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Regional Court of Frankfurt am Main’s decision on company’s climate neutral claims regarding frozen croquettes - judgment

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In December 2015, the Centre for Protection against Unfair Competition filed a claim in the Regional Court of Frankfurt a.M. against a company for its advertising on the packaging of frozen croquettes on the basis of § 5 para. 1 of the Act against Unfair Competition, arguing that it was misleading. The advertising claims were ‘100 % climate neutral’ and ‘the world’s first 100 % climate-neutral potato specialist. From the potato field to the retailer’s freezer shelf.’ On their website, the defendant clarified the statement as follows: ‘Being a climate-neutral company means that we try to avoid and reduce CO2-emissions. We offset the rest of our emissions by promoting projects that support renewable energy, energy efficiency and many other CO2-related issues.’

On May 2016, the Regional Court confirmed the misleading nature of the claim and found a breach of § 5 para. 1 of the Act against Unfair Competition, referring to the strict standard for environment-related advertising claims. It stated that not only had the defendant used the buzzword ‘climate neutrality’ but they had also made further statements which left the consumers with the impression that the production and distribution occurred entirely without CO2-emissions. However, this was inaccurate, as CO2 had been emitted in the process. The Court considered it irrelevant that the emissions had been compensated and that this was disclosed on the company’s website, as the consumer did not have this information at the time of the purchase decision. 

This judgment was appealed. The oral proceedings took place before the Higher Regional Court Frankfurt in 2017 and the defendant ultimately withdrew their appeal. The dates of the appeal and hearing are unknown.

Regional Court of Frankfurt am Main’s decision on company’s climate neutral claims regarding frozen croquettes

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An aim to achieve a quantifiable outcome within a given time-frame, set by an institution such as a national government.

Policy instruments are techniques or tools used by governing authorities to promote certain policies in order to achieve predetermined goals. Put simply, instruments are how a government tries to achieve its goals, with this taxonomy being focused on national policy instruments.

Risk is the potential for adverse consequences resulting from the dynamic interplay between (climate-related) hazards, exposure, and vulnerability of affected human or ecological systems.

Groups  of people who are adversely affected by climate change or the response to it

A set of principles, processes, and practices that build economic and political power to shift from an extractive economy to a regenerative economy.

Renewable energy means all forms of energy produced from renewable sources in a sustainable manner.

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Area of the economy in which actors engage in identical or related activities.

In human systems, the process of adjustment to actual or expected climate change and its effects, in order to moderate harm, increase resilience or exploit beneficial opportunities. In natural systems, the process of adjustment to actual climate change and its effects; human intervention may facilitate adjustment to expected climate change and its effects.

The management and allocation of funds, assets and investments to meet various objectives

A long-lived, colourless gas, chiefly emitted from fossil fuel combustion, deforestation and cement production.

This sector creates and distributes information and entertainment through television, radio, print, and digital platforms.

Either money or something of monetary value is transferred between two or more organisations, people or countries.

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This sector involves activities to move goods and people, alongside the storage of products.

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The activities of industries that transforms raw materials into finished goods through industrial processes.

Regional Court of Frankfurt am Main’s decision on company’s climate neutral claims regarding frozen croquettes - judgment

Policy instrument

Renewable energy

Greenhouse gas

Economic sector

Finance