Know the obligations for providers of online marketplaces under the GPSR

REGULATION (EU) 2023/988

Know the obligations for providers of online marketplaces under the GPSR

On 12^th June 2023, the General Product Safety Regulation (EU) 2023/988 (GPSR) entered into force. This new regulation revises and updates the GPSD in light of new technologies. Ensuring better product safety is vital to protecting consumers and providing safe products.

Distance selling, including online selling, also fall within the scope of this regulation. Online selling has grown consistently and steadily over recent years, creating new business models, challenges regarding product safety, and players on the market.

In this case, providers of online marketplaces are new considered to be players on the market and as such they have an obligation to comply with the new regulation.

The regulation states that a provider of an intermediary service using an online interface which allows consumers to conclude distance contracts with traders for the sale of products is a provider of an online marketplace.

Online sales being accessible in the Member State in which the consumer is established or domiciled, is insufficient to consider that an offer for sale is targeted at European consumers. It is necessary to take into account other factors, such as geographical areas to which dispatch is possible, the languages available used for the offer or for ordering, means of payment, the currency used, or where the domain name is registered.

In short, an offer for sale should be considered to be targeted at consumers in the European Union if an economic operator directs its activities to a Member State.

Specific product safety obligations of providers of online marketplaces are as follows:

• There must be a single contact point of communication with Member States’ market surveillance authorities in relation to product safety issues.
• Providers of online marketplaces shall register with the Safety Gate Portal and shall indicate on the Safety Gate Portal the information concerning their single contact point.
• There must be a single contact point of communication with consumers in relation to product safety issues.
• There must be an internal process for product safety, which should include mechanisms enabling traders to provide:

• • information on the manufacturer established in the European Union or the responsible person according to Regulation (EU) 2019/1020 on market surveillance and product compliance; and
  • their self-certification committing to only offering safe products and additional identification information, in accordance with Regulation (EU) 2022/2065 on a Single Market For Digital Services, where applicable.
• National authorities or market surveillance authorities must be notified through the Safety Gate Portal about any complaint or sign indicating that a product is not safe.
• Must comply with the requirements indicated in Regulation (EU) 2022/2065 on a Single Market for Digital Services and amending Directive 2000/31/EC (Digital Services Act).
• Mandatory information of the product available online includes:
  • Name, registered trade name or registered trade mark of the manufacturer, as well as the postal and electronic address at which the manufacturer can be contacted;
  • If the manufacturer was not established in the European Union, the name, postal and electronic address of the responsible person;
  • Information allowing the identification of the product (pictures, type and any other product identifier); and
  • Any warning or safety information to be affixed on the product or to accompany it in a language which can be easily understood by consumers.
• Trade must be suspended if the product is found to be unsafe and/or not compliant with the requirements of this regulation.
• Cooperation with the market surveillance authorities, traders and relevant economic operators in case of unsafe products.

Until 13^th December 2024, you have time to update your obligations.