Conditions for the use of VAREFAKTA on products

CONDITIONS FOR THE USE OF ”VAREFAKTA” ON PRODUCTS

 

Firm:                                               __    (hereinafter referred to as the customer).

 

1. The trademark of Varefakta – (hereinafter referred to as Varefakta)
The trademark of Varefakta stands for voluntary, informative and controlled labelling approved by Varefakta. The object of VAREFAKTA is to promote voluntary use of informative labelling of products or services fit to be used by consumers. The labelling shall consist of a declaration of contents and/or properties etc.
The Varefakta trademark, VAREFAKTA, has been registered with The Danish Patent and Trademark Office (Patent- og Varemærkestyrelsen) as collective mark no.  FR 00.016 1973

2. Labelling authorisation
The use of Varefakta’s trademark is authorised according to the cooperation agreement that has been concluded, the Varefakta directions for the individual products and these Conditions for the Use of “VAREFAKTA” on Products.

3. Testing/analysis before labelling
Before granting any labelling authorisation Varefakta may initiate testing/analysis of the article to be labelled with VAREFAKTA.
The rules for and the scope of the testing/analysis shall be laid down by Varefakta and will appear from the Varefakta directions for the individual types of products.
The costs in connection with the sampling and testing/analysis shall be paid by the applicant, irrespective of whether a labelling authorisation is granted or not.

Samples purchased by or delivered to Varefakta are not returned after completed testing, unless agreed in advance.

4. Fee
The customer shall pay for the use of VAREFAKTA by way of subscription.
Payment shall be made in advance for one year at a time.

In addition the number of hours consumed will be invoiced on the basis of a time sheet prepared by Varefakta’s employees, and the amount shall be paid in arrears – normally by the month. A distinction is made between consultancy hours for the work involved in declarations, random sampling, advisory service etc. and clerical hours for the work involved in registration, typing, copying, packing, stamping, etc.

Approx. two months before the expiry of the subscription period Varefakta will forward a list to the customer, showing all the customer’s products registered with VAREFAKTA. The customer shall return the list with changes, if any.
The list will form the basis of the collection of the subscription fee and for the selection of products for random sampling.

If the customer wants specified invoices, this work shall be invoiced at the current hourly rate for clerical work.
The working language is Danish, and any translations shall be paid for by the customer.
The subscription fee for labelling authorisations which are terminated or withdrawn by Varefakta because of improper use or the like will not be reimbursed.

If the co-operation is terminated by one of the parties, including due to non-compliance with the contract by one of the parties or due to external circumstances beyond the control of Varefakta, the customer shall be obligated to pay for the work already carried out by Varefakta and any expenses to subcontractors.

5. Termination
The subscription runs for a period of 1 year, but will be renewed automatically, unless one of the parties gives notice of termination not later than 6 months before the expiry of the subscription period.

6. Random sampling
Approx. once a year Varefakta may initiate random sampling of products labelled with Varefakta to be performed at its own laboratory, external laboratories or testing institutes at Varefakta’s discretion in accordance with the Varefakta directions for the individual products in order to ensure that the article continues to comply with the labelling.

Varefakta will purchase the products through retail channels.

The costs of purchase and analysis/testing of products in connection with random sampling shall be defrayed by the customer and paid direct to the laboratory/testing institute.
The cost of attempts to purchase products that have not been cancelled by the customer but are unavailable in the shops shall be charged to the customer.
Any discounts obtained by Varefakta will be fully credited to the customer.

Samples purchased by or delivered to Varefakta are not returned after completed testing, unless agreed in advance.

7. The design of VAREFAKTA

The informative field must contain no other information than that which has been stated in the VAREFAKTA directions for the article in question.
Varefakta may demand and authorise additions to VAREFAKTA.
VAREFAKTA shall be durable, clear and easy to read at the moment of purchase.
It shall be the customer’s responsibility that the labelling on the article remains unchanged, even though the article passes through several intermediaries. The labelling shall be placed on or in connection with the article, as stated in the Varefakta directions.

The design of VAREFAKTA, including voluntary information given in addition to the regulatory requirements, shall be specifically agreed upon with Varefakta’s consultants at the beginning of the cooperation period.

8. Guidelines for the layout of VAREFAKTA
Text and symbols shall be printed in a colour which deviates from the background, and the largest possible type size shall be used. An 8-point type size (approx. 2 mm) is considered the smallest easy-to-read size. If it is impossible to use this type size, an exemption shall be applied for from Varefakta to use smaller types.

The trademark shall be placed in the informative field and must be sufficiently large to render the word VAREFAKTA clearly legible. It is recommended that the informative field is surrounded by a frame to separate it from other text. The trademark and the frame shall be printed in one and the same colour, which can be selected to meet requirements.

