Consumer Protection by the ECJ in Unit-Linked Group Contracts: On Transparency, Liability and Nullity under the UCPD

Abstract: This case note addresses the ECJ\u2019s drafting of essential information to be given to a consumer in the event of a unit-linked group contract. This information enables consumers to make an informed decision. The ECJ subsequently qualifies the failure to transfer this information as a misleading omission under Article 7 UCPD, which in turn may result in a violation of the transparency requirement enshrined in the UCTD. Liability of the traders on whom the responsibility rests to furnish this informa- tion is also examined in this comment, as the ECJ makes a distinction between the responsibilities of traders and intermediaries. The Polish action for annulment when the traders infringe the UCPD was lastly deemed compliant with the UCPD and propor- tionate by the ECJ, thereby using a cross-reference to its case law in the field of consumer credits on the requirement that national sanctions have to be effective, proportionate and dissuasive. The possible consequences of this cross-reference method are discussed afterwards