Published by De Gruyter

Volume 1 Issue 4

Issue of European Review of Contract Law

Contents
Journal Overview

December 2, 2005

Editorial

Muriel Fabre-Magnan

Page range: 393-395

December 2, 2005

Faut-il conserver la cause en droit européen des contrats?

Jacques Ghestin

Page range: 396-416

December 2, 2005

The Unfair Commercial Practices Directive

Hugh Collins

Page range: 417-441

Abstract

In an examination of the main provisions of Directive 2005/29, the solutions adopted for a number of the key design issues are assessed. First, has the Directive overcome the problem of the inherent vagueness and unpredictability of a general clause that forbids unfair commercial practices? Second, is it the case that the Directive has no implications for contract law and competition law? Third, will the provisions requiring maximal harmonisation lead to a decline in consumer protection in some Member States? Fourth, will the new comprehensive duties to provide material information prove workable and affordable by business? The article also assesses the degree of protection afforded to vulnerable groups, and the extent to which the Directive will contribute towards building coherence in European contract law. L’examen des principales dispositions de la directive 2005/29 permet d’évaluer les solutions adoptées pour un certain nombre de questions clefs. En premier lieu, la directive a-t-elle résolu le problème du flou et de l’imprévisibilité inhérents à une clause générale qui prohibe les pratiques commerciales déloyales? En second lieu, est-il exact que la directive n’a pas de conséquences sur le droit des contrats et le droit de la concurrence? En troisième lieu, les dispositions exigeant une harmonisation maximale vont-elles conduire à un déclin de la protection des consommateurs dans certains Etats membres? En quatrième lieu, est-ce que les nouvelles et vastes obligations d’information seront-elles praticables et abordables dans le milieu des affaires? L’article évalue également le degré de protection accordé aux groupes vulnérables, et la mesure dans laquelle la directive pourra contribuer à construire une cohérence en droit européen des contrats. In dieser Untersuchung zu den wichtigsten Vorschriften der Richtlinie 2005/29 werden die Lösungen zu einer Reihe konzeptioneller Kernanliegen bewertet. Hat die Richtlinie erstens das Problem der Unbestimmtheit und Unvorhersehbarkeit einer Generalklausel zum Verbot unfairer Handelspraktiken überwunden? Stimmt es zweitens, dass die Richtlinie keine Auswirkungen auf Vertrags- und Wettbewerbsrecht hat? Werden drittens die Bestimmungen, die eine Vollharmonisierung erfordern, zu einem Rückgang des Verbraucherschutzniveaus in einigen Mitgliedsstaaten führen? Werden sich viertens die neuen umfassenden Pflichten zu substantieller Information für die Praxis als praktikabel und finanzierbar erweisen? Der Beitrag befasst sich schließlich mit dem Maß an Schutz für schwächere Gruppen und der Frage, bis zu welchem Niveau die Richtlinie zur Kohärenz im europäischen Vertragsrecht beitragen wird.

December 2, 2005

The Future of European Contract Law between Freedom of Contract, Social Justice, and Market Rationality

Brigitta Lurger

Page range: 442-468

Abstract

The present state of European contract law and its relation to the national contract laws of the Member States are unsatisfactory. The Commission’s initiatives to develop a ‘Common Frame of Reference’ and an ‘optional instrument’ of European contract law risk neglecting important aspects of this project: the need for a coherent concept and theory of contract law (liberal, social, market-functional?), the need for a systematic integration of mandatory protective contract law into ‘general’ contract law, the need for a sound theoretical and methodological approach to the comparison of 25 legal systems and to the choice among alternative rules and solutions, and the flaws of the non-binding nature of the legal instruments that shall be proposed. This article explains the importance of the afore-mentioned issues for a future European contract law and describes ways to deal with those issues in an adequate manner. L’état actuel du droit européen des contrats et ses relations avec le droit des contrats des États Membres sont peu satisfaisants. Les initiatives de la Commission afin de développer un «Cadre commun de référence» et un «instrument optionel» de droit européen des contrats risquent de négliger des aspects importants de ce projet: la nécessité d’une notion et d’une théorie cohérentes du droit des contrats (liberale, sociale, fonctionnelle pour le marché?), la nécessité d’une intégration systématique d’un droit contraignant protégeant la partie faible dans le droit ’général’ des contrats, la nécessité d’une théorie et d’une méthodologie solides de comparaison des 25 systèmes juridiques et du choix parmi des règles et solutions alternatives ainsi que les faiblesses liées au caractère supplétif des instruments légaux qui seront proposés. Cet article explique l’importance des problèmes ci-dessus mentionnés pour le futur droit européen des contrats et décrit des voies pour un traitement adéquat de ces problèmes. Der gegenwärtige Zustand des Europäischen Vertragsrechts und sein Verhältnis zum nationalen Vertragsrecht der Mitgliedstaaten sind unbefriedigend. Die Initiativen der Kommission zur Ausarbeitung eines ‘Gemeinsamen Referenzrahmens’ und eines ‘optionalen Instruments’ des Europäischen Vertragsrechts laufen Gefahr, wichtige Aspekte dieses Projekts zu vernachlässigen: die Notwendigkeit eines kohärenten Begriffs und einer ebensolchen theoretischen Fundierung des Vertragsrechts (liberal, sozial, markt-funktional?), die Notwendigkeit der systematischen Integration des zwingenden Vertragsrechts zum Schutz schwächerer Parteien in das ‘allgemeine’ Vertragsrecht, die Notwendigkeit eines soliden theoretischen und methodischen Ansatzes für den Vergleich von 25 Rechtssystemen und für die Auswahl zwischen alternativen Regeln und Lösungen und die Schwachstellen des dispositiven Charakters der Rechtstexte, die vorgeschlagen werden sollen. Dieser Artikel erklärt die Bedeutung der soeben genannten Problempunkte für ein zukünftiges Europäisches Vertragsrecht und beschreibt Wege, diesen Problemen auf adäquate Weise zu begegnen.

