CYPRUS Law and Practice Contributed by: Stelios Christophides and Vasilis Charalambous, George Z Georgiou & Associates LLC
According to Article 36 (7) of the CP Law 2021, a con - sumer may request an appropriate price reduction or withdraw from the contract if: • neither repair nor replacement is possible; • only repair is possible, but it failed; • the seller did not complete the repair within a rea - sonable time; or • the seller did not complete the repair. Pursuant to Article 45 of the Law, the seller who is selling at a discounted price shall ensure that:
Companies using AI should also follow the rules which are included in the GDPR and other legislation intend - ed to safeguard people when their personal data is processed. In order to operate, AI systems frequently need access to enormous volumes of data, some of which may contain personal data. The GDPR estab - lishes standards and demands for companies using AI to ensure that individuals’ privacy rights are protected. 8.2 AI-Related Claims According to the AI Act, providers must ensure that AI systems interacting directly with natural persons are designed and developed in such a way to as inform users that they are interacting with an AI system, unless this is obvious to a reasonably well-informed person, observant, and circumspect – taking into account the circumstances and the context of use. 8.3 Chatbots Transparency obligations for providers and deployers of certain AI systems provided by the AI Act should be followed (see 8.2 AI-Related Claims .) 9. Web 3.0 9.1 Cryptocurrency and Non-Fungible Tokens (NFTs) The regulation that governs the advertising of crypto- assets is the Regulation (EU) 2023/1114 on markets in crypto-assets (MiCA). Amongst other things, it requires the provision of clear and concise information to clients and persons interested in crypto-assets defined in the Regulation. Information contained in the crypto-asset White Paper as well as in the relevant marketing communications, such as advertising messages and marketing material, and including through new channels such as social media platforms, should be fair, clear, and not mis - leading. Advertising messages and marketing material should be consistent with the information provided in the crypto-asset White Paper. 9.2 Metaverse There are currently no specific laws or regulations in Cyprus that apply to advertising within the metaverse.
• the current selling price; or • the percentage of reduction,
has a general notice of the reduction which is clearly identifiable and is related to the product, is certainly clear, and is sufficient for understandability. 7.5 Automatic Renewal/Continuous Service Offers Annex IV of the CP Law 2021 contains a non-exhaus - tive list of clauses that could be considered as being abusive – eg, a clause which “automatically extends the validity of a fixed-term contract, in the absence of a consumer declaration to the contrary, where the deadline for not extending the contract has been set at a date which is too remote in relation to the actual contract termination date”. Consequently, whilst such a contract is theoretically possible, this sort of clause may breach the CP Law 2021.
8. Artificial Intelligence 8.1 AI and Advertising Content
The European Commission initially proposed a legal framework for artificial intelligence (AI) on 21 April 2021. Regulation (EU) 2024/1689 (“the AI Act”), which entered into force on 1 August 2024, provides a defini - tion of AI systems that is not constrained by specific technology. Additionally, it adopts a risk-based strat - egy that outlines set demands and obligations for the creation, entry into the market and application of AI systems within the EU.
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