ANCOM

The Romanian Authority for Management and Regulation in Communications (ANCOM) sanctioned Orange Romania, having found that the operator failed to communicate the subscribers – at the moment of concluding distance contracts – the fact that they can unilaterally terminate a contract within 14 working days, which prevented them from exercising their right to cost-free terminate the contract. ANCOM also decided that all the customers that have concluded such an agreement should be informed accordingly.

Following the users’ complaints on Orange Romania’s manner of concluding distance contracts, ANCOM conducted an investigation and found that the electronic communications provider did not communicate the customers – prior to concluding, by telephone, a contract for the provision of internet access by means of a portable modem stick – information on the date when the contract is deemed concluded, as well as the fact that they have the right to terminate the respective contract within 14 working days from the date of concluding the contract or of delivering the equipment, without paying any penalties or damages and without having to specify the reasons therefor, as per the Government Emergency Ordinance no. 111/2011 on electronic communications. Once with the equipment delivery, the customers received and signed the contract. Upon the activation of the subscription contracted under the mentioned conditions, the complainants requested the contract termination without having to pay the damages due for early contract termination. Orange, considering the contract concluded with its customers a written contract and not a distance one, rejected the respective request, requiring the advance payment of the subscription for the rest of the months provided in the contract.

Having analysed the documents and the complainants’ telephone conversations with the Orange Romania representatives, the Authority found that the subscribers’ consent was given over the telephone, the respective contract being a distance one. The fact that, during the telephone calls by which the subcribers’ agreement for concluding the contracts was obtained, the complainants were not communicated information on the date when the contract was considered concluded and on their unilateral termination right, as well as the fact that the telecom operator did not send the users – in written format, either information regarding the terms for their exercising such a unilateral termination right, according to the Government Emergency Ordinance no.111/2011, represent contraventions, which the Authority sanctioned by fines amounting to RON20,000.

Moreover, the Authority also decided that the operator should take certain steps, i.e. identify all the subscribers who concluded contracts in similar conditions and who had addressed a complaint to Orange regarding the manner of contract conclusion and send them in written format information on their unilateral termination right, according to the provisions of the Government Emergency Ordinance no.111/2011, which thus ensures the observance of the subscribers’ rights provided by the legislation in force.

Since the conclusion of distance contracts – by telephone or by the internet – is an increasingly used practice,ANCOM draws the users’ attention on the following situation: if an electronic communications provider contacts them by telephone or by other electronic means, the users should ask for detailed information on the presented offers and should be aware of the fact that their agreement expressed by telephone or by the Internet suffices for a contract to be considered valid and concluded, and bearing a value similar to written contracts. Furthermore, for each such contract concluded by distance communications means, a provider has the obligation to send, in written format, at least the information presented during the telephone call.

Beside the advantage of sparing the users a journey to the provider’s shops or headquarters, distance contracts also pose some risks, such as the difficulty to understand and remember certain information presented within the offer. Whenever a user is not sure about having understood the presented offer or service, he/she may ask for some thinking time or may ask for further clarifications.

As well, it is noteworthy that, any contract concluded by distance communication means, for the provision of electronic commuications services, may be unilaterraly terminated by the user, without payment of early termination penalties or of other damages, within 14 working days from the conclusion date or from the date when a provider transmits in written format the information provided in the Government Emergency Ordinance no.111/2011.

Further details on distacne contracts are available in the user section of the ANCOM website: www.ancom.org.ro/Users/ Infocentre/ A to Z contract issues.

Generally, as regards the users of electronic communications services (telephone, internet, television), ANCOM may step in when the providers breach the users’ information rights, do not offer the number portability service, do not include specific information in the contract, or do not observe the terms of concluding distance contracts. Moreover, in certain situations, ANCOM may take steps with a view to amiably settling disputes between the end-users and the electronic services providers.