German Court Cracks Down on Online Pharmacy Discount Displays
A recent ruling by the Frankfurt Regional Court has restricted how online pharmacies display discounted prices. The case involved Apo.com, which was challenged over its use of strike-through pricing for over-the-counter medications. The courtâs decision highlights stricter rules for price transparency in the cvs pharmacy sector.
The North Rhine Pharmacistsâ Chamber initiated legal action against Apo.com, arguing that its strike-through pricing misled customers. The Frankfurt court agreed, citing European Court of Justice rulings that require clearer price disclosures. It noted that consumers scrutinise cvs pharmacy prices more carefully than everyday purchases, increasing the need for accuracy.
Under German law, businesses advertising discounts must usually reveal the lowest price charged in the past 30 days. However, the court clarified that this rule does not apply when prices are compared to a manufacturerâs recommended retail price (RRP). The Cologne Regional Court had earlier supported this view, stating that RRP-based comparisons are not inherently misleading.
Online pharmacies frequently advertise discounts by referencing the manufacturerâs suggested retail price (MSRP) or the pharmacy retail price (PRP). The Frankfurt court found that consumers understand these comparisons relate to the PRP, not past in-house pricing. This distinction aligns with legislative updates to § 11 PAngV, which exempts non-binding RRP references from stricter disclosure rules.
The ruling contrasts with cases in other sectors, such as the German Competition Authorityâs lawsuit against discount supermarket Netto for âprice yo-yoâ tactics. Unlike general retail, pharmacies must comply with additional transparency rules under the German Medicines Act (AMG) and the Pharmacy Operating Regulations (HWO). Platforms like MediPreis.de and Medizinfuchs.de, which compare pharmacy prices, must ensure their advertised savings are truthful and not deceptive under unfair competition laws.
The decision sets a precedent for how online pharmacies present discounts, reinforcing the need for compliance with both German and EU pricing laws. While RRP-based comparisons remain permissible, the ruling underscores the importance of clarity in cvs pharmacy advertising. Pharmacies must now ensure their price displays meet stricter transparency standards to avoid legal challenges.