Greenwashing, the act of making misleading claims about the environmental benefits of a product, service, or corporate practices, poses significant legal risks for companies operating in the European Union (EU) and Germany. Both regions have stringent laws that prohibit such deceptive practices under competition law, and there are even scenarios where criminal liability may arise. This article outlines the current legal framework, enforcement mechanisms, and recent judicial developments, emphasizing the importance of compliance to avoid severe penalties.
Category: Technology- & IT-Law
The use of generative AI models like ChatGPT, DALL-E, or Stable Diffusion has increased tremendously in recent years. These models can generate creative content based on user instructions, such as texts, images, or music. This capability for autonomous creativity is based on the fact that the AI models have “learned” from large datasets how to create such content. A significant portion of these datasets is protected by copyright, leading to substantial legal challenges.
In Germany, the protection of trade secrets is governed by the German Trade Secrets Act (GeschGehG), which was enacted in 2019 to implement the EU Directive 2016/943 on the protection of undisclosed know-how and business information against unlawful acquisition, use, and disclosure.
This directive aims to harmonize the protection of trade secrets across the European Union, setting clear standards and requirements for companies. Before the implementation of the GeschGehG, the protection of trade secrets in Germany was primarily covered under §§ 17-19 of the Unfair Competition Act (UWG). The new law provides clearer guidelines and expands the scope of protection, particularly by defining what constitutes a trade secret and what actions companies must take to secure these protections.
As environmental compliance becomes increasingly crucial for companies operating in Germany and the EU, understanding the regulations and potential penalties associated with environmental laws is essential. The German Federal Environment Agency (Umweltbundesamt, UBA) plays a significant role in enforcing environmental regulations, including the Battery Act (Batteriegesetz, BattG) and the Electrical and Electronic Equipment Act (ElektroG). Non-compliance can result in substantial fines and legal consequences that can affect a company’s operations and reputation.
This article provides an overview of the fines imposed by the UBA for violations of these specific laws and highlights key considerations for businesses to maintain compliance.
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AI washing in Germany
The term “AI washing” (also known as “AI washing”) refers to a practice whereby companies and organizations describe or market their products, services or projects as artificial intelligence (AI), even though this description is either misleading or greatly exaggerated. This shows that exaggerated advertising of AI products in the course of AI washing can result in tangible criminal liability.
Implementation of the NIS2 Directive in Germany: There are now draft laws on the implementation of the NIS2 Directive in Germany, and a clear line can be seen. In Germany, the NIS2 Directive is implemented by the “Act on the Implementation of the NIS-2 Directive and on the Regulation of Essential Principles of Information Security Management in the Federal Administration”. It is also known as the “NIS-2 Implementation and Cybersecurity Strengthening Act” or “NIS2UmsuCG” for short.
At the heart of it all is the German “BSI Act”: this law was originally created to regulate the competencies and measures of the Federal Office for Information Security (BSI). However, this law is increasingly being transformed into a set of cyber security regulations. This was already foreseeable with the German IT Security Act and has been enhanced with the IT Security Act 2.0. IT security in Germany – and Europe – is thus being raised to a completely new level and the economy in particular will have to dress warmly.
Note on the current status of the legislative process: The NIS2 Directive must actually be implemented by mid-October. However, draft bills have only been available since May 2024, which already raises doubts as to whether this will happen in time. With this in mind, a paragraph has been added on what delayed implementation means. The article has been updated to the status of the second draft bill (processing status: 24.06.2024).
Gaming behavior with regard to computer games on the computer has changed considerably in recent years: Where floppy disks and CDs used to be the norm, sometimes in combination with obscure-looking copy protection measures (I fondly remember the Mix’n’Mojo hub at Monkey Island, which, incidentally, is also available online today), today not only downloads prevail, but also completely new gaming cultures, some of which have shifted entirely to the online realm.
Massively Multiplayer Online Role-Playing Games (MMORPGs) such as World of Warcraft have heralded a real cultural change in this respect – and also completely new legal issues: whereas people used to be most concerned about how best to copy games, today other desires prevail. At a time when accounts cost money and virtual goods have a real market value, cheating in games is viewed very differently. This is also reflected in recent court decisions. Lawyer Jens Ferner, who works in the field of software law, including legal issues relating to online games, provides an overview.
Computer games and the law in Germany: The world of computer games has developed rapidly in recent decades and is now a major industry that delights millions of people worldwide. However, behind the colorful graphics and exciting stories lies a complex legal landscape that developers, publishers and other parties involved must take into account. The law governing the development of computer games encompasses numerous areas of law, from copyright and media law to data protection and the protection of minors.
A software development contract regulates the relationships and obligations between a client who wishes to have software developed and a software developer or a software development company.
The core of such a contract is to precisely define the specifications and requirements of the software to be developed in order to ensure that the end product meets the client’s expectations. In practice, however, it is precisely this part that is shied away from, firstly because it does not seem practicable, as requirements are always subject to change anyway, and secondly because people shy away from the work involved.
IT security services: IT security is – quite rightly – the dominant topic today and continues to play an increasingly important role in everyday life. The question of how to deal with it when companies engage external service providers to secure their systems is still somewhat out of focus.
This article provides a clear overview of what should be considered when drafting a contract for an IT security service in Germany in order to protect both parties – provider and customer.