CMA anti-virus software investigation latest
First published by Author on July 04, 2019 in the following categories: Industry Pricing and tagged with cma | competition law | investigations | market study | pricing
The CMA anti-virus software investigation was launched back in December 2018, and the consumer regulator has been looking into whether renewal practices are legally compliant.
This investigation was a part of the wider loyalty penalty super complaint. With both personal and business reliance on anti-virus software prevalent, this is a huge market sector where there’s a need to ensure that consumer law is always being adhered to.
In the most recent update, the CMA (Competition and Markets Authority) has provided a little more insight into what they’re focusing on as part of their market review.
Focus of the CMA anti-virus software investigation
The primary focus of the CMA anti-virus software investigation right now is on the automatic renewal processes and whether any are in breach of important consumer laws.
The areas being looked at in detail are:
- Whether automatic renewal is expressly agreed;
- Whether auto-renewal is easy to stop;
- Whether there’s an agreement to pay higher prices when auto-renewal takes place, and if not, whether a higher price can indeed be charged;
- Whether customers should be entitled to refunds where they no longer want or require the service.
It’s understood that many firms have been contacted and have been asked for information with regards to their practices and their terms and conditions. Once the CMA has analysed the data they’ve collected, they can decide whether there’s a need to conduct further investigations and whether they need to take more formal action.
Analyses of terms and conditions
As part of the CMA anti-virus software investigation, a further 16 companies have also been contacted with a request to review their behaviour and their terms and conditions.
The CMA has said that this is to ensure that these companies are complying with important consumer laws, and to warn them that investigations may take place if concerns are identified.
One to watch
Undoubtedly, the CMA anti-virus software investigation is one to watch. In this digital age of continual threats of cyber-attacks, and increasing numbers of successful hacks, we all need to protect ourselves.
Investment in IT infrastructure that’s focused on defending against growing numbers of increasingly sophisticated cyber attacks is a must for any business. Ensuring that firms offering protective software are complying with the law is therefore incredibly important.