Munich — Amendments to the Fair Consumer Contracts Act first came into effect in 2022. In the mobile communications sector, this has led to stricter regulations regarding phone-based sales and contract durations. Since then, subscribers have gained more rights and the ability to exit contractual relationships more easily when their life circumstances change. These regulations apply to all agreements, including those signed before the amendments took effect.
Key Customer Rights Under Telecommunications Contracts
Among the innovations is the right to the advertised internet speed. If a provider fails to provide the agreed-upon bandwidth for several consecutive days, the consumer protection association explains that the subscriber has the right to a price reduction or contract termination.
In cases of a complete loss of service or internet, providers are required to fix the malfunction within two days. If they fail to do so, the customer is entitled to compensation. For the third and fourth days of service loss, the compensation amounts to 10% of the monthly bill (but at least five euros). From the fifth day onwards, this increases to 20% (but at least ten euros).
Termination and Contract Extensions
Shortened notice periods for automatic service renewals have now been in place for four years. Mobile phone contracts can now be terminated on a monthly basis once the initial minimum term (usually 24 months) has expired. Previously, customers often had to wait for another full year to end a contract.
Deals concluded over the phone require subsequent written confirmation from the customer (via mail or email) if a summary of all terms was not provided prior to the agreement. Otherwise, a 14-day right of withdrawal applies. The written confirmation must include the company’s contact details, tariff specifics, activation fees, and information regarding the contract duration and renewal terms.
Moving and Unilateral Changes
If an operator changes the terms of the agreement unilaterally without prior consent, the customer has the right to immediate termination. Furthermore, when moving to an area where the current provider does not offer services, the customer retains the right to terminate the contract with one month’s notice. The company can be notified in advance so that the termination takes effect exactly at the time of the move.
Source: Verbraucherzentrale
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