Bulgaria proposes changes to Consumer Protection Act

Bulgaria

A new bill proposing significant amendments to Bulgaria’s Consumer Protection Act has been published for public consultations. The authorities are accepting suggestions and opinions from the public until 13 July after which the bill, or a modified version of it, is expected to be submitted to parliament.

One of the key objectives of the Bill is to create the conditions for the implementation of Regulation (EU) 2023/988 on general product safety. The Bill proposes an overhaul of existing product safety rules in the Consumer Protection Act. The proposed amendments will affect an extended circle of products, including products falling within the scope of EU harmonisation legislation, such as electrical and electronic equipment, cosmetic products, medical devices, motor vehicles, tobacco products and others. The proposed changes include provisions, which:

  • establish common rules generally applicable to all products placed on the Bulgarian market;
  • regulate online sales and sales conducted via online marketplaces and specify the obligations of the operators of online marketplaces in relation to product safety;
  • regulate the recall of dangerous products and the provision of legal remedies to compensate consumers in the event of such recall;
  • regulate the right of the competent authorities to conduct inspections, request information and documents from economic operators;
  • impose penalties for violations of EU rules on general product safety, some of which being as high as BGN 50,000 (approximately EUR 25,000);
  • designate the Consumer Protection Commission as the single national point of contact for Bulgaria in the Safety Gate rapid alert system for the exchange of information on corrective measures for dangerous products.

The Bill also introduces the requirements of Directive (EU) 2020/1828 on Representative Actions for the Protection of the Collective Interests of Consumers whose implementation in Bulgaria has been long due. In relation to this Directive, the following changes to the legislation have been proposed:

  • extending the range of claims that may be brought under the collective consumer protection mechanisms (i.e. “representative actions”) to include claims in new areas such as telecommunications, financial services, insurance, energy, travel, cosmetic products, data protection, etc.;
  • expanding the range of organisations qualified to bring representative actions for damages to include the Consumer Protection Commission;
  • incorporating а dedicated chapter establishing special procedural rules for representative actions into the Civil Procural Code. According to the new procedural rules, individual consumers will not generally be liable for the costs of proceedings in a representative action for damages and where such action is funded by a third party the courts will check for the existence of a conflict of interest;
  • In case of claims for damages, the courts will also determine appropriate measures to inform potentially affected consumers and give them the opportunity to join the representative action.  

For further information on the Bill, contact your CMS partner or the following local CMS experts: Nevena Radlova, Assen Georgiev, Yana Antonova or Anna-Maria Spasova.