CYPRUS Law and Practice Contributed by: Stelios Christophides and Vasilis Charalambous, George Z Georgiou & Associates LLC
average consumer to make a transactional deci - sion that they would not have taken otherwise. Overall, it seems that, due to recent legislation, several changes are set to emerge regarding deceptive adver - tising and advertising in general as there are now new means of advertising that are being used, and adver - tisers are applying new technologies and platforms to reach their target audiences. The Digital Services Act aims to regulate online platforms and services and will have a significant impact on advertising as it introduces several new restrictions and requirements for online platforms. Advertising is becoming more data driven and per - sonalised, and advertisers will need to abide by the requirements of the GDPR when processing personal data. 1.10 Taste and Cultural Concerns The standards that apply to all advertising claims, as stipulated in the CP Law 2021 and CARO’s Code, should be followed. 1.11 Politics, Regulation and Enforcement There have been no changes in the political climate or administration that have impacted the regulation of advertising and/or the enforcement of advertising regulations. The CP Law 2021 regulates unfair commercial prac - tices (Part II), as well as misleading and compara - tive advertising. The Law prohibits unfair commercial practices and defines these as those which go against the requirements of professional diligence and/or dis - tort, or are likely to substantially distort, the purchas - ing behaviour of the average consumer, and/or are misleading and/or are aggressive. More specifically, the Law lists certain practices that are considered to be misleading under any circum - stances, such as falsely claiming to be signatory to a code of conduct, represent unauthorised use of a 2. Advertising Claims 2.1 Deceptive or Misleading Claims Law on Consumer Protection
quality, certification, or other similar mark, or claim that a good can increase the chances of winning in games of chance. Furthermore, the CP Law 2021 defines both mislead - ing actions and misleading omissions which are con - sidered unfair commercial practices and are therefore prohibited. A misleading action occurs when an advertising prac - tice misleads through the information it contains or is presented in a manner that is likely to cause decep - tion (even if the information is factually correct) and causes, or is likely to cause, the average consumer to make an alternative transactional decision. If a trader omits material information or is presents information with a lack of clarity, with incoherence, in an untimely or ambiguous manner, or does not men - tion the commercial intent of a practice, if not already evident, and if this results in, or is likely to result in, the average consumer making a different transactional decision, it is inferred that this omission is misleading. Advertising Ethics Code Similar considerations are stipulated in CARO’s Code, according to which all marketing communica - tions must be truthful and not misleading. Marketing communications should not contain any statement or claim which, directly or by implication, omission, ambiguity, or exaggeration, is likely to mislead the consumer, with regard to: • the material characteristics of a product, such as: (a) its nature; (b) its composition; (c) the method and date of its manufacture; (d) its range of use; (e) its efficiency; and (f) its performance; • the value of the product and the total price to be paid by the consumer; • the terms for the product’ delivery, return, repair, and maintenance; • intellectual property rights such as patents, trade marks, designs and models, and trade names; and • official recognition or approval, including awards such as medals, prizes, and diplomas.
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