MALTA Law and Practice Contributed by: Karl Tanti and Christine Borg Millo, AE Legal
the average consumer as outlined in Articles 51C and 51D. The Act focuses on practices that could materi - ally distort the economic choices of a specific group of consumers who may be more vulnerable due to fac - tors like age, mental or physical infirmity, or credulity. As a result, a case-by-case method is applied. 2.3 Substantiation of Advertising Claims The substantiation of advertising claims is guided by the Consumer Affairs Act and reinforced by EU legisla - tion such as the Unfair Commercial Practices Directive (2005/29/EC). In relation to the use of reviews, testimonials and endorsements in advertising, while no specific legis - lation exists in Malta, the Consumer Affairs Act pro - hibits: • falsely claiming endorsements from public bodies or entities; • creating, or commissioning individuals to submit, fraudulent consumer reviews or endorsements; and • misrepresenting genuine consumer reviews or social endorsements for the purpose of promoting products. It is further expected that reasonable and proportion - ate steps have been taken to verify that any consumer reviews originate genuinely from consumers who have actually used or purchased the product. 2.4 Product Demonstrations In Malta, there are no specific regulations or stand - ards dedicated solely to product demonstrations. However, the general principles and regulations in the Consumer Affairs Act aimed at ensuring transparency, fairness, and ethical conduct in marketing practices once again apply. 2.5 Endorsements and Testimonials No specific legislation exists in Malta pertaining to the use of testimonials and endorsements in advertising. 2.6 Environmental Claims In Malta, environmental claims in advertising are pri - marily governed by the Consumer Affairs Act, which prohibits misleading commercial practices, including
false or exaggerated environmental claims, referred to as “greenwashing”. While there is no specific legisla - tion dedicated solely to environmental advertising, the Act’s provisions on misleading advertising apply to all forms of communication, including environmental claims. At the EU level, the proposal for a Green Claims Directive aims to combat greenwashing by requiring companies to substantiate and independently verify environmental claims about their products and ser - vices. This directive mandates that businesses pro - vide clear, accurate, truthful and verifiable information regarding the environmental impact of their products. It also emphasises the need for substantiation based on scientific evidence and life cycle assessments. The Directive is set to be implemented by member states, including Malta, by 27 March 2026, with full applica - tion from 27 September 2026. 2.7 Disclosures Disclosures in advertising are primarily governed by the Consumer Affairs Act. The general rules require that disclosures: • Be Clear and Prominent: Any conditions, limita - tions, or exceptions must be presented in a way that is immediately visible and comprehensible. • Be Truthful and Accurate: Disclosures must not contradict the main claims of the advertisement or provide misleading impressions. • Be Timely and Relevant: Disclosures should appear at the point where the consumer makes a purchas - ing decision, so that they can fully understand the terms before committing. • Cover all Material Information: Any information that could influence the consumer’s economic behav - iour, such as price, duration, additional costs, or environmental claims, must be included in the disclosure. • Apply to All Media: Whether advertising online, on television, radio, or in print, disclosures must com - ply with these standards. When the advertising of products such as pharmaceu - ticals, food, tobacco, or alcohol, is regulated by spe - cific regulations, particular disclosure of health and/
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