Right to Repair Directive – what will this new legislation mean for your business?

Does your business manufacture consumer goods which are sold into the EU?

Does your business supply or distribute consumer goods into the EU?

If the answer to either of these questions is yes, then you need to know about the Right to Repair Directive.

What do you need to know about the Right to Repair Directive?

The Right to Repair Directive is legislation that applies in the EU. It forms part of the European Green Deal and the Circular Economy Action Plan. 

The Circular Economy Action Plan aims to make sustainable products the norm in the EU. The concept of a throwaway society is well known. If a low value consumer item breaks, the consumer will typically dispose of it and buy another one rather than wasting time and effort seeking repair, often in vain.

The EU wants to change this. Echoing the call from the citizens' led Conference on the Future of Europe, the Commission introduced new legislation to increase the repair and reuse of defective consumer goods rather than throwing them away. This is the Right to Repair Directive.

The Right to Repair Directive can be considered part of a group of other EU legislation aimed at giving consumers access to more sustainable products. It will encourage consumers to seek the repair of defective goods. This will extend the lifecycle of consumer products and reduce the need for consumers to buy new replacement goods. Together, the new legislation aims to cover the entire lifecycle of a product:

The European Commission wants to harmonise the rules on repair across the EU member states. This will make it easier for consumers to access repair services and should also make it easier for SMEs to offer repair services across EU member states.

The Right to Repair Directive amends the EU Sale of Goods Directive ((EU) 2019/771) (SGD) as well as other EU legislation. It is a directive, which means that EU member states need to incorporate the new measures into their own national laws.

The Right to Repair Directive was formally adopted by the Council of the EU on 30 May 2024. The Directive will be published in the Official Journal of the EU and, 20 days later, will come into force. This is anticipated to be June/July 2024. Once published, member states have 24 months to transpose the Right to Repair Directive into national law. This means that businesses are likely to need to start complying with the directive during the second half of 2026, regardless of whether goods were sold prior to the start date.

If you want to know more about the European Green Deal and the Circular Economy Action Plan, as well as the other new legislation which is being considered at EU level, then check out our article.

What changes does the Right to Repair Directive make?

The Right to Repair Directive (the directive) introduces:

• Changes to the EU Sale of Goods Directive:
  • Repairability of goods. Goods must have the repairability that is normal for goods of that type. This requirement is added to the quality criteria under the SGD.
  • Prolonged legal guarantee. Consumers can still choose whether they want defective goods to be repaired or replaced. However, if consumers choose to have a defective item repaired under warranty, they will benefit from a prolonged legal guarantee of 12 months. This is designed to incentivise consumers to choose repair over replacement of the item.
  • Replacement item. During the repair, the seller can provide the consumer with a replacement item on loan, which is allowed to be a refurbished item.
• An obligation to repair defects for manufacturers. The obligation to repair sits outside the legal guarantee in the SGD and applies to goods listed in existing EU ecodesign legislation concerning repairability. This includes mobile phones and slate tablets, vacuum cleaners, and household washing machines and dishwashers. After the legal guarantee under the SGD has expired, manufacturers are still required to repair these items for the period of time specified for the particular product type. Noting also that the ecodesign regulations specify the scope of the repair obligations, such as what parts/components are covered. The scope of the goods covered will be updated as legislation concerning ecodesign in the EU is updated to include more products. The manufacturer can charge a price for the repair or this could be covered under a commercial guarantee offered to consumers. If the manufacturer charges a price then it must be reasonable.  Manufacturers are only exempt from the obligation to repair where repair is impossible. The exact duration of the repair obligation, and what parts/components are covered, depends on the repairability requirements of the particular item type. Manufacturers can subcontract the repairs but they remain responsible for them. 
• Availability of spare parts. Manufacturers are required to supply spare parts and tools at fair prices and cannot obstruct repairs through the use of contractual clauses or technical means. They also can’t hinder the use of second-hand or 3D-printed parts by independent repairers, or refuse repairs due to economic factors or prior repairs by others.
• Information obligations on the manufacturer. If the manufacturer's goods are caught by the directive then the manufacturer (or authorised representative, importer or distributor) need to tell consumers about their obligation to repair goods and provide information about the repair services. The manufacturer also needs to specify to what extent it uses subcontractors to provide the repairs and provide indicative costs for typical repairs. The information must be provided in a clear and comprehensible manner but the directive is not prescriptive about how this is done. The recitals to the directive mention that this information might be provided on a website. The information provisions are intended to make sure consumers know about their repair options to again incentivise consumers to repair rather than replace goods.
• A new European Repair Information Form. This is a standardised form which repairers can (but don't have to) use to specify what repair services they offer. This is intended to make it easier for consumers to make an informed decision about what repair services are available and to choose a repairer. 
• A new European Online Platform for Repairs. The European Commission will set up a new central platform with national sections, which consumers can use to search for repair services. Member states can also choose to provide an online platform to help consumers to find repairers for their particular items. The idea behind this is that consumers need to know what goods can be repaired, where the repairers are based, and what quality standards apply for the repair. The online platform should also facilitate the refurbishment of goods. The central platform is designed to remove some of the obstacles which consumers may face when considering whether to opt for repair.
• New measures at member state level. Members states are required to implement at least one measure designed at incentivising consumers to opt for repair. This might include repair vouchers or support for community-led repair initiatives.
• The directive specifies that it is for member states to ensure compliance.

