Legal News

What are ‘dupes’ and why do consumers buy them? ‘ Dupes’—an abbreviation of duplicates—are pitched as clever stand‑ins for premium items. Unlike counterfeit goods, which try to pass themselves off as the original under the original brand, dupes are framed as savvy alternatives to higher‑end products. Right now, they loom large across fast‑moving consumer goods ( FMCG), and especially in cosmetics, where influencer activity strongly drives demand. Owning an off‑brand replica was once something to keep under wraps, but in today’s fast‑paced, social‑media‑driven world that is no longer true. Shoppers aren’t pretending dupes are authentic; instead, they proudly present them as affordable substitutes. Across platforms— Tik Tok and You Tube in particular—users showcase budget‑friendly finds, attracting admiration for thriftiness and canny, strategic purchasing. Frugality has become a marker of taste and cultural cachet. Bloggers and influencers have been instrumental in the ‘dupe trend’ in recent years,...

In this issue: New technologies Internet Data protection Advertising, marketing and sponsorship Telecommunications Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information TMT Highlights 2024/2025 New technologies DSIT and DCMS launch consultation on copyright and AI framework The Department for Science, Innovation and Technology ( DSIT) and the Department for Culture, Media and Sport ( DCMS) have opened a ten-week consultation on proposals to overhaul the UK’s legal framework for copyright and AI. The exercise aims to reduce uncertainty in the current regime by introducing a copyright exception for AI training, whilst allowing rights holders to retain their rights. It also sets out fresh transparency obligations for AI developers and examines matters concerning personality rights in digital replicas. The government seeks to balance the interests of the...

The EU AI Act prohibits AI applications from being placed on the EU market that are considered to create an unacceptable threat to individuals’ safety and fundamental rights. In November 2024, the Commission opened a consultation to shape guidance that will spell out the prohibitions (see: LNB News 13/11/2024 69). At the same time, it has closely worked with EU Member States via the European AI Board. A board subgroup focused on the bans met on 29 November 2024, and national governments were urged to put forward concrete and pertinent examples. AI Board update On 10 December 2024, the Commission briefed the board’s senior representatives, for the first time flagging the examples under review for forthcoming guidance in a presentation seen by MLex. That presentation indicated the new guidance will be accessible for non-specialists, clearly define the scope and key notions, and set out a broad...

The EU’s AI Act All entities that create or deploy AI must, under the EU’s AI Act, make sure—so far as they reasonably can—that staff and any other people operating or using such systems for them have adequate AI literacy. This duty, which captures virtually every organisation employing AI, begins to apply on 2 February 2025. However, Member States have until August 2025 to designate the market surveillance authorities tasked with policing this obligation. At the European AI Board’s meeting on 10 December 2024, the Commission shared a progress update on work to put this rule into practice. To date, it has indicated that its efforts have focused on mapping literacy requirements, obstacles, and leading practices for AI builders and users, within the framework of the AI Pact—the voluntary scheme through which tech firms can get ahead on meeting the Act’s demands. This...

In this issue: Information technology Internet Data protection Media Advertising, marketing and sponsorship Telecommunications Daily and weekly news alerts New and updated content Dates for your diary Trackers Latest Q& A Useful information Information technology Recast EU Product Liability Directive now in force The European Commission has confirmed that Directive ( EU) 2024/2853, the revised Product Liability Directive, took effect on 8 December 2024. The regime introduces a modern framework enabling victims to claim compensation for harm caused by defective products, including personal injury, property loss and damage to data, while offering greater legal certainty to economic operators. It covers all products, from household goods to AI, software and product-related digital services, as well as items sold online. Under the updated rules, the Commission will also create a publicly accessible EU database of court...

The main impact of DORA DORA DORA is reshaping the financial services landscape, altering how organisations manage operational risk and keep critical operations going during disruption. The regulatory focus has shifted from protection to resilience — a broader idea that spans preventing disruption, mitigating incidents, addressing consequences and recovering from disruptive events. For financial entities, DORA introduces a structured set of requirements that will compel organisations to re‑evaluate: data, cyber and contractual governance risk management policies and processes technology estates and testing methods incident management framework technology and data contracts These organisations already operate under extensive regulation, but DORA’s fresh requirements will bring further scrutiny and operational adjustment, adding another layer of rigour and cost. DORA also has wide reach, applying to both intra‑group and external information and communication technology ( ICT) service providers and creating a...

Speaking at the International Artificial Intelligence Summit on 4 December 2024, Renate Nikolay, the deputy Director‑ General of the Commission’s digital department, confirmed the initiative is scheduled for launch in 2025. She noted the Commission has widely consulted stakeholders and will now press ahead with the proposal, which is expected to be included in the EU executive’s ‘work programme’, the document that sets out its plans for the next five‑year term that began on 2 December 2024. ‘ We will definitely come forward with our initiative on the Digital Networks Act to get the regulatory framework fit for the future’, she said. ‘ I think there is considerable momentum to move to the next step, and we really hope the Commission will present the blueprint next year’, Nikolay added......

