May be fined one million for descriptive flavor descriptions
"Are you a beginner? We'll help you!". "Stop smoking with our starter packs!" "Irresistible fruit candy flavor" These expressions have made the Swedish Consumer Agency see red. Now, for the first time, the agency is suing a Swedish e-cigarette company for illegal marketing.
It was last spring that the Consumer Agency drew attention to the fact that Ecoswe (Ecocig) had texts and images that were inconsistent with the law's benchmarks. According to the lawsuit, Ecoswe promoted nicotine-containing e-liquids and e-cigarettes using value-laden descriptions, encouraging banners and enticing stickers, both on its website and on social media.
Ecocig for their part, say that they have done their best to change their product descriptions in dialog with the Swedish Consumer Agency's inspectors. According to one of the owners, this work has been ongoing throughout last year, Ash Abbasi.
"It is regrettable that KO chooses to make an example of us. We have tried with great effort to comply with current legislation. We are launching a new website in February which will look different", says Ash Abbasi to Vejpkollen.
Unclear rules
As Vejpkollen previously reported, the rules around marketing of e-cigarettes is difficult to interpret. A total ban, with some exceptions, applies to all products containing nicotine. Even several parts or the whole vejp device fall under the same law. In practice, this means that certain products can only be marketed in direct connection with a purchase. And then only in an online shop where it is possible to go pay directly to the cashier, not through banners or social media.
Product descriptions are allowed, but limited in that value words, enticing images and offers are not allowed. Positive customer reviews in connection with the products are also prohibited.
However, nicotine-free shortfills, batteries and several accessories are not regulated and can be freely marketed.
According to Ash Abbasi of Ecoswe, the law is difficult to follow. He says that even the Swedish Consumer Agency does not seem to know what the law is.
"We work with areas where the legislation is unclear, which is also clear from the claim. They themselves write that it is not clear from the law or its preparatory work what specific information may be provided. Or which images of products are authorized in connection with the sale of electronic cigarettes and refill containers on the internet" says Ash Abbasi.
"Non-moderate" presentations
According to Ida Nyström, legal counsel for the Consumer Agency in the case, it is, however, a case of gross negligence on the part of Ecoswe.
"The company makes several "non-messy" presentations of the products, there are also enticements in the form of free shipping and stickers pointing to sale prices." says Ida Nyström.
She also argues that the very name of the e-liquid, "Ecojuice", implies that the e-juice has some kind of environmental or health benefit. This is also illegal, according to the Swedish Consumer Agency.
One million in fines
This is the first time that the marketing of e-cigarettes has been tested in court. And according to Ida Nyström, case law is needed for the agency to be able to apply the law correctly in the future.
"I think it's an interesting case. It is a relatively new piece of legislation. As we see it, it is crystal clear. It will be interesting to see if the court agrees," she says.
In some cases, a case in The Patent and Market Court up to one year to reach a judgment. It all depends on whether the parties have the same view of what happened or not. The size of any fine depends on the company's turnover, but it can be up to one million crowns.
This can be devastating for smaller companies like Ecoswe. The company is run by five people and has three employees.
"The fact that the Consumer Agency chooses, due to unclear legislation, to use us for an indicative judgment will have devastating consequences for our company" says Ash Abbasi to Vejpkollen.
Read the full text of the lawsuit against Ecoswe (Ecocig) here:
The Swedish Consumer Agency vs the good taste
