Aug 25 (Reuters) - Poland's consumer watchdog the Office
of Competition and Consumer Protection (UOKiK) has accused
Netflix ( NFLX ) of raising subscription fees without securing
explicit user consent, the regulator said on Monday.
UOKiK said that in August 2024 Netflix ( NFLX ) had unilaterally
increased some monthly fees by up to 7 zlotys ($1.92) without
obtaining active approval from subscribers.
Under Polish consumer protection law, companies cannot
unilaterally alter essential contract terms, such as pricing,
without securing explicit approval from subscribers.
"Comfort and transparent communication with consumers are
crucial for us, and acting in accordance with all applicable
laws is our top priority," Netflix's ( NFLX ) press office said.
"We will work closely with UOKiK to clarify this matter,
ensuring the most favourable solution for Netflix ( NFLX ) viewers in
Poland," it added.
The watchdog said Netflix's ( NFLX ) practice allegedly relied on a
lack of subscriber response to signal they agreed with higher
prices.
UOKiK argued that merely notifying customers and pressing
ahead does not meet legal requirements for valid contract
changes. The watchdog is raising charges against the group, it
said in a statement, indicating the start of an administrative
proceeding.
"The price of the service, like any provision, should not be
changed unilaterally, without the explicit and informed consent
of the user," UOKiK President Tomasz Chrostny said in the
statement.
If the allegations are confirmed, Netflix ( NFLX ) could face a fine
of up to 10% of its turnover for each unlawful clause, and may
be required to reimburse customers for unjustly charged fees.
UOKiK said it had intervened in a similar case earlier this
year, prompting Amazon to amend its terms for Amazon Prime and
Amazon Prime Video.
($1 = 3.6410 zlotys)