In this issue: New technologies Internet Media Advertising, marketing and sponsorship Telecommunications Lex Talk®TMT: a Lexis®Nexis community Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information New technologies What the future of AI in financial services looks like AI is swiftly reshaping the financial services landscape. From tailored customer assistance to enhanced risk evaluation and tighter compliance, it is changing how institutions, consumers and markets function. On 31 October 2024, Sarah Breeden, the deputy governor of the Bank of England, reported the Bank had found that 75% of firms now employ some form of AI within their operations. Although the technology is still progressing, AI’s prospects across financial services are extensive and poised to make the sector more efficient, transparent and increasingly autonomous. Katie Simmonds, managing associate, Amy Battinson, solicitor, and Michael Lewis, partner, at Womble Bond Dickinson, assess expected AI trends in financial services, set out the...

In this issue: Internet Data protection Advertising, marketing and sponsorship Reputation management Technology sourcing Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information Internet Commons Committee has launched inquiry into social media algorithms The Science, Innovation and Technology Committee has begun an inquiry into how social media algorithms and generative AI relate to the spread of harmful online content. Triggered by the Summer 2024 anti-immigration riots, it will probe platforms’ roles in distributing false information. The review will evaluate the effectiveness of current and proposed rules, including the Online Safety Act 2023, and consider whether further interventions are needed. Written evidence is requested by 18 December, addressing issues such as algorithmic content ranking, business models, and responsibility for the dissemination of harmful material. See: LNB News...

Key trends and opportunities Financial institutions are increasingly deploying AI to streamline processes, improve customer experiences and reduce risk. Current uses span the areas below. Customer service chatbots AI-driven chatbots and virtual assistants provide instant, 24/7 answers to customer questions, use algorithms to assemble tailored client portfolios, and route complaints to the most suitable support teams. Financial crime prevention An early field of adoption sees machine learning applied to tasks from blocking suspicious payments and fraud through to supporting initial and ongoing customer due diligence—know your customer. Personalisation As data collection deepens and models grow more sophisticated, a major anticipated shift is greater product personalisation. Institutions already trial personalised financial guidance (robo-advice), yet AI could transform this—shaping offerings around a consumer’s life stage, spending patterns and future objectives. Looking forward, AI could construct personalised investment portfolios from real-time market data, individual risk profiles and long-term financial...

What has happened? An automatically delivered update to Crowd Strike Falcon (cyber security software built to oversee and safeguard computers) is, in numerous instances, triggering crashes on Microsoft Windows machines, leading to the notorious ‘ Blue Screen of Death’. Critically, indeed, the issue is especially severe as systems that fail in this manner become totally unusable in practice. As a result, hands-on remediation—and at times on-site presence—is needed to repair every impacted device individually (be that staff laptops, servers, cash points, e POS (electronic point of sale) units, etc). This remains true even though Crowd Strike has rolled back the update in question......

My Contracts Ltd v 74 Hamilton Terrace Freehold Ltd [2024] EWHC 2896 ( TCC) What are the practical implications of this case? This decision offers a timely reminder of the way time periods are to be construed within construction contracts, and acts as a useful sequel to the judgment in Elements ( Europe) Ltd v FK Building Ltd, which likewise involved a JCT form of contract. At bottom, though, it principally reiterates that the courts will give effect to the contractual text as agreed, and will decline to interpolate wording into a clause that the parties neither drafted nor intended. What was the background? My Contracts Ltd ( MCL) and 74 Hamilton Terrace Freehold Ltd (74HTF) entered into a contract based on the JCT Design and Build Contract 2016 edition, incorporating extensive bespoke amendments and dated 2 March 2023 (the Contract), for the execution of works...

In this issue: New technologies Internet Fintech Data protection Media Advertising, marketing and sponsorship Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information New technologies The role of acceptable use policies in AI With AI systems rolling out at scale, acceptable use policies ( AUPs) are increasingly central to meeting obligations under frameworks such as the EU AI Act. Barry Scannell and Leo Moore, partners at William Fry, explore why AUPs are needed, the difficulties they raise, approaches to enforcement, the part played by governments and industry self-regulation, and the rise of norms and policy proposals. See News Analysis: The role of acceptable use policies in AI. European AI Office publishes draft General- Purpose AI Code of Practice Barry Scannell and Leo Moore, partners at William Fry, assess the EU’s draft General- Purpose AI Code of Practice. See News Analysis: European AI Office publishes draft General- Purpose AI Code of...