9. Procedure for the approval of VAREFAKTA
Basically all communication shall take place between Varefakta and the customer. If it is considered expedient Varefakta may also by arrangement with the customer contact sub-suppliers and/or advertising agencies etc. directly. It shall be the customer’s responsibility that Varefakta gains access to all necessary information according to the Varefakta directions for the products in question and the customer’s relevant addresses being known to Varefakta at all times.

For foods:
The customer shall forward to Varefakta a completed recipe/specification form with appurtenant documentation in the form of data sheets, analysis results according to the Varefakta directions and wherever possible a sample of the article. On the basis hereof Varefakta will prepare a VAREFAKTA draft.

The recipe and specification forms are available in Danish and English.
See also the paragraph below: ”For all types of products:”.

For non-foods:
The customer shall forward to Varefakta a completed recipe/specification form with documentation according to the Varefakta directions and wherever possible a sample of the article. On the basis hereof Varefakta will prepare a VAREFAKTA draft. The customer may also forward a VAREFAKTA draft, which will be examined by Varefakta.
See also the paragraph below: ”For all types of products:”.

For all types of products:
Varefakta shall make sure that the text in VAREFAKTA meets the requirements of the Varefakta directions and thereby also the regulatory requirements.

VAREFAKTA drafts which are at the same time registered as labelling authorisation shall be forwarded to the customer.

The customer shall then send the VAREFAKTA declaration for layout. Changes in information or order of succession in VAREFAKTA may only be made after previous agreement with Varefakta.

Before being printed, a proof print or layout of the entire packaging or the label shall be forwarded to Varefakta, wherever possible in full scale, for all articles.

Varefakta shall check through the text in VAREFAKTA as well as other text on the packaging/label, and will advise the customer to ensure as far as possible that text and illustrations do not conflict with any information given in VAREFAKTA, and that text and/or illustrations are not considered misleading.
Varefakta will return the proof print/layout to the customer with any comments, complete with the initials of the consultant.

Not until a proof print is available, approved and signed by Varefakta (initials), shall the packaging be printed with Varefakta stamped on it.

If user instructions are enclosed with the products, such instructions shall also be forwarded to Varefakta for comments, if any, and approval, cf. the Varefakta directions.

When the finished packaging and any user instructions are available, one copy of each shall be forwarded to Varefakta.

Varefakta shall be notified of any change of the article and/or the packaging before any such change is made.
A block pull or an electronic version of the VAREFAKTA trademark is available on application to Varefakta.

When informative labelling and/or reports etc. are emailed, in case of doubt, Varefakta’s hard copy will always apply. Varefakta accepts no liability for the content of emails being read by third parties once the email has been sent by Varefakta.

10. Marketing
Varefakta’s trademark may be used for marketing purposes, but normally with accompanying text only so that the trademark does not stand alone. Permission from Varefakta is required for the trademark to be used without accompanying text.

It may also be stated that the article is labelled under VAREFAKTA, and that the information in VAREFAKTA is subject to control by Varefakta.
However, the impression must not be given that Varefakta has approved or recommends the article or the company as such or warrants the quality, fitness for use or safety of the article in question.
Texts in which Varefakta or VAREFAKTA is mentioned are subject to the approval of Varefakta.

11. List of customers
Varefakta shall draw up a list of customers which will be published on Varefakta’s homepage www.varefakta.dk.

12. Amendments to directions
If Varefakta amends the current directions, Varefakta will – if Varefakta deems it justifiable – specify reasonable transitional periods for the customer’s implementation of labelling changes and any change of the products covered.
If in connection with amendments to the current directions such a transitional period is specified, which falls short of the earliest possible termination date for the customer’s subscription pursuant to paragraph 5, then the term of notice stated in paragraph 5 shall be reduced to allow the customer to terminate the subscription on expiry of the transitional period.
However, this does not apply to declarations which are to be changed as a result of statutory amendments.

13. Secrecy
Information received by Varefakta about the customer and the customer’s products shall be treated confidentially, and will not without special authorisation from the customer be used for other purposes than those comprised by the cooperation agreement concluded.

Exempted from this is information in Varefakta as from the date on which the labelling authorisation was granted.

14. Varefakta’s liability in damages
14.1
Varefakta shall be liable in damages for its own work in accordance with the general rules of Danish law up to the sum insured available under Varefakta’s current professional indemnity and product liability insurance on the notification date.

