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Cologne Court Rules Penny Yogurt Discount Violated Price Indication Ordinance

The ruling confirms that percentage discounts must reference a retailer’s lowest price over the past 30 days to avoid fines of up to €250,000.

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Overview

  • On July 16, the Cologne Regional Court ruled that Penny had wrongly based a 58% yogurt discount on the manufacturer’s suggested retail price rather than the lowest price it charged in the previous 30 days.
  • The non-binding judgment carries the risk of up to €250,000 in fines if Penny repeats the breach of the Price Indication Ordinance.
  • The lawsuit, filed by Verbraucherzentrale Baden-Württemberg, follows similar victories against Aldi Süd in Düsseldorf and Amazon in Munich under the same 30-day price rule.
  • The Federal Court of Justice (Bundesgerichtshof) is now considering a comparable suit by Wettbewerbszentrale targeting Netto’s discount advertising.
  • Penny previously adjusted an app-only pricing promotion after a consumer watchdog’s cease-and-desist order, highlighting closer scrutiny of digital discount practices.