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Translated Qatar FIFA World Cup Carbon Offsets Report - Full Text

N° 188/22 Zurich, June 5, 2023/lk Swiss Climate Alliance et al./ FIFA International Federation of Association Football (Advertisements) Ladies and gentlemen, The Second Chamber of the Swiss Commission for Loyalty- chaired by Eric Pahud, with the participation of Cla Martin Caflisch and Catherine Purgly, after examination of the complaint of November 2, 2022 filed by the complainant, and the four cross-border complaints sent to the CSL, and of the position of March 31, 2023 of the defendant, considering the following: (i) Complaint from the Swiss Climate Alliance, Geneva (Switzerland): 1 The plaintiff denounces, in its voluminous complaint, various assertions appearing on the website of the defendant party (“www.fifa.com/fr”), and in particular this: “FIFA, FIFA World Cup Qatar 2022 LLC and the Supreme Council for Handover and Legacy pledged to reduce the carbon emissions of the FIFA World Cup Qatar 2022TM and fully offset them”>, “First Carbon Neutral World Cup”, “

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these point to the "climate neutrality of the 2022 FIFA World Cup in Qatar, including through language like: most compact tournament in history”, “FIFA, FIFA World Cup Qatar 2022 LLC and the Supreme Council for Handover and Legacy are fully committed to hosting a carbon neutral 2022 FIFA World Cup” and “FIFA, FIFA World Cup Qatar 2022 LLC and the Supreme Council for Handover and Legacy will fully offset emissions associated with the FIFA World Cup Qatar 2022. This offset also includes emissions corresponding to travel, accommodation, food and drink for ticket holders. So it will be the first carbon-neutral FIFA World Cup,” etc. In the opinion of the complaining party, these allegations are misleading and violate the ICC Code. (v) Complaint by Fossil Free Football and Reclame Fossielvrij (Netherlands, transmitted by SRC Netherlands): This voluminous complaint is generally directed against the advertising of the 2022 FIFA World Cup organized in Qatar presented by the defendant as a “carbon neutral” event. In the opinion of the complainant, this advertisement is misleading. Complaints meeting Given that the contents of these five complaints present a close connection of material connection and that the requests of the plaintiffs are based on similar factual and legal grounds, the procedures have been joined by the Secretariat of the Swiss Commission for Loyalty. lies in art. 5, paragraph 4 of the CSL Rules. Correspondence with parties During the proceedings, the Swiss Loyalty Commission has already informed the parties of the following: 1. Language: The procedure takes place in the official Swiss language in which the offending commercial communication is published (Art. 12, para. 1 of the CSL Regulations). In this context, in view of the fact that three complaints directed against advertising messages are written in French, the procedure will take place in French. This concerns all written documents received, including the complaint position paper written in English. 2. Applicable law and relevant public: the five complaints are monitored by the CSL with regard to the compliance of the commercial communications submitted to it with the guidelines of the International Chamber of Commerce on advertising and communication practices. - commercial communication ICode ICC), with the agreements concluded by the Commission with professional organizations of certain economic branches in connection with the regulation of commercial communication specific to these branches, as well as with Swiss legislation and case law (art. 1.3 of the CSLI Regulations. The Commission judges transnational commercial communication measures (so-called "cross-border" advertising measures which have their effects on the Swiss market (art. 1.5 of the CSLI Regulations). When the CSL judges a communication measure commercial (Rule No. A.1 of the Swiss Commission for Loyalty), it takes into account all the criteria listed exclusively according to the perception that prevails in Switzerland, resp. exclusively from a Swiss perspective. 3. As part of the creation of the “EASA Cross-Border Complaints System”, the Swiss Loyalty Commission has always clearly communicated that it does not reserve the right to judge transnational commercial communication measures (so-called cross-border advertising measures) only if they deploy their effects on the Swiss market (see art, 1.5 of the CSLI Regulations). accepts the special route" specific to the Swiss Loyalty Commission according to which it is the principle of effects that applies, and not the principle of the place of origin. The Swiss Commission for Loyalty does not have the structures and resources of law, nor de facto structures and resources, to be able to judge the compliance with the law of transnational commercial communication abroad, or to be able to judge the effects of such measures on the public of other States. Swiss Loyalty Commission maintains this opinion also in its annual reports [p. ex. annual report 2021, p. 491. 4. It is recalled that the procedure before the Swiss Commission for Loyalty is a simple procedure. Position of the

