OLG Frankfurt am Main specifies the responsibility of online marketplaces for violations of product safety law
The legal framework for operators of online trading platforms is becoming increasingly restrictive when it comes to the implementation and control of product safety regulations. A ruling by the Higher Regional Court (OLG) Frankfurt am Main dated June 25, 2021 (Ref.: 6 U 244/19) sets new standards in this context: The due diligence obligations arising from platform operation are thus not only abstract but become particularly concrete when legal violations have already been identified at individual traders.
Background: Product safety law in online trade
Electronic commerce simplifies access to international markets and offers numerous advantages to both companies and consumers. At the same time, there is an increased risk that unsafe or defective products may be marketed through such platforms. Legislation—particularly the Product Safety Act (ProdSG)—therefore sets clear requirements for market participants and increasingly holds platform operators accountable to ensure effective measures for compliance with relevant protection regulations.
Decision of the OLG Frankfurt am Main
Initial situation
In the initial case, traders offered various products on a large online platform—in this specific instance, eBay—that did not comply with German product safety regulations. After receiving multiple reports of violations by individual traders, the question arose to what extent the platform itself must take responsibility for repeated violations.
Key findings of the court
The OLG Frankfurt am Main clarified: If there are known or already judicially determined breaches of duty by a particular trader, it is not sufficient for the trading platform to merely rely on general inspection obligations. Rather, an extended responsibility arises: The platform is compelled to implement its own measures to exclude future legal violations by the already conspicuous contracting partner as much as possible.
The court justified this particularly by stating that the business model of online platforms is expressly aimed at providing third parties (traders) with access to consumers. This mediation structure is of particular importance in the area of product safety law. According to the court, the platform operator is in a significant control and influence position and, when there are concrete indications, cannot absolve itself of its secondary inspection obligations by merely citing general monitoring measures.
Impact on platform operators and traders
Differentiation of inspection and control obligations in individual cases
The ruling clearly differentiates between general and occasion-related inspection obligations. While it is not the obligation of a platform to comprehensively review the legality of all listed offers, these standards change when violations have already been identified or made known. In such cases, the platform operator must act independently and proactively to prevent similar violations in the future.
Significance for the design of company processes
For marketplace operators, the requirements for the internal implementation of inspection and control mechanisms have increased due to this case law. It is advisable to provide specific procedures for dealing with traders who have been flagged and to ensure the documentation of measures in accordance with legal requirements. Particularly, the risks of non-compliance—such as potential claims for injunctions, administrative actions, or conceivable consequences of violations in competition law—require appropriate risk management strategies.
Relevance for international providers
International operators of online platforms bringing products to the German market are also affected by the regulatory content of the decision. Overlaps between various national and EU regulations must be considered—for example, regarding the role of the platform operator as an indirect disrupter under German law or regarding product classification according to European standards.
Contextual classification in the law of digital markets
Development of jurisprudence
The ruling fits into a growing trend in jurisprudence to specify the duties and responsibilities of platforms in electronic commerce. The expert community anticipates further developments in light of new European regulations, such as the “Digital Services Act,” which places even stricter obligations on platforms in the EU.
Legal protection and ongoing proceedings
It should be noted that the ruling has become legally binding, though further norm-concretizing decisions are not generally precluded. The presumption of innocence for individual traders remains upheld in ongoing proceedings. The source of this ruling can be viewed at: urteile.news.
Summary and cautious contact option
The decision of the OLG Frankfurt am Main confirms a significant tightening of monitoring obligations for platform operators in connection with product safety violations. Designing efficient and legally secure processes is becoming increasingly important in digital sales and remains a challenge in view of increasing regulatory requirements. If questions arise regarding the implementation and risk minimization concerning product safety law requirements in online trade, the lawyers at MTR Legal are available for advisory services.