December 2, 2005

English Court of Appeal – Khatun / Newham LBC

Jesse Elvin

Page range: 469-477

Abstract

The scope of the Unfair Terms in Consumer Contracts Regulations 1999 (UK) and Council Directive 93/13/EEC

December 2, 2005

European Community Legislation and Actions

Page range: 478-481

Abstract

A – Non-exhaustive list of non legislative and legislative proposals, acts, and actions B – The European Contract Law initiative – Preparation phase of the Common Frame of Reference C – The Directive on Professional Recognition

December 2, 2005

EC Financial Services – Developments 2002–2005

Stefan Grundmann

Page range: 482-494

Abstract

After an introduction dealing with the new codification trend for prudential supervision and with the three categories of financial services established there, the author turns to contract law proper. He starts out with a detailed description of the Financial Services Distance Marketing Directive, which covers all providers of financial services. In particular he deals with the modifications needed to the general EC regime on distance selling. He then turns to the three categories of financial services. Firstly he deals with commercial banking and three measures which have been recently enacted or proposed in this area: the proposed new Consumer Credit Directive, which might change the approach from an information model to a more interventionist model (with a duty of ‘sensible credit giving’); the Financial Collateral Arrangements Directive, which creates the framework for the Europewide recognition of collateral placed on financial instruments (bank accounts and securities); and the equal charging rule for credit transfers, which was introduced in 2001 by the Regulation on cross-border transfers of credits. The author continues with a description of the new measures in the second category – investment banking – namely the new Markets in Financial Instruments Directive (replacing the Investment Services Directive) and the Hague Convention on settlement systems (private international law). He ends by detailing the new measures in the insurance business, namely the Insurance Mediation Directive and the new version of the Insurance Block Exemption.

December 2, 2005

Other News

Christian Twigg-Flesner

Page range: 495-497

Abstract

SECOLA Annual Conference 2005 – ‘Standard Contract Terms in Europe’ Prague, 17/18 June 2005

December 2, 2005

Books Received and Book Reviews

Page range: 498-502

Abstract

Bettina Heiderhoff, Grundstrukturen des deutschen und europäischen Verbrauchervertragsrechts. Sellier ELP, München, 2004. ( Gralf-Peter Calliess ) Ferreira de Almeida, Carlos, Contratos I, 2ª edição. Coimbra, Almedina, 2003 Galvão Telles, Inocêncio, Dos Contratos em Geral , 4ª edição. Coimbra, Coimbra Editora, 2002 (Assunção Cristas)

About this journal

This Journal deals with contract law and serves as a pan-European platform for discussion and analysis. The concept of a European Contract Law is still rather recent: the phrase was first coined in the 1990s. Since the early 2000s when this journal was created, European Contract Law has come to encompass an increasingly comprehensive body of law. There were three driving forces behind this development: the EC harmonisation of laws in the area of the internal market, a generally increased interest in comparative law discussions in contract law, and the European Commission’s Communication on European Contract Law, the Commission’s Action Plan and the Common Frame of Reference process. These developments brought about a changed climate of discussion. The foundations of contract law, examined from many perspectives and in view of various national legal systems and an increasing number of disciplines, are currently being discussed in great detail in the European arena. In 10 years contract law may be the first area of European private law to be regulated in a fully fleshed out European Code.

European Contract Law comprises diverse areas of the law such as sales, standard contract terms, distribution chains, marketing practices, research and development agreements, contract law copyright aspects, financial and investment services contracts, insurance contracts and e-commerce as well as non-discrimination within and beyond labour law and more generally, important aspects of labour contracts and other symbiotic contracts.

The importance and breadth of the field and the methods and questions involved are such that ERCL has established itself as the specialised European journal in this area. Since 2004 the standard of information and discussions on this platform have been consolidated: ERCL discusses the body of law in three sections: articles, case law, and literature on EC Contract Law. This takes place mainly in book reviews and, in addition, contains short sections on the most recent EC legislation, sectoral developments, national developments and other news. The Review focuses on existing law at the EC level and all rules influencing the formation, content and execution of contracts from default rules to regulation, from marketing aspects to the content of contracts, from consumer (and also labour) law to general contract law. The Review is open to a variety of approaches and provides the opportunity to read traditional 'dogmatic' explanations of the upcoming and existing law, assessments through comparative law studies as well as economic analysis and discussions of the philosophical foundations and major structural features. The Review is and has been the site of intense discussion of proposals for codification or, more generally, systemisation and comprehensive development of contract law at the EC level. The European Contract Law Code is too realistic an option and much too important not to be thoroughly discussed as transparently as possible with as many competing ideas and approaches as possible. Several special issues have followed this process in great detail. The journal is meant to help in establishing a functional market of ideas in one of the core areas of private law and one of the most important areas of European private law. ERCL is the journal covering this large body of law and the modern solutions to the problems encountered.