Germany - Deceptive food labels à la "organic" or "fairtrade": fraud in german criminal law?

This article examines the question of whether a manufacturer is liable to prosecution for fraud if he sells food that is labeled, for example, as 'organic' or 'fairtrade' even though the product does not actually meet these criteria. In the present article, this legal question is examined based on the (objec- tive) offense of fraud under Section 263 (1) of the German Criminal Code (“StGB”), which provides a fine or a prison sentence of up to five years. In particularly cases such as commercial fraud, a prison sentence of up to ten years may be imposed. In order not to overload the article, the relationship be- tween the food producer ('seller') and the buyer is considered. In view of the international nature of this medium, this article merely aims to raise awareness of this criminal law issue. Therefore, the main features of the objective elements of fraud are presented and the legal opinions are summarized concisely. With regard to causality and the subjective elements of fraud, it can be anticipated in this constellation that no specific peculiarities are recognizable, which is why these points will not be discussed. In addition to the Section 263 (1) StGB discussed here, other criminal offenses may also be relevant.

Author(s):  Madak, N.

Published in: Compliance Elliance Journal (CEJ).