Discriminatory labeling of Israeli products in France

The European Union announced that it would impose discriminatory and illegal labeling requirements on goods imported from “disputed territories” in Israel, and that all its member states would be expected to comply. 

In 2017, The Lawfare Project was engaged by Psâgot, an award-winning Israeli winery, to challenge the discriminatory labeling practices imposed on Israeli products from Judea and Samaria imported into Europe. Together with renowned French law firm Cabinet Briard, The Lawfare Project brought suit challenging the forced labeling of Psâgot wine in France as made in an "Israeli colony." The case was heard before the highest administrative French court, the Conseil D’État, which then referred the matter to the European Court of Justice (ECJ).

The ECJ ruled in 2019 that EU law required the labeling of Israeli products in the "disputed territories," so as to differentiate them from products made by Palestinian Arabs. The ruling was widely criticized and resulted in U.S Secretary of State Pompeo announcing the U.S. position recognizing that Jewish presence in Judea and Samaria is not illegal, as well as bipartisan letters from members Congress sent to the EU warning of dire and foreseeable trade consequences should the EU continue to label Israeli products in this discriminatory manner. The case is now on remand in the French court where we are arguing that French law prevents the application of such labeling practices to only Israeli products. Interestingly, the ECJ decision created more leeway for Israeli producers, who are no longer bound by the derogatory "colony" labeling requirement. The decision also opened a Pandora’s box of economic consequences for all countries that export goods to the EU and are involved in either territorial disputes or alleged human rights violations.