defendant The defendant requests the dismissal of the five complaints. She believes that consumers are in no way misled by the assertions challenged. According to her, the climate neutrality of the 2022 FIFA World Cup in Qatar is in line with facts, and it can be checked by both consumers and parties since an “ex-post report will be published in 2023 and that it will make it possible to know the total volume of emissions as well as the residual volume of CO2 to be compensated 7 The contentious assertions would thus reflect in a truthful, transparent and verifiable manner, the efforts made by the defendant and by the host country to ensure the climate neutrality of the 2022 FIFA World Cup in Qatar. In the opinion of the defendant, as regards the disputed assertions, it is not a question of advertising. It considers that these assertions constitute part of the pages of the defendant's website where the measures taken by the organizers of the 2022 FIFA World Cup in Qatar to measure, reduce and offset greenhouse gas emissions are presented. greenhouse effect in connection with the tournament organized in Qatar and in order to make them climate neutral. According to the defendant, the main purpose of communications of this kind is not to induce persons to enter into transactions with the defendant within the meaning of Rule No. A.3, paragraph 1 of the Swiss Loyalty Commission, and it is not clear whether or not they correspond to the criteria of the definition of the forms of commercial communication according to Rule No. A.3, paragraph 2 of the Swiss Commission for Loyalty. In fact, with regard to these assertions, it is not a question of commercial communication, but of an effort of transparency and responsibility on the part of the organizers in connection with the environmental impact of a major event. Insofar as it appears from the complaints that the attribution of the organization of the 2022 Football World Cup to the State of Qatar is questioned, the defendant considers that this point is not relevant for the present procedure. Similarly, it is not the responsibility of the Swiss Loyalty Commission to pronounce on moral or ethical considerations with regard to certain specific forms of behavior, such as p. ex. flying to sporting events. 12 The Respondent states that it is aware that climate change is one of the most pressing challenges of our time. For this reason, it has made considerable efforts to combat the negative effects of such a tournament and to maximize its positive effects. The commitment of the defending party and the host country to achieve climate neutrality for the FIFA World Cup 2022 in Qatar is a genuine and sincere commitment. Decision (opening remarks! It should be noted that the procedure before the Swiss Loyalty Commission does not constitute a civil judicial procedure (see also on this subject MISCHA SENN: Das Verfahren vor der Schweize rischen Lauterkeitskommission/La procedure portee front la Commission Suisse pour la Loyalty, in : sic! 6/1999, pp. 697 et seq., especially number IV). The simplified procedure of the Swiss Commission for Loyalty does not provide for in-depth clarifications of the factual situation, nor multiple exchanges of papers, nor long procedures for the administration of evidence. The Swiss Commission for Loyalty subjects the advertising media presented to it to a summary examination on the basis of the information contained in the complaints and in the replies to the plants. The CSL Regulations prescribe, in s. 13, para. 1, that requests must be submitted to the Secretariat accompanied by a brief statement of reasons. In its current practice, the Swiss Loyalty Commission does not define the notion of "brief motivation". This complaint procedure, which contains a very voluminous number of documents, shows that this debate will have to be reopened.