14.2
To the extent that a claim for damages exceeds the sum insured available under Varefakta’s current professional liability and product liability insurance on the notification date, Varefakta waives all liability in damages, including product liability or the like, to the customer or subsequent link in the supply chain for products bearing a Varefakta declaration.

14.3
In so far as Varefakta is required to pay damages to a third party, Varefakta shall be entitled to claim indemnification immediately for the damages imposed, legal costs, etc., from the customer to the extent that the damages, legal costs, etc., exceed the sum insured available under Varefakta’s current professional indemnity and product liability insurance on the notification date.

14.4
Varefakta shall under no circumstances be liable in damages for the customer’s consequential losses, loss of time, loss of profits or similar indirect losses.  The customer shall also hold Varefakta harmless for all such indirect losses claimed from Varefakta by third parties.

14.5
In so far as guarantee statements are made to the customer’s customer or a subsequent link in the supply chain in marketing, including in a declaration bearing the VAREFAKTA trademark, see section 9, the impression must not be given that Varefakta is liable for the guarantee commitment.

15. Withdrawal of labelling authorisation in the event of misuse
Varefakta may with immediate effect withdraw a labelling authorisation,

  • if the customer uses the trademark on or in connection with products which do not comply with the Varefakta directions or which are not covered by the authorisation
  • if the customer uses the trademark for marketing purposes in a manner which may be misleading, or
  • if the customer otherwise violates these Conditions for the Use of “VAREFAKTA” on Products or other, present or future, rules laid down by Varefakta on which the labelling authorisation is based.

 16. Other withdrawals of the labelling authorisation
Varefakta must be notified of the customer’s bankruptcy, liquidation, transfer of business or the like, and Varefakta shall in that case be entitled to withdraw the labelling authorisation with immediate effect.
A transfer of business shall also mean any transfer of the controlling interest in a public or private limited company or other legal person.

17. Appeals
Companies, organisations and institutions who may have a legal interest in a decision made on the granting or withdrawal of a Varefakta labelling authorisation or on amendments to the conditions for the use of Varefakta’s trademark – except for the price of Varefakta’s services – may lodge a complaint against the decision made with the Varefakta board. If the complaint is not sustained, a request for referral of the decision to a court of arbitration may be submitted within four weeks.

The court of arbitration shall consist of one arbitrator designated by Varefakta and one arbitrator designated by the complainant(s). If the two arbitrators cannot reach an agreement, an umpire shall be appointed by the President of the Maritime and Commercial Court in Copenhagen (Sø- og Handelsretten i København). The court of arbitration shall lay down its own rules of procedure and determine the distribution of costs incurred in connection with its work.
The decision of the court of arbitration shall be final.
The company, organisation or institution filing the complaint and seeking resolution of a dispute by arbitration shall notify Varefakta hereof in a registered letter, also stating the name of the arbitrator in question. Varefakta shall within 14 days of receipt of such letter state the name of Varefakta’s arbitrator, whereafter the two arbitrators shall meet to prepare the conduct of the case.

18. Use of the trademark in the event of cancellation or withdrawal
When the subscription period expires, or if the trademark is withdrawn by Varefakta, the client must cease to use the trademark and any printed advertising material or marketing activity that contains the trademark or refers to it. Packaging to which the trademark has been applied during the subscription period may only be used after the subscription period expires or the trademark is withdrawn if the trademark and VAREFAKTA number are effectively removed.

After cancelling their subscription, customers shall pay a subscription for the goods bearing the VAREFAKTA declaration that are in the shops and random sampling will be made in accordance with these terms and conditions.
If, after his subscription period expires, a customer has withdrawn all goods bearing a VAREFAKTA declaration but continues to market goods using VAREFAKTA, he shall be required to pay an amount corresponding to the customary subscription plus 50% for the period during which he used the trademark and an invoice for the work carried out by Varefakta in connection with his unlawful use of VAREFAKTA.

19. Duty to inform when a subscription ends
If a subscription ends in accordance with section 18, the client is under an obligation when selling goods with VAREFAKTA to wholesalers to make the buyer aware that the goods in question cannot be legally resold once the client’s subscription has ended unless the buyer takes out a subscription with VAREFAKTA or effectively removes the trademark from the goods in question.

20. Ongoing revision
These conditions are being revised on an ongoing basis. To the extent Varefakta finds that a revision of the conditions will impose considerable obligations on the customer, the customer will be informed of the change in writing.

Revised June 2010.
Adjusted December 2011, April, August 2013 and July 2015.

Accepted by the customer

___________________, the ___________________201

________________________________________________________________
Signature                                                                   Signed by: (Name in block capitals)

 

____________________________________________
Name of firm (stamp)

 

Download Conditions on the use of VAREFAKTA on products here