Meta violates consumer protection law with ad-free versions of Facebook and Instagram: order button must be changed

Meta violates consumer protection law with ad-free versions of Facebook and Instagram: order button must be changed

According to a report by www.zeit.de,

The online group Meta violated provisions of German consumer protection law when introducing an ad-free version of the Facebook and Instagram networks, as was determined by the Düsseldorf Higher Regional Court. It was about designing the order button that is used to complete a subscription order. The judgment, which was brought by the North Rhine-Westphalia consumer advice center in an injunction, is now legally binding. The order buttons must clearly indicate the obligation to pay, according to a requirement of the German Civil Code (BGB).

According to the judge's ruling, the wording "Subscribe" on Meta's order buttons is not enough, as there are also free subscriptions. The consumer advice center saw this as a violation of consumer protection law because the order buttons did not sufficiently indicate that a paid subscription contract would be concluded upon confirmation. According to the ruling, the order button in the “Continue to payment” apps also does not meet the statutory consumer protection requirements, as it is not clear to the consumer that they are concluding a contract by pressing the button and are not just being redirected to another page to provide their data.

The board of the North Rhine-Westphalia Consumer Center, Wolfgang Schuldzinski, said that even a global company like Meta must adhere to European and German consumer protection regulations. Furthermore, the NRW consumer advice center also plans to take action against Meta's “pay-or-consent” model, as they believe that this model violates data protection law and does not obtain effective consent for the use of personal data for advertising purposes.

This development could have an impact on the market and consumers. The ruling requires online companies to comply with consumer protection regulations when it comes to paid subscriptions and the design of order buttons. Violations of these rules could lead to legal consequences and affect consumer trust in paid services. Meta will now have to change its order buttons to comply with legal requirements, which could also lead other companies to adapt their processes to avoid similar legal problems.