1. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
How is the non-discrimination principle working in practice for consumers? Reinhold Schranz European Consumer Centre Austria
Brussels, 9th February 2015

2. Consumers indication of the non-discrimination principle to traders
Conference
Buying Services everywhere in the EU
Consumers indication of the non-discrimination principle
to traders
Trellis Case
A consumer resident in Austria wanted to buy a trellis
for his rose garden online from a German market garden.
The German market garden refused the delivery without
giving reasons. After the consumer informed the trader about the non-
discrimination principle the trader delivered the trellis to the consumer.
Brussels, 9th February 2015

3. Intervention of the European Consumer Centres
Conference
Buying Services everywhere in the EU
Intervention of the European Consumer Centres
Amicable Solution of individual cases
Amusement Park Case
The booking of a hotel stay by an Austrian family
on the website of an amusement park near Paris was
refused because the Austrian family had no place of
residence in Belgium or France. The family was
re-directed to the Austrian website where the price
for the totally identical hotel room was almost
€ 400,- higher. After an intervention by the ECC-Net
the amusement park accepted the booking for the cheaper price.
Brussels, 9th February 2015

4. Intervention of the European Consumer Centres
Conference
Buying Services everywhere in the EU
Intervention of the European Consumer Centres
Amicable Solution of individual cases
Price for a 5-day stay in a hotel located in the amusement park
Consumers resident in Austria and Germany € 1038,-
Consumers resident in Italy € 858,-
Consumers resident in Belgium and France € 645,-
Brussels, 9th February 2015

5. Intervention of the European Consumer Centres
Conference
Buying Services everywhere in the EU
Intervention of the European Consumer Centres
Changed Business Practice
A multinational e-commerce company and retailers selling their items on the marketplace of the multinational e-commerce company agreed to cancel delivery restrictions to Austria.
A German manufacturer of home appliances agreed to lower prices for spare parts for whirlpools to consumers resident in Austria. Before the agreement Austrian consumers paid 60 % more for identical spare parts than German consumers.
Brussels, 9th February 2015

6. Intervention of the European Consumer Centres
Conference
Buying Services everywhere in the EU
Intervention of the European Consumer Centres
Changed Business Practice
A multinational computer games company agreed to extend its customer
loyalty programme also to Austrian consumers following a complaint of an
Austrian 12 year-old who could not register in the loyalty programme due to
his place of residence in Austria.
Brussels, 9th February 2015

7. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Objective Reasons
Lack of Requisite Intellectual Property Rights
E-Book Case
Consumers resident in the Netherlands and Finland wanted to buy e-Books
from a UK-based trader’s website. The trader rejected their attempted
purchases and informed the consumers that he was bound by the legal
demands and restrictions of publishers due to intellectual property rights and
as such could not offer the possibility of purchasing such items to consumers
outside the UK.
Brussels, 9th February 2015

8. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Objective Reasons
National Gambling Tax
Motor-Car Magazine Case
A consumer resident in Austria wanted to take part in a sweepstake organized
by a German Motor-Car Magazine to win a car for € ,-. The trader
rejected his participation and explained to the ECC-Net that Austrian
consumers cannot take part in the sweepstake due to the request of
the Austrian fiscal authorities demanding a gambling tax of 5 % of the
expected profit.
Brussels, 9th February 2015

9. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Objective Reasons
Contractual Obligations/Distribution Agreements
Prefabricated House Case
An Austrian consumer made a price comparison between the websites of an
Austrian manufacturer and a Slovenian retailer of prefabricated houses. The
consumer discovered that the price for the totally identical house was
€ ,- cheaper when buying it from the Slovenian retailer. When he
wanted to conclude the purchase, the Slovenian company informed that due
to an agreement with the Austrian manufacturer they are not allowed to sell
prefabricated houses to consumers resident in Austria.
Brussels, 9th February 2015

10. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Objective Reasons
Prefabricated House Case
Identical type of house
Specific type of house
for the sales territory of
Austria-Germany-Switzerland
Slovenia
98 million inhabitants
2 million inhabitants
GDP per capita between
GDP per capita of
$43,900 -$38,400/year
$29,000/per year ???
Brussels, 9th February 2015

11. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Awareness-Raising
Leaflets European Commission, ECC-Net, ECCs at national level
ec.europa.eu/internal_market/publications/docs/article20_en.pdf
ec.europa.eu/consumers/ecc/consumer_reports_en.htm
Media campaigns of ECC-Net and ECCs at national level
(TV, radio, newspapers, e.g. article in the
Austrian consumer magazine Konsument 01/2014)
Brussels, 9th February 2015

12. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Brussels, 9th February 2015

13. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Recommendations:
Intensify Awareness Raising Campaigns
Intensify Enforcement of Art. 20 (2) of the Services Directive
Clarify unsettled legal question with regards to the application of the Services Directive and objective reasons (National Courts, CJEU, GD Justice)
Standardised Consumer Complaint Forms (cf. Complaint Forms Reg. 261/2004)
Include Art. 20 (2) of the Services Directive to the CPC-Regulation
Include an obligation by service providers to inform at the beginning of the order transaction about possible objective reasons to Art. 20 (2) of the Services Directive
Brussels, 9th February 2015

14. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Conclusion:
“I consider myself a European citizen and can move around freely within the
European Union, but when it comes to buying services and goods cross
border I am disappointed. I get frustrated if I want to buy a service from a
web trader from another EU country and the web trader tells me No, No, No
– you have to have a place of residence here. It feels like having an artificial
border in front of you. Is this what the internal market is supposed to be?”
Brussels, 9th February 2015

15. Buying Services everywhere in the EU
Conference
Buying Services everywhere in the EU
Thank you for your attention
Contact:
European Consumer Centre Austria
Brussels, 9th February 2015