Category: Consumer Law
Ofwat price determinations case
First published by Author on May 06, 2020 in the following categories: Consumer Law Industry Investigations Latest Pricing and tagged with cma | competition law | consumer law | investigations | pricing | utilities
The Ofwat price determinations case follows a referral by four major water companies in the UK in relation to price controls that are set to go into effect for the next five years.
Price controls for the water market are put in place for the protection of the consumer. They can ensure that water is affordable and available to all, but the controls must account for the fact that private companies are providing water services and competing in the market.
If new price controls are rejected by any of the UK water companies, the matter can be referred to the Competition and Markets Authority (CMA). The CMA can make its own separate determination as a regulator with similar duties to Ofwat.
Roll-over contracts for online gaming investigation
First published by Author on January 15, 2020 in the following categories: Consumer Law Industry Investigations and tagged with cma | competition law | contracts | investigations | online gaming
Last April, the Competition and Markets Authority (CMA) initiated an investigation into roll-over contracts for online gaming.
The online gaming sector has grown exponentially in recent years, with at least one console a staple in most modern houses these days, I would assume. The monetisation of online gaming has led to more purchase options for the consumer, so the costs of being involved in online gaming is something that should be carefully considered.
In the same way that the CMA has been looking into contract factors for things like broadband and telecommunications, they’re also keen to know if the online gaming sector is being fair. As this is just the initial investigation stage, no assumptions are being made as to whether important laws are being broken or not.
Most favoured nation clauses in price comparison websites sector
First published by Author on November 05, 2019 in the following categories: Advertising Consumer Law Industry Pricing Selling Restrictions and tagged with advertising | cma | competition law | investigations | market study | pricing
As it has been a while since we looked at this one, here’s the latest in the investigation into alleged most favoured nation clauses in the price comparison website sector.
The investigation that’s being carried out by the Competition and Markets Authority (CMA) is over the alleged use of such clauses for price comparison websites in relation to insurance products. The term “most favoured nation” originates from international trade agreements, whereby more favourable trade terms have been used between countries who favour each other more. In terms of competition law, it’s about contractual provisions whereby a seller may provide their best terms specifically to a particular buyer.
Such behaviour can restrict and distort competition, which is why it’s important for the CMA to look into it.
Regulators target fake and misleading online reviews
First published by Author on October 23, 2019 in the following categories: Advertising Consumer Law and tagged with advertising | cma | comparison sites | competition law | investigations | market abuse
The CMA (Competition and Markets Authority) is targeting fake and misleading online reviews because of the unfair impact it can have on competition within markets.
Nowadays, where most things can be bought and sold online, so can testimonials for products and services, and it’s this practice that the CMA’s aiming to stop. With how much influence the statements of other customers can have when it’s never been easier to shop around quickly, it seems that some companies are prepared to try and influence consumer choice with the power of fake reviews.
At the same time, it can be just as easy for someone to pay for bad reviews to hit one of their competitors as well.
Online hotel booking competition investigation update
First published by Author on October 03, 2019 in the following categories: Advertising Consumer Law Travel and Holidays and tagged with advertising | cma | consumer law | hotels | travel
An update has been issued in the online hotel booking competition investigations being conducted that has been focusing on consumer law.
The Competition and Markets Authority (CMA) has been looking at the sector since 2017. They launched enforcement action in June 2018 on the basis that a number of hotel booking sites had reportedly been breaking important consumer law. Demands were also made for a number of companies to review their terms and practices to ensure that they’re being fair.
Matters like price guarantees and promises were also referred to the ASA (Advertising Standards Agency) over whether any statements being made were misleading.