Misleading advertising through price statements

When enterprises advertise their products, various requirements must be observed. In particular, the Price Indication Ordinance (PAngV) sets certain specifications. The Higher Regional Court (OLG) in Dresden had to decide in competition law whether an enterprise had complied with the PAngV in its advertising with price statements or not.

A telecommunications company had advertised, inter alia, online with prices for telecommunications services.

In addition to the monthly basic tariffs, the customer automatically also subscribed to additional services. A footnote pointed to the additional costs incurred.

The Saxony Consumer Centre (Verbraucherzentrale Sachsen) objected to the advertising on the grounds that customers would have to pay more for their connection than was promised in the advertisement.

In first instance, the view of the Saxony Consumer Centre was confirmed.

Court decision on misleading advertising through price statements

The Higher Regional Court (OLG) Dresden also decided by judgment of 12.01.2016 – Az. 14 U 1425/15 in favour of the Verbraucherzentrale.

According to this, an online price statement is misleading if any additional costs are only accessible via a hidden link.

The Dresden judges thus upheld a breach of the Preisangabenverordnung. The statement of a total price and not merely the statement of individual sums is required and is also feasible without difficulty. Furthermore, the stated prices must include all charges to be paid as part of the service package.

Conclusion

The judgment once again illustrates that price statements in advertising must be truthful and complete.