Omnibus Directive

Omnibus Directive - obligations for entrepreneurs in Poland

The Omnibus Directive, effective in Poland since January 1, 2023, has introduced significant changes to consumer protection. The new regulations increase the transparency of offers, eliminate fraudulent promotions, and introduce harsher penalties for violations. Polish businesses must adapt their operations to the new regulations, taking into account guidelines from the President of the Office of Competition and Consumer Protection (UOKiK) and case law.

Omnibus Directive – what has changed in Poland?

The new regulations apply to both brick-and-mortar and online retailers, as well as marketplaces. They aim to ensure greater transparency in the presentation of prices and promotional offers.

The most important changes:

1. Transparency of prices and promotions

• Retailers are required to disclose the lowest price for a given product 30 days before it goes on sale. This is intended to eliminate artificially inflating prices just before a sale, a common practice, especially before events like Black Friday.
• The obligation to provide the actual price applies to both online and stationary stores.
• All information about discounts must be clear and must not mislead customers.

2. Consumer reviews – fighting fake reviews

• Online stores and platforms are obliged to ensure that the published reviews come from real customers who actually purchased a given product or used a service.
• It is prohibited to publish false reviews and hide negative opinions.
• an obligation to inform consumers about the method of verifying opinions has been introduced – the entrepreneur should explain how he checks the authenticity of reviews.
• Violation of these rules may result in financial penalties and loss of customer trust.

3. New regulations for online platforms

• Trading platforms such as marketplaces must clearly indicate whether a seller is a business or an individual.
• Consumers must be aware that purchasing from a private individual does not give them the same rights as when purchasing from a trader (e.g. no right to return within 14 days).
• Platform operators are obliged to provide transparent information about the method of placing offers and the ranking criteria used in search engines.

What are the penalties for violating the regulations?

1. Penalties for entrepreneurs:

• The State Trade Inspection Authority may impose a fine of PLN 20,000 on a seller who fails to meet its price transparency obligations (Omnibus). If the entrepreneur repeats this violation three times within a 12-month period, they may be fined again – this time, the fine may be PLN 40,000.
• Additionally, it is possible to impose a fine of up to 10% of the entrepreneur's annual turnover in the event of a violation of the collective interests of consumers.

2. Penalties for persons holding managerial positions:

• up to PLN 2 million – if the violation was committed by a person holding a managerial or management position and had an impact on the use of illegal market practices.

Additional funds and obligations of entrepreneurs:

In addition to financial penalties, the President of the Office of Competition and Consumer Protection may:

• Order a change in market practices – the entrepreneur is obliged to stop using unfair practices, e.g. introducing changes to contracts or the method of communication with consumers.
• Obliging the entrepreneur to remove the effects of the infringement, which may
  include:
  • refund of unduly collected fees from consumers,
  • removal of abusive provisions from contracts,
  • publication of a statement or correction in the media.

Fines imposed by the President of the Office of Competition and Consumer Protection (UOKiK) can have significant financial and reputational consequences for businesses. In addition to monetary sanctions, the office may require companies to change their market practices and repair any harm caused to consumers. Businesses should therefore comply with competition and consumer protection regulations to avoid severe legal and financial consequences.