Overall, as a preliminary point, the CSL draws the attention of the parties to the fact that, within the framework of its summary examination, the Swiss Commission for Loyalty does not take up and does not deal with each point individually. In its assessment, the Swiss Loyalty Commission focuses on the advertising assertions contested jointly by all the plaintiffs. Decision (formal part) In accordance with art. 1 para. 3 of the CSL Regulations, the Commission has the task of monitoring the compliance of the commercial communications submitted to it with the Code of the International Chamber of Commerce on advertising and commercial communication practices, with the agreements concluded by the Commission with professional organizations of certain economic branches in connection with the regulation of commercial communication specific to these branches, as well as with Swiss legislation and case law. When the Commission finds an infringement, it remedies it appropriately. The Commission has the task of defining, in the form of rules, the cases in which a communication must be considered as a commercial communication (art. 1, al. 4 of the Rules of the CSL). In accordance with Rule No. A.3 of the Swiss Loyalty Commission, the expression "commercial communication" means any measure that systematically influences the attitude of a certain number of people towards of certain Products or commercial situations whose main objective is to encourage these people to conclude a transaction or, on the contrary, to prevent the conclusion of such a transaction. The notion of commercial communication encompasses in particular all forms of advertising, influence marketing, native advertising, direct marketing, sponsorship. sales promotion and public relations work. In the opinion of the CSL Chamber, with regard to the disputed assertions, it is a matter of commercial communication within the meaning of Rule No. A.3 of the Swiss Commission for Loyalty. These assertions are clearly intended to positively influence the attitude of consumers towards the 2022 FIFA World Cup in Qatar, in particular in order to promote ticket sales. Moreover, it is also a public relations work of the defendant party. Therefore, the Swiss Loyalty Commission is competent in the matter. Subject to the jurisdiction of state authorities or other authorities, the Commission judges transnational commercial communication measures (so-called "cross-border" advertising measures) which have their effects on the Swiss market the "effects principle"). The CSL is required to define the relevant details in its rules (art. 1, para. 5 of the CSL Rules). In the field of online advertising, commercial communication therefore has its effects on the Swiss market when it is directed towards the latter [Rule No. A.2 of the Swiss Commission for Loyalty. This is the case if, at least, two of the following required criteria, the list of which is not exhaustive, are met: 1. The nature of the offer is aimed at Swiss customers (national or international if addressed to Swiss customers or mentioning it), 2. Switzerland is defined as forming part of the market place of the company concerned Iin the impressum, or in the General Conditions of Sale (GTC) in particular), respectively Switzerland is one of the countries in which the goods are delivered, the work is carried out, respectively the provision of services is provided, 3. The customer can pay in Swiss francs to acquire the offer, 4. Descriptions of access routes to from Switzerland are indicated, 5. An official Swiss language is used. 6. We include telephone numbers with international prefixes, 7. We use a domain name in «<,ch>> or a generic top level domain (TLD) if necessary by referring the customer to another website international), 8. Swiss law is applicable (eg according to the GTC).

In the opinion of the Chamber, the impugned commercial communication appearing on the defendant's international website is unquestionably addressed to the Swiss public. Given that the Swiss national team was able to participate in the tournament, the nature of the communication is also aimed at the Swiss clientele. Switzerland was part of the marketplace (e.g. ticket delivery in Switzerland), and communication took place in particular in French. Thus, at least three criteria required under Rule No. A.2 of the Swiss Loyalty Commission are met. In this context, the offending commercial communication has its effects on the Swiss market, which is why the competence of the Swiss Loyalty Commission also exists from a geographical point of view. Therefore, the CSL enters into the matter on the complaints (thus combined). Decision (material part Commercial communication must in particular be lawful, truthful, non-misleading, non-discriminatory and respect good faith in commercial relations [Rule No. A.1, al. 2 of the Swiss Loyalty Commission). To judge a commercial communication measure, the Swiss Loyalty Commission takes into account in particular the following criteria according to Rule No. A.1, al. 3 of the Swiss Loyalty Commission: 1. Understanding of the decisive target group, 2. General impression, 3. Key message, 4. Nature of the Products promoted in the advertisement "product" covers goods, works /works or services], 5. The type of media concerned, 6. Comparison with reality, 7. Ironic assertions or parodies must be interpreted according to their nature, 8. The design effectively dominant current situation in terms of ethics, good customs and morals within society. In accordance with Rule No. B.2 of the Swiss Loyalty Commission, a communication business is unfair when a company or an institution presents itself in a more advantageous way. misleading than reality in inaccurate or misleading presentations, assertions or indications. In particular, presentations, assertions or indications containing a reference to the reason must be truthful and clear. This is also required by art. 3 para. 1 let. b of the law against unfair competition (LCD) as well as article 5 of the ICC Code. The question of whether we are in the presence of an unfair deception or if it is about a misleading communication depends the general impression of an advertising medium as understood by the average recipient to which it is addressed (see Rule n° A. 1, ch. 3 of the Swiss Commission for Loyalty. The authors advertising must be able to provide proof of their advertising assertions [Rule n°A.5 of the Swiss Commission for Loyalty, art. 13 of the CSL Bylaws as well as art. 13a LCD). Advertising and marketing referring to the environment, ie any explicit or implicit reference to the environment or to ecological aspects must therefore meet the requirements of Chapter D of the ICC Code. In accordance with article D1 of the ICC Code, marketing communications must not contain any statement or visual treatment likely to mislead consumers in any way as to the environmental aspects or benefits of products (i.e. goods or services] or as to actions taken by the communication professional in favor of the environment. Environmental claims must be up to date and, if necessary, must be re-examined in the light of relevant developments. . A vague or non-specific environmental quality claim that may give rise to several meanings for consumers should only be made if it is applicable, without explanation, to all reasonably

