ECJ: German Bottle Deposit Can Be Indicated Separately

Jul 28, 2023 Benn-Ibler Rechtsanwälte

The widespread practice in German grocery stores of displaying the bottle deposit separately had been challenged by consumer protection groups. The European Court of Justice (hereinafter ECJ), however, has ruled that this practice is necessary to protect consumers.

The deposit on bottles does not have to be included in the price that is displayed. As the deposit is not part of the retail price, it can be displayed separately.

The German Association for Social Competition (Verband Sozialer Wettbewerb, hereinafter Verband) brought an action for an injunction against a German department store chain. In one of its advertising flyers, the department store chain had printed the prices of some of its products without including the deposit in the price, simply adding ‘plus deposit’. The Verband considered this type of price marking to be unlawful. The German Federal Court of Justice (Bundesgerichtshof) asked the ECJ for a preliminary ruling on whether the term ‘selling price’ in EU Directive 98/6 should be interpreted as including the deposit.

According to the ECJ, the amount of the deposit could not be included in the final price on the basis of its wording alone, since the final price included only the amount that has to be paid by the consumer. However, it is possible to return the deposit paid and get it refunded in full. The aim of the regulation is to make it easier for consumers to compare prices. If the deposit were included in the purchase price, shoppers would not be able to easily compare prices.

In general, the incorporation of the amount of the deposit into the sales price carries the risk of consumers making inaccurate comparisons, as some products may be subject to a deposit while others are not, and different deposit amounts may apply depending on the type of container.

ECJ C-543/21 (29 June 2023)