PACKAGING, LABELLING, ESG

MINI CHECKLIST

- Mandatory legal elements? (e.g. correct product designation, net quantity, allergens, importer/manufacturer/distributor details, etc.)

- Nutrition and health claims?

- Can I use this pictogram?

   

- Instructions for use?

- Potentially misleading claims

- Misleading imagery

PACKAGING INDUSTRY, LABELLING

In the modern economy, product packaging has evolved far beyond its original function: it has become a central element of consumer decision-making and brand building. Ensuring legal compliance of packaging and the information displayed thereon requires a thorough assessment of the applicable regulations for the given product category, as well as relevant industry-specific characteristics. It is also important to highlight that, depending on the product category, products may be subject to review by multiple regulatory authorities. In cases of non-compliance, significant legal fines may be imposed.

Our law firm assists clients in navigating the complex legal landscape of packaging and labelling, ensuring compliance with applicable requirements while preventing sanctions and legal disputes.

OUR SERVICES

  • Mandatory Information and Labelling: Legal review of mandatory content elements in accordance with Hungarian and EU legislation.
  • Legal Risk Assessment: Examination of whether product information contains misleading claims or unlawful wording.
  • Marketing Communications Review: Legal risk assessment of voluntary claims displayed on packaging – including references to product characteristics (e.g. “artisanal”, “unique”), origin, or health benefits.
  • Assessment of Green Claims: Legal validation of environmental claims (e.g. recyclability, reusability, biodegradability) to prevent misleading commercial practices.
  • Promotions and Temporary Information: Legal review of prize promotions, discounts, and market leadership claims displayed on packaging, including support in meeting substantiation requirements.
  • Sanctions and Regulatory Proceedings: Legal representation in proceedings related to incomplete or misleading labelling, with particular focus on preventing or mitigating substantial fines imposed by the Hungarian Competition Authority.
  • Commercial Contracts and Supply Chain: Drafting and reviewing supplier agreements, as well as ensuring consistency between packaging and advertising communications across the supply chain.

ESG LEGAL SERVICES

ESG (Environmental, Social, Governance) is no longer just a business trend but a fundamental element of companies' legal and strategic operations. European and international regulations are increasingly demanding stricter transparency and accountability in the areas of sustainability, social responsibility, and ethical corporate governance. The Hungarian Parliament has designated the Supervisory Authority for Regulated Activities (SZTFH) as the ESG authority. As of 2024, the Authority is responsible for the regulatory oversight of entities required to provide data, managing registration, accreditation, and regulation tasks, as well as operating the electronic platforms mandated by the ESG Act.

Our law firm assists clients in meeting ESG requirements while also helping them turn sustainability and social impact into a competitive advantage.

OUR SERVICES

  • Compliance and Internal Regulations: Tracking legislative changes, ensuring compliance with new regulations, identifying and implementing tasks, and aligning ESG requirements with other legal obligations (e.g., GDPR).
  • Corporate Social Responsibility: Legal support for employee rights and diversity, equity, and inclusion (DEI) programs.
  • Suppliers and Business Partners: Supporting data requests from suppliers, clients, and partners (responsible sourcing, data collection across the value chain, supply chain due diligence, audits, etc.). Conducting partner due diligence. Ensuring contract compliance and managing potential litigation.
  • Reporting Support: Assisting companies and institutions with their ESG processes and development plans (ESG due diligence, GAP analysis, stakeholder consultations, etc.), supporting related departments, and ensuring legal compliance of data reporting processes.
  • Transactions and Financing: Ensuring compliance with the ESG expectations of banks and investors, providing data and information about business operations. ESG now plays a role not only in traditional due diligence (DD) but also as an evaluation criterion during transactions.
  • Green Financing and Investments: Legal support for sustainable investments and the issuance of green bonds.
  • Governance Frameworks: Establishing transparent corporate governance structures and developing ethical codes of conduct (anti-corruption, conflict of interest, cybersecurity, competition compliance, etc.).
  • Supply Chain Due Diligence: Legal review of business partners' sustainability and human rights obligations.

ESG compliance is not just a legal obligation but a cornerstone of long-term business success. We help our clients build a sustainable future lawfully and consciously.