foreseeable circumstances. Otherwise, a general environmental claim should either be specified or avoided. In particular, a claim such as 'environmentally friendly', 'safe for the environment', 'green', 'sustainable', 'low carbon' or other claims implying that a product or activity has no impact - or only positive impact - on the environment, should not be used without explanation, unless there is a very high level of proof. As long as there is no generally accepted definitive method for measuring sustainability or confirming its achievement, no claims should be made about its achievement (article D1, 4° paragraph). In the opinion of the Chamber, the defendant does not meet the requirements relating to a commercial communication containing a reference to the environment. The key message that the FIFA World Cup 2022 in Qatar is “, resp. sera "carbon neutral" can only be formulated on condition that its correctness according to definitive and generally accepted CO2 emission measurement methods as well as their full offsetting are proven. In the opinion of the Chamber, this is not the case in the present state of our knowledge. 27 In the present case, by the expression 'climate neutrality' or 'carbon neutrality', the average recipient means a football World Cup which is to take place with the same result, as far as carbon emissions are concerned. , than if this tournament had not taken place at all. To achieve this result, average recipients expect the CO2 emissions generated by the tournament, determined according to definitive and generally accepted measurement methods, to be fully offset. Hence the need to provide full proof of the applied and generally accepted calculation methods relating to all the carbon emissions caused by the existence of the tournament, as well as the need to provide proof of full compensation. of said carbon emissions. 28 At present, and on the basis of the documents filed, it is not possible to conclusively verify the correctness of the defendant's contested assertions since the promise made by the defendant is a promise on the future, and that the CO2 emissions will only be calculated and offset in full and definitively at a later date. 2900 Admittedly, the defendant had an "ex-ante" report drawn up which calculated, on a provisional basis, the probable CO2 emissions (13.63 million tonnes of CO2), but the plaintiffs criticized the estimates contained in this report considering them to be too low. The Chamber is unable to judge conclusively whether the estimate of 3.63 million tonnes of CO2 is realistic or relevant. However, there is clearly no "generally accepted method" within the meaning of s. D1 of the ICC Code. Even if the estimate were to one day match the final figures, in the opinion of the Chamber, the question of whether the promised compensation is truly realistic, however, remains unclear. Even if the defendant describes its offsetting intentions, and even if it asserts that it would have already offset "ex-ante" the estimated 3.63 million tonnes of CO2, and even if it repeatedly hints that it will fully offset the emissions to be definitively calculated at a later date, it is not in a position to provide proof of the offsetting of the emissions estimated "

impression that the 2022 FIFA World Cup in Qatar has already achieved climate neutrality or carbon neutrality before and during the tournament. Based on the disputed assertions, for the average recipient, it is not clear from the communication that the 2022 FIFA World Cup in Qatar could probably only achieve this result in the indefinite future and provided that certain concrete conditions are met. . 31 In summary, the Chamber finds, on a cursory examination, that the impugned assertions are unfair within the meaning of Art. D1 of the ICC Code, Rule No. B.2 of the Swiss Commission. for Loyalty, as well as art. 3 para. 1. let. b LCD. The high level requirements for fair commercial communication including a reference to the environment have not been met. In this context, the disputed statements should have been dropped or communicated more clearly, or even relativized, in order to always show transparently to the average addressee that the efforts to make the 2022 FIFA World Cup in Qatar neutral in terms of climate and CO2 can only be achieved in the future, when concrete conditions are met. In addition, the defendant should have credibly demonstrated how all CO2 emissions generated by the tournament could be offset in accordance with Swiss standards. 32 In this context, the complaints must be approved. makes the following decision: Complaints are approved. It is recommended that the defending party waive the disputed allegations in the future, in particular that the FIFA World Cup in Qatar in 2022 would be climate and CO2 neutral, unless it can bring, in the time of communication, on the one hand full proof of the calculation, according to generally accepted methods, of all the CO2 emissions caused by the tournament and, on the other hand, proof of the full offsetting of these CO2 emissions. CO2.

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