribution for luxury goods This ruling recognizes the legitimacy of selective distribution for luxury goods and states: "A luxury brand may prohibit its authorized distributors from selling its products on a third-party internet platform such as Amazon". By this decision, the Court confirms the possibility granted to the luxury sector to choose, on the basis of objective criteria, its distributors of online sales. It confirms that a selective distribution system aimed at preserving the luxury image of products does not infringe competition law.
In its press release, "the Court recalls in this context that the quality of luxury goods results not only from their material characteristics, but also from the appearance and image of prestige that gives them a luxurious feeling. This sensation is an essential element of these products, insofar as they can be distinguished by consumers from other similar products. An attack on this luxury ‘feeling’ is therefore likely to affect the very quality of these products ". Business Impact: "The decision of the CJEU is a great recognition of the specificities of the luxury sector. It reinforces the omnichannel distribution strategy of French luxury houses, in which digital plays an essential role, and reaffirms the freedom of choice of their distributor, "says Elisabeth Ponsolle des Portes, General Delegate of the Comité Colbert. Judgement of the court
Risk reduction: capped claim for convicted board members
The indemnity-claims to be paid by board members when they are sentenced will be capped. This has been decided by the Minister of Justice, Koen Geens. In large companies, the claims that board members must pay out of their own pocket in the event of a conviction cannot exceed 12 million euros, according to a project by the Minister of Justice, Koen Geens (CD & V). When it concerns a small businesses, the cap is 125,000 euros. Important : The company as such remains liable for damage caused by its board members to third persons or companies. This is the case, for example, of offenses against the environment, non-compliance with security rules or the dissemination of false information, for example to persuade investors to buy shares of the company. Why providing a cap? "We want to make sure that the board members can find an insurance," says Hans De Wulf, an expert in corporate law from the University of Ghent, who collaborated on the project. "Nowadays, insurers sometimes refuse to cover risks that they cannot assess, and if a board member isn’t insured, victims are also not sure to be reimbursed."
INQUIRIES AND COMMENTS We offer you the opportunity to dive into the unique opportunities of our service through this booklet in English , Dutch and French. We also offer you the opportunity to give us feedback on your specific needs with regards to our Newsletters and Risk Trackers. This survey will take circa 5 minutes. Click here for the survey
LUPPO team Impact on businesses : By providing a procedure concerning our Newsletter and Risk tracker service, we are a compliant and effective partner in your intel cycle. For a tailor-made solution, contact our firm on the number + 32 478 230 616. JOIN US
Contact details : +32 478 230 616 info@luppo.be www.luppo.be
+32 477 41 56
Unsubscribe from this newsletter
Subscribe to this newsletter Copyright Š 2017 Luppo All rights reserved