Ministerial draft for a Telecommunications Act 2020 to strengthen consumer rights

Jan 13, 2021 Benn-Ibler Rechtsanwälte

The Federal Ministry of Agriculture, Regions and Tourism (Bundesministerium für Landwirtschaft, Regionen und Tourismus, BMLRT) has submitted a draft Telecommunications Act 2020 (Telekommunikationsgesetz 2020, TKG 2020) for review. It serves to implement Directive (EU) 2018/1972 and is intended to replace the previously applicable Telecommunications Act 2003 (TKG 2003). In addition to new regulations on frequency allocation and an adjustment of the provisions for universal services, new regulations are to strengthen the position of consumers.

A number of new information obligations are to be imposed on telecommunications providers with regard to consumers prior to the conclusion of a contract. Providers must provide the information specified in Sec. 5a of the Consumer Protection Act, Sec. 4 of the Distance and Out-of-Home Transactions Act and in Annex VIII of Directive (EU) 2018/1972 in clear and comprehensible language, insofar as this information relates to a service provided by them (Sec. 129 (1) TKG 2020).

The information requirements of Annex VIII include in particular the information on

• All minimum quality of service levels

• Activation prices and any recurring or usage-based charges

• Any minimum usage to benefit from promotional cations

• Any charges associated with switching providers

• Any compensation and refund arrangements in the event of non-compliance with the contracted quality of service or inadequate response by the provider to security incidents, threats or vulnerabilities

• The types of actions the provider may take in response to security incidents, threats or breaches.

This information must be provided to consumers in the form of clear and easily readable contract summaries (in accordance with the model provided in Implementing Regulation [EU] 2019/2243). The provision of the information is to be a condition precedent for the conclusion of the contract (Sec. 129 (4) TKG 2020). The contract summaries are intended to facilitate the comparison of providers.

In addition, in cases of automatic contract renewal after a time limit, providers are to provide information at least once a year on the best possible tariff based on their usage behaviour in the previous year (Sec. 135 (7) TKG 2020).

The review period ends on 10 February 2021.

BMLRT, Ministerial Draft (20.12.2020)