Bill of law 8648 implementing Directive (EU) 2024/825 – empowering consumers for the green transition

Bill of law 8648 (Bill) modifying the Luxembourg Consumer Code aims to implement Directive (EU) 2024/825 as regards empowering consumers for the green transition through better protection against unfair practices and through better information (Directive).

The Bill is scheduled to enter into force on 27 September 2026.

Background

The Bill aims to implement the two principal objectives of the Directive: (i) to strengthen consumer information regarding product guarantees and warranties, product life cycles and their reparability; and (ii) to combat unfair commercial practices, particularly those relating to early obsolescence of goods, misleading environmental claims (‘greenwashing’), and misleading information concerning the social characteristics of products or companies.

In line with the mandate contained in the Directive, the EU Commission published Commission Implementing Regulation (EU) 2025/1960 on the design and content of the harmonised notice on the legal guarantee of conformity and of the harmonised label for the commercial guarantee of durability, which was adopted on 25 September 2025 and will enter into force on the same date as the Directive, i.e. 27 September 2026 (Implementing Regulation), references to which have been incorporated in the Bill.

Key points

I. Raising the bar on consumer information

To enable more sustainable purchasing decisions and increase demand for durable goods, the Bill introduces new information obligations concerning the following:

• Legal guarantee of conformity: traders must provide to consumers a reminder of the existence of the legal guarantee of conformity and must also display, in a clearly visible manner, the key elements of the legal guarantee, including its minimum duration (i.e. two years), both in-store and online, using the harmonised notice specified in Annex I of the Implementing Regulation.
• Commercial guarantee of durability: the Bill introduces a “commercial guarantee of durability” under which the producer is liable to the consumer for the repair or replacement of the product for the entire duration of the guarantee, once its durability is compromised. When a producer offers consumers a free commercial guarantee of durability covering the entire product for more than two years, and makes this information available to the trader, the trader must display this information prominently using the harmonised label specified in Annex II of the Implementing Regulation, along with a reminder of the legal guarantee of conformity.
• Reparability score: the Bill introduces the concept of a “reparability score” which should be based on harmonised requirements at EU level. The reparability score relates to the capacity of a product to be repaired. Where the EU mandates such a reparability score, information on repair, such as spare parts and repair instructions, must be communicated to the consumer.
• Information on repair: when the repairability score does not apply, and if the producer makes the information available, traders must provide the consumer with relevant details on the availability of spare parts necessary to maintain the product’s conformity, their estimated cost and the ordering procedure. The trader must also provide information on the availability of repair and maintenance instructions, as well as any restrictions on repairs.
• Software updates: for goods with digital elements, digital content and digital services, traders must provide consumers with information about the minimum duration (expressed as a period or date) during which the producer or supplier will provide free software updates, including security updates, necessary to maintain conformity of the goods.

II.  Broadening the scope of misleading practices

• Two new practices qualified as misleading actions
  • (i) The Bill prohibits environmental claims about future environmental performance – such as “natural”, “eco-friendly” or “biodegradable” – unless they are supported by clear, objective, publicly accessible and verifiable commitments in a detailed implementation plan with measurable targets, regular independent third-party verification and transparent reporting to consumers.
  • (ii) The Bill also bans advertising benefits that are irrelevant and do not result from any actual characteristic of the product or the company. This avoids the risk of the consumer being led to believe that a particular company or product is more environmentally or socially friendly than other products or companies of the same type. For example, this would be the case if a producer or a seller were to claim that a bottle of mineral water is gluten-free.
• One new practice qualified as misleading omission

According to the Bill, when a trader provides a product comparison service for environmental, social or circularity characteristics, information about the comparison methodology, the products and suppliers compared and how the information is kept up to date is considered substantial information and must be disclosed to the consumer.

• Twelve new practices to be qualified as misleading in all circumstances, including the following
  • (i) Displaying a sustainability label not based on a certification scheme or not established by a public authority
  • (ii) Generic environmental claims (e.g. “eco-friendly”, “climate neutral”) without demonstrating a corresponding “recognised excellent environmental performance”
  • (iii) Extending to the entire product/company a claim that only concerns a specific aspect of the product or activity of the company

III. Sanctions

The applicable sanctions are those that are generally in place for misleading actions, misleading omissions and actions misleading in all circumstances as per the Luxembourg Consumer Code. As a reminder, those who contravene these provisions may be held liable to a fine ranging between EUR 251 and EUR 120,000, a compliance order, or an action for cessation or injunction.

Furthermore, consumers may seek compensation for their losses through various available remedies, including mediation, individual action before the civil courts or, since October 2025, a class action.

Wider legislative context

The Directive needs to be considered in the wider context of the European Green Deal and the European Circular Economy Action Plan. It complements, among others, Regulation (EU) 2024/1781 (the Ecodesign for Sustainable Products Regulation or ESPR), which establishes mandatory product design standards for durability, reparability and recyclability.

Whilst the ESPR sets binding product requirements, the Directive ensures consumers receive standardised information about these characteristics through harmonised notices and labels, creating market incentives for sustainable design. The ESPR entered into force on 18 July 2024 and is directly applicable.

The Directive also anticipates the proposal for a Green Claims Directive. However, this was recently announced to be withdrawn, and its legislative status is currently uncertain. This directive would establish pre-market substantiation and verification requirements for environmental claims.

Together, these instruments create a coordinated framework that is fast evolving and needs close monitoring.

Next steps

To ensure compliance with the upcoming law, it is essential that producers and sellers reconsider their communication approach in line with their new obligations and refrain from commercial practices linked to greenwashing and early obsolescence that are now defined as misleading.