E-FOOD: Closing the Online Enforcement Gap in the EU Platform Economy (Studies in European Economic Law and Regulation, 21)

Retail is ‘going digital,’ and grocery shopping is no exception. While some businesses are relaying on their corporate website to make the sale, both traditional brick-and-mortar and new disruptive business models are increasingly using online marketplaces to offer their products online. European Union law has been gradually updated to reflect this new reality, with Intellectual Property Rights legislation and Consumer Law leading the way toward a suitable regulatory framework in the Platform Economy. However, the EU has not devised a comprehensive strategy for tackling the challenges posed by the online sale of physical consumer goods, such as effective public enforcement in online environments. In fact, sector-specific legislation, including Food Law, largely ignores online transactions. In this context, the book evaluates the impact that online marketplaces are having on European Union sector-specific legislation and its e-nforcement . The goal is to assess whetherthe existing regulatory and policy framework are sufficient for promoting compliance and bridging the enforcement gap in the digital single market. Focusing on the e-food market, the book presents a state-of-the-art overview of how online marketplaces are altering EU law and its enforcement by public authorities. Foreword Effective Enforcement in the E-Food Market Acknowledgements Contents Abbreviations Chapter 1: Online Marketplaces: A Disruptive Environment for the Enforcement of EU (Food) Law 1.1 Introduction 1.2 Online Marketplaces in the `Platform Economy ́ 1.3 E-nforcement in the `Platform Economy ́ 1.3.1 Public Enforcement in the European Union 1.3.2 The E-nforcement Deficit 1.4 Relevance of the Problem: Unsafe Shopping in the E-Food Market 1.4.1 Online Suppliers in the E-Food Market 1.4.1.1 Traditional Retail Goes Digital 1.4.1.2 Internet-Based Retail B2B Goes B2C 100% Digital Food Business Operators 1.4.2 The Compliance Gap in the E-Food Market 1.4.2.1 The Landmark Case: Unauthorised Food Supplements 1.4.2.2 Poor Compliance with Food Information Law: A Visible Problem 1.4.2.3 Food Safety and Hygiene Online: The Larger Problem 1.5 Content of the Book References Part I: EU Law for the E-Food Market Chapter 2: The Developing History of Online Marketplace Regulation in the EU 2.1 Introduction 2.2 Evolution of the EU ́s Regulatory Policy for Online Retail 2.2.1 2000: Regulating `Intermediaries ́ and Electronic Transactions to `Bring Europe Online ́ 2.2.2 2010-2014: Designing an Ecosystem Favourable to Online Retail 2.2.2.1 The Harmonisation of Consumer Rights Online 2.2.2.2 First (Private) Enforcement Mechanisms 2.2.3 2015-2019: Regulating the Platform Economy 2.2.3.1 Online Marketplaces as `Providers of Online Intermediation Services ́ in the Platform-to-Business Regulation 2.2.3.2 The Omnibus Directive on Better Enforcement and Modernisation of EU Consumer Protection Rules, or How Online Marketpla... 2.2.3.3 Nudging Marketplaces Towards Enhanced (Enforcement) Responsibilities 2.2.4 Regulating Enforcement for the Platform Economy 2.3 Conclusions References Chapter 3: EU Food Law in the Platform Economy 3.1 Introduction 3.2 Food Information Law Online 3.2.1 Rules for Food Information in `Distance Sales ́ 3.2.2 Responsibility for Food Information in Online Marketplaces 3.3 Short Supply Chains in the E-Food Market 3.3.1 Case 289/16: Can Organic Products Be Sold `Directly ́ to Consumers Online? 3.3.2 Are Exemptions for Direct Sales Applicable Online? 3.4 Facing the `Collaborative ́ Economy: Are Peer Traders and `Sharers ́ Food Business Operators? 3.5 Conclusions References Chapter 4: Regulating Food Official Controls in the Digital Single Market 4.1 Introduction 4.2 Food Official Controls: Increasingly a EU Matter 4.3 EU E-nforcement Rules Under Regulation 6017/625 4.3.1 FBOs Obligation to Notify Online Activities 4.3.2 EU Regulation of Mystery Shopping 4.3.3 Official Controls on Parcels from Third Countries 4.3.4 Regulating the Order of Cessation of Online Sales 4.4 Conclusions References Part II: Bridging the Enforcement Gap in Online Marketplaces Chapter 5: Facing the Public E-nforcement Challenge in the E-Food Market 5.1 Introduction 5.2 Structural Challenges to Official Controls 5.2.1 The Identification Gap in Online Marketplaces: 5.2.2 Planning Risk-Based Controls 5.2.3 The Jurisdiction Puzzle 5.2.4 Execution of Enforcement Decisions 5.3 The EU Commission ́s Strategy to Bridge the E-nforcement Gap 5.3.1 Training and Knowledge-Transfer 5.3.2 Coordinated Control Online 5.3.2.1 Data Gathering 5.3.2.2 A Coordinated Control Plan on the Official Controls of Certain Foodstuffs Marketed via the Internet 5.4 Conclusions References Chapter 6: Germany ́s Take on E-food Control 6.1 Introduction 6.2 Construction of the German Central Unit for e-Food Control 6.3 Responsibilities of the Central Unit 6.4 G@zielt ́s Surveillance of the Digital Market of Foods 6.4.1 Mapping the German Market of E-foods 6.4.1.1 Legislation and Mapping 6.4.1.2 Towards Technology-Assisted Mapping? 