What happens to the right of repair if the manufacturer is based outside the EU?

The directive provides protection for consumers in the EU who buy consumer goods in the EU but where the manufacturer (sometimes referred to as the producer) is based outside the EU.

In those cases, consumers in the EU will have the right to approach others in the supply chain to pursue their right to a repair. In the first instance, the consumer would pursue the authorised representative of the manufacturer based in the EU. If there is no authorised representative, the consumer can pursue the EU-based importer and then the EU-based distributor. All of these entities can subcontract their obligation to repair.

The WBD insight

As we commented in our article about the Circular Economy Action Plan, Defra has already published an updated waste prevention programme for England that includes policy measures around repair and waste prevention in addition to the rights provided in the Ecodesign for Energy-Related Products and Energy Information Regulations 2021/745. Defra's programme refers to better availability of repair facilities and services for consumers. So we can see that similar changes are happening in the UK and that UK businesses which trade in the EU might find that compliance is less different than it appears at present. We can perhaps sense that in the UK consumers also want consumer goods to last longer and to be repairable. The community-led repair cafés we are already seeing in the UK could certainly suggest that.

The new legislation may present opportunities for SME businesses offering repairs. Once rules on repair are harmonised, it should make it easier for SMEs to offer repair services across EU member states. The new European Repair Information Form and the new European Online Platform for Repairs should also make it easier for SMEs to promote their repair services to consumers. For manufacturers too, there may be an opportunity to increase brand loyalty by offering a repair service to customers and to develop a stronger, post-sale, relationship with customers.

For now, manufacturers' repairing obligations are limited to the product types listed in Annex II of the directive. So we're looking at more valuable items, such as mobile phones and household washing machines as well as batteries for light means of transport such as e-scooters or e-bikes, rather than toasters and kettles. That said, the Ecodesign for Sustainable Products Regulation was also formally adopted by the Council in May 2024. Once it comes into force, it will promote repairability for a wider scope of products. We can anticipate then, that over time, the product types listed in Annex II of the directive will be expanded to include additional items.      

What do businesses that supply consumer goods to the EU need to do next?

The new rules won't apply until the second half of 2026 so there is time for businesses to get used to the changes and to factor them into their compliance plans as well as their processes and legal terms.

Now is the time to get to know about the new legislation and to monitor how it is transposed into national law in the member states in which your business operates. 

As we get closer to 2026, you will need to think about what it means for your existing and future contracts and business relationships within the EU. 

For example:

• A manufacturer which sells consumer goods into the EU needs to be aware that consumers who choose to have a defective good repaired within the period of the legal guarantee in the SGD will benefit from an additional 12 month legal guarantee.
• Manufacturers of goods caught by Annex II of the directive will also need to determine how they will meet their repairing obligations. Will they appoint an EU authorised representative to be their point of contact for consumers based in the EU? Will they offer repair services themselves? Will they subcontract this activity? They may also need to check contract terms with their supply chain to make sure there are no contract clauses which provide an obstruction to repair.
• A distributor or importer selling UK manufactured consumer goods into the EU will want to know who will be responsible for repairing the consumer goods they are trading. They are likely to ask the manufacturers to provide contractual commitments to provide this service.  The trader might also want the manufacturer to support with queries relating to the right of repair from its customers.   

Where can you read more about the Right to Repair Directive?

If you want to read the full text of the Right to Repair Directive then you can access it from the European Parliament website.

The European Parliament's press release about the Right to Repair Directive has a good overview of the new rules introduced by the directive as well as where it sits with other new EU rules relating to sustainability.  The Council of the EU press release also contains useful information.

Do you want to know more about how the Right to Repair Directive might impact on your contracts and your trading relationships in Europe? 

Simply reach out to Peter Snaith or Sarah Daun.