Competition Markets Authority
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This investigation forms part of the CMAs consumer enforcement work, tackling potentially harmful online selling practices
Case timetable
| Date | Action |
|---|---|
| 29 May 2024 | Letter before claim issued |
| 4 July 2023 | Consultation letter issued |
| 28 November 2022 | Case launch |
Commencement of action
25 October 2024: The CMA has issued court proceedings against Emma Matratzen GmbH, Emma Sleep GmbH and Emma Sleep UK Limited (together Emma Group).
Following the CMAs investigation into Emma Group, which forms part of the CMAs consumer enforcement work tackling potentially harmful online selling practices, the CMA has determined that it is necessary to seek an enforcement order from the court against Emma Group requiring it to change its online selling practices. The CMA filed its claim in the High Court on Thursday 17 October 2024.
This action, taken under section 215 of the Enterprise Act 2002, comes after the CMA issued Emma Group with a letter before action in May 2024. Emma Group has not made formal commitments to change its online selling practices and address the CMAs concerns, and the CMA is accordingly seeking a court order to ensure that consumers are not misled by those practices.
Letter before claim
29 May 2024: The CMA has notified Emma Matratzen GmbH, Emma Sleep GmbH and Emma Sleep UK Limited, and their directors (the Emma Group), that unless it commits to making changes to its practices the CMA will commence court action.
The CMA wrote to the Emma Group on 24 July 2023 setting out in detail its concerns. To avoid taking court action, the CMA sought a formal commitment from the Emma Group, by way of undertakings, to change its online sales practices.
The Emma Group has not agreed to provide undertakings that are sufficient to address the CMAs concerns.
The CMA has now informed the Emma Group that it is preparing to take court action and will launch proceedings if it does not commit to changing its practices without unnecessary delay.
Consultation letter
4 July 2023: The CMA has issued a consultation letter to Emma Sleep GmbH, Emma Matratzen GmbH, Emma Sleep UK Limited and other firms in the same corporate group and their directors (the Emma Group) in relation to possible breaches of consumer protection law. The letter details the CMAs specific concerns about the Emma Groups online sales practices, including whether its urgency claims such as countdown timers and high demand claims, and discounts were misleading consumers. The CMA has asked the Emma Group to take steps to address these. The Emma Group now has an opportunity to respond to the CMAs concerns.
Case opening
30 November 2022: The Competition and Markets Authority (CMA) has opened an investigation into Emma Sleep GmbH and other firms in the same corporate group (the Emma Group)s compliance with consumer protection law.
As part of this, the CMA is investigating the Emma Groups use of online urgency claims, such as countdown clocks.
The CMA will now engage with the Emma Group and gather evidence to consider whether the CMA thinks any of the companies in the group have broken consumer protection law. The CMA is at the initial stage of its investigation. Accordingly, it should not be assumed that any company under investigation has broken consumer protection law.
Contact
Director, Fred Houwen
Senior Responsible Officer, George Lusty