French Agricultural Company Fined €85,000 for Misleading Advertising
Paris, December 23, 2024 – The French Ministry of the Economy and Finance has announced an €85,000 fine against the company SOCIETE COMPTOIR AGRICOLE COMMERCIAL DE COGNAC (SIRET number: 905 720 512 00011).
The fine was imposed by the French Competition, Consumption, and Fraud Control Authority (DGCCRF) for misleading advertising regarding the company’s wine products.
According to the DGCCRF investigation, SOCIETE COMPTOIR AGRICOLE COMMERCIAL DE COGNAC engaged in the following deceptive practices:
- Using the term “Cognac” without proper authorization: The company used the term “Cognac” on its wine labels, despite not being authorized to do so. Under French law, only wines produced in the Cognac region can be labeled as such.
- Misleading claims about aging: The company claimed that its wines had been aged for longer periods than they actually had.
- False claims about geographical origin: The company falsely stated that its wines originated from specific vineyards, when in reality they did not.
The DGCCRF findings revealed that these deceptive practices had misled consumers, potentially leading them to purchase wines that did not meet their expectations or quality standards.
In addition to the €85,000 fine, SOCIETE COMPTOIR AGRICOLE COMMERCIAL DE COGNAC has been ordered to:
- Cease using the term “Cognac” on its wine labels.
- Rectify any misleading claims about aging and geographical origin.
- Publish a public notice acknowledging the deception and informing consumers of the correct information.
The Ministry of the Economy and Finance emphasized that it takes misleading advertising seriously and will continue to take action against companies that violate consumer protection laws. The DGCCRF will continue to monitor the wine industry and ensure that consumers are protected from deceptive practices.
This case serves as a reminder to businesses that misleading advertising can have serious consequences, including significant fines and reputational damage. It is essential for companies to be transparent and accurate in their marketing materials and to comply with all applicable regulations.
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