6.4.1.3 Small Undertakings, Food Sharing and Mapping 6.4.2 G@zielt ́s Monitoring of the Digital Market 6.4.2.1 Performing Searches for Non-compliant Foods 6.4.2.2 Product Analysis and Test-Purchases 6.4.3 Measures in the Event of Non-compliance: The Role of Online Marketplaces 6.5 Conclusions References Chapter 7: The United Kingdom ́s Strategy for Bridging the Enforcement Gap 7.1 Introduction 7.2 A Note About the Administrative Structure of the United Kingdom and the Scope of the FSA ́s Strategy 7.3 The Food Standards Agency ́s Strategy for the Digital Market of Foods 7.3.1 Raising Business and Consumer Awareness 7.3.2 Capacity-Building to Ensure Enforcement 7.3.2.1 Facing the Identification Gap 7.3.2.2 Prioritizing Control Activities 7.3.2.3 Measures to Be Taken in Case of Non-compliance 7.4 Peer-to-Peer Trade Online 7.5 Conclusions References Chapter 8: Bringing EU Food Law and Its Enforcement into the Platform Economy 8.1 Introduction 8.2 Unmasking Online Retail 8.3 Planning Risk-Based Controls 8.4 Solving the Jurisdiction Puzzle 8.4.1 Domestic Organisation of Official Controls 8.4.2 A German-Inspired EU Unit Monitoring the Digital Single Market of Foods? 8.5 Private Execution of Public Enforcement Decisions: Are There No Limits? 8.6 Addressing Peer-to-Peer and Food Sharing Initiatives in the Platform Economy 8.7 Conclusions References Chapter 9: Conclusions: EU (Food) Law Is Not Fit for Purpose in the Platform Economy References Retail is 'going digital,' and grocery shopping is no exception. While some businesses are relaying on their corporate website to make the sale, both traditional brick-and-mortar and new disruptive business models are increasingly using online marketplaces to offer their products online. European Union law has been gradually updated to reflect this new reality, with Intellectual Property Rights legislation and Consumer Law leading the way toward a suitable regulatory framework in the Platform Economy. However, the EU has not devised a comprehensive strategy for tackling the challenges posed by the online sale of physical consumer goods, such as effective public enforcement in online environments. In fact, sector-specific legislation, including Food Law, largely ignores online transactions. In this context, the book evaluates the impact that online marketplaces are having on European Union sector-specific legislation and its e-nforcement . The goal is to assess whether the existing regulatory and policy framework are sufficient for promoting compliance and bridging the enforcement gap in the digital single market. Focusing on the e-food market, the book presents a state-of-the-art overview of how online marketplaces are altering EU law and its enforcement by public authorities. Retail is 'going digital,' and grocery shopping is no exception. While some businesses are relaying on their corporate website to make the sale, both traditional brick-and-mortar and new disruptive business models are increasingly using online marketplaces to offer their products online. European Union law has been gradually updated to reflect this new reality, with Intellectual Property Rights legislation and Consumer Law leading the way toward a suitable regulatory framework in the Platform Economy. However, the EU has not devised a comprehensive strategy for tackling the challenges posed by the online sale of physical consumer goods, such as effective public enforcement in online environments. In fact, sector-specific legislation, including Food Law, largely ignores online transactions. In this context, the book evaluates the impact that online marketplaces are having on European Union sector-specific legislation and its e-nforcement. The goal is to assess whether the existing regulatory and policy framework are sufficient for promoting compliance and bridging the enforcement gap in the digital single market. Focusing on the e-food market, the book presents a state-of-the-art overview of how online marketplaces are altering EU law and its enforcement by public authorities. .