An inspection by the Economic Inspectorate, a summons, an official report, or a settlement proposal from the FPS Economy can place a company director in a situation of great uncertainty. Many businesses discover on such occasions that a commercial practice, a statement on their website, or a general condition may be considered an infringement of the Code of Economic Law.
The FPS Economy plays a central role in monitoring compliance with economic regulations in Belgium. In this capacity, its agents have extensive inspection powers aimed at ensuring the enforcement of numerous laws, particularly those relating to market practices and consumer protection.
In this context, it is essential for companies to fully understand the scope of the economic inspectors’ powers as well as the potential consequences of such inspections.
Being assisted by a lawyer specialized in economic law from the very beginning of the procedure allows you to:
- assess the validity of the alleged infringement,
- verify whether the inspection was conducted lawfully,
- negotiate a settlement where appropriate,
- and prepare a solid defense in case of prosecution.
This article explains in which cases the FPS Economy may prosecute a company, what sanctions may actually be imposed, and how to effectively organize your defense.
FPS Economy Inspection: Which Infringements of the Code of Economic Law Are Most Commonly Alleged Against Companies?
During an inspection, the FPS Economy primarily checks compliance with rules relating to market practices and consumer protection. Prosecutions often concern legal irregularities rather than intentional fraud.
The most frequent infringements include:
- Misleading commercial practices: false promotions, incomplete information, or information likely to mislead consumers.
- Website compliance failures: missing legal notices, inaccessible general terms and conditions, incomplete information regarding prices, fees, or withdrawal rights.
- Price display violations: missing, illegible, incomplete prices, or discrepancies between advertised and invoiced prices.
- Unfair contract terms: general conditions that are unbalanced to the detriment of the consumer (excessive limitations of liability, disproportionate penalties, etc.).
- Non-compliant advertising: unverifiable claims, misleading comparisons, lack of transparency in commercial communications.
Such breaches may result in administrative fines, settlements, or criminal prosecution. Legal assistance from the inspection stage helps assess risks and organize a proper defense.
What Are the Powers of FPS Economy Inspection Officers?
Economic inspection officers are authorized to detect and record infringements of the Code of Economic Law. Inspections may be announced in advance or carried out without prior notice. In this context, inspectors have broad investigative powers, including:
- accessing business premises,
- consulting and seizing documents,
- inspecting and seizing goods,
- questioning any person about facts relevant to the investigation,
- etc.
What Are the Limits to the FPS Economy’s Inspection Powers?
In general, economic inspection officers must conduct their investigations professionally and without disrupting the company’s activities.
Moreover, the powers listed above are not unlimited. For example, regarding access to business premises, FPS Economy agents are in principle not authorized to enter at any time, nor to access premises that are used as private residences.
Fines, Settlements, Criminal Proceedings: What Sanctions Does Your Company Risk?
If no infringement is found, the inspection officer closes the case.
However, if violations are identified, the inspector may, depending on the circumstances, issue a warning to the company or draw up an official report with a view to imposing sanctions.
If a report is issued, the FPS Economy has three possible courses of action:
- concluding an administrative settlement,
- initiating administrative proceedings (administrative fine),
- initiating criminal proceedings (criminal fine, confiscation, closure of the business, seizure of revenues, etc.).
Our advice:
Seek assistance from a lawyer from the very beginning of the inspection.
An FPS Economy inspection is not a mere formality. From the very first interactions with inspectors, the statements made by the company can influence the course of the procedure.
A solid understanding of the legal framework and proper preparation make it possible to approach an inspection with confidence and control.
Is your company subject to an inspection and you wish to prepare for it? Has the FPS Economy initiated proceedings against you and are you looking for a law firm specialized in this field to defend you?
The Emulation and Creactivity departments of Lexing are at your disposal.
Contact us now!