Background to the appeal The question on this appeal concerns when a trade union may litigate, as a third party, for breach of an employment contract between employer and worker. Sections 1(1)(b) and 1(3) of the Contracts ( Rights of Third Parties) Act 1999 ( C( RTP) A 1999) create a default rule: where a contractual term grants a benefit to a third party who is expressly identified in the instrument, that third party can enforce the term in its own name. It applies only where the beneficiary is expressly identified within the contract and thereby conferred a benefit. The appeal turns on the proper reading of section 1(2) C( RTP) A 1999, which states that the default position is displaced if, construing the contract correctly, it appears the parties did not intend the term to be actionable by the third party. The...

Britain’s payments watchdog seems to have been given a fresh competitiveness brief, despite it not having gone through the usual parliamentary scrutiny. In a 14 November 2024 letter to the PSR, Finance Minister Rachel Reeves attacked clutter and duplication across payments oversight. She further indicated she expects the PSR to take into account the government’s plan to foster growth and international competitiveness. Unlike the Financial Conduct Authority ( FCA), the PSR lacks a defined aim to further UK growth and international competitiveness. The FCA’s competitiveness aim is secondary, sitting beneath its primary goals of safeguarding consumers and ensuring market integrity. Although this steer is not as clear-cut as the FCA’s statutory duty to enable the UK’s international competitiveness and growth over the medium to long term, it nonetheless seems to shift the PSR’s parameters. This arrives after months of discontent from fintechs about fraud...

What can we expect from the ASA in the ESG space? In April 2024, the ASA released its 2023 Annual Report, outlining a five‑year plan built on AI‑assisted collective regulation of adverts, shifting the system from complaints‑led cases to proactive monitoring and enforcement. This represents a notable pivot, positioning the ASA as a more visible and agile regulator within ESG. The report confirms that environmental claims continue to be a leading priority for the authority. James Best, Chair of the Committee of Advertising Practice, remarks that arguably the most significant long‑term endeavour of the ASA and CAP has centred on environmental claims. This includes clarifying the meaning of ‘green claims’ and setting expectations for how climate change and mitigating technologies should be presented in adverts. The ASA’s stepped‑up activity demonstrates this focus: in 2023 it issued new guidance on...

Monetise Media Ltd v Information Commissioner [2024] UKFTT 959 ( GRC) What are the practical implications of this case? This ruling offers clear guidance for advisers on PECR risk management and the Commissioner’s likely stance when a breach is alleged. Although the DPA 1998 applied at the material time, the insights below remain a helpful reference for penalty decisions under the Data Protection Act 2018: The FTT confirms that a company can commit a serious PECR infringement through third parties and affiliate marketing, even without direct control over customer databases or the marketing content. Familiarity with the relevant, in-force guidance at the point of any alleged PECR breach is crucial, as both the Commissioner and the FTT will afford it considerable weight during enforcement or on appeal. The decision highlights that the Commissioner will evaluate a business’s conduct during the...

In a significant step for AI oversight, the European AI Office has unveiled the inaugural draft of its General- Purpose AI Code of Practice (the Draft Code). Serving as a linchpin of the EU’s approach to building a sturdy regulatory architecture for AI, it steers providers towards compliance, accountability, and wider societal value. The Draft Code will be scrutinised by close to 1,000 stakeholders and refined through multiple consultation rounds, with the definitive text slated for publication in May 2025. Codes of practice and the EU AI Act The EU AI Act’s codes of practice, set out in Article 56, are not legally binding. Nevertheless, following these codes affords a ‘presumption of conformity’ with the Act’s duties for providers of general-purpose AI models until formal standards are in place. Thus, although participation is voluntary, alignment with the codes can function as proof of meeting...

The adaptability of general-purpose AI makes stringent AUPs essential to curb misuse. Without these rules, providers and users may unwittingly breach legal and ethical norms—particularly the EU AI Act—exposing themselves to substantial liabilities, regulatory duties and penalties. Defining AUPs Acceptable use policies are contractual terms that set out allowed and forbidden uses of technology. In the realm of foundation models, they delineate what users may and may not do with AI systems, aiming to prevent harmful or unlawful applications. By baking these limits into terms of service or model licences, developers impose binding obligations on users, thereby extending their control over how their technologies are used. The necessity of AUPs for AI systems The value of AUPs is highlighted by findings from Stanford University’s Centre for Research on Foundation Models. Research by Kevin Klyman observes that foundation model developers are increasingly proactive in adopting AUPs to prevent...

In her first Mansion House address, Chancellor of the Exchequer Rachel Reeves set out proposals to ease parts of the post-2008 crisis rulebook to steer more investment into the British economy. She argued, in remarks published ahead of delivery, that earlier reforms created a framework that tried to stamp out risk-taking, which she believes has gone too far and led to unintended outcomes that must now be put right. She outlined a new government plan to accelerate growth by adjusting rules across financial services and insurance, aiming to unlock private investment and revive capital markets. Reeves said the package of changes would strengthen growth and competitiveness through investment and reform, calling it the most pro-growth financial services programme since the financial crisis. She added that she has written to regulatory authorities, including the Financial Conduct Authority ( FCA), the Prudential...