Changing contract terms
If the company has the right to make changes to the contract, they must inform you of any changes in advance.
- Informing consumers of changes in contract terms
- A one-time contract can only be changed for valid reasons specified in the contract
- A fixed-term contract can only be changed in exceptional cases
- An ongoing contract may only be changed for reasons set out in the contract terms
- Changes to a consumer contract when company ownership changes
- Making a complaint
Informing consumers of changes in contract terms
If the company has the right to make changes to the contract, they must inform the consumer in advance of
- how the changes will affect prices, fees or other contract terms
- when the changes will take effect
- why the changes have been made.
To give the consumer a reasonable time period for preparing for changes, a change that means additional obligations for the consumer may normally take effect at the earliest one month after the notification has been sent. A shorter notification period is mainly only possible if the change is due to a legislative change or a decision made by an authority.
Read more about changing the terms and conditions of a subscription contract
A one-time contract can only be changed for valid reasons specified in the contract
The basic principle of a one-time contract, such as the sale of certain goods, is that the contract terms you agree on are final.
In the case of a cash contract, in which a product or service is supplied and paid for at the same time, the company cannot later change its price and other terms to the consumer’s disadvantage.
In a one-time supply contract, the company cannot usually change the content of the delivery, except by agreement with the customer. If the product ordered by the customer is no longer manufactured, for example, the vendor cannot make a one-sided decision to replace it with another product.
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A company may only change a one-time contract onesidedly for valid reasons stated in the contract, including:
- A change in legislation or a decision of an authority that the company could not have taken into account when concluding the contract.
- A change in taxes, customs duties or other public charges affecting the price. If the company reserves the right to increase the price in the terms and conditions of the contract, for example because of a change in taxes or other public charges, the terms must also state that the price can be reduced for the same reason.
- A force majeure, or a reason that the company cannot control, specified in detail in the terms and conditions. This is a reason that the company cannot be expected to take into account when concluding the contract, or the consequences of which the company cannot avoid.
- A clause in the contract terms stating that the company may change non-essential parts of the contract for a valid reason.
If a major change is made to a one-time contract, the consumer may demand that the contract is cancelled.
A fixed-term contract can only be changed in exceptional cases
A fixed-term contract is a contract on continuous supply of goods or services, and its duration has been agreed in advance. Its terms and conditions may only be changed during the contract period in exceptional cases. For example, an increase in the general cost level or a change in circumstances are not sufficient grounds for changing the terms and conditions.
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A company may reserve the right in the contract terms to change a fixed-term contract in the middle of the contract period based on:
- A change in legislation or a decision by an authority that the company could not take into account when concluding the contract, including a change in taxes, customs duties or other public charges affecting the price.
- Breach of contract by the consumer. For example, an insurer may change the contract terms of an accidental damage insurance policy during the insurance period if the policyholder did not provided all the required information when the contract was concluded.
If a company changes the terms of a fixed-term contract for any other reason, the consumer may demand that the contract is cancelled.
The Electricity Market Act and the Act on Electronic Communications Services contain special provisions on fixed-term contracts that are applicable to certain sectors. This means that electricity supply contracts and subscription contracts, among other things, may contain special terms and conditions.
Read more about terminating subscriptions
Read more about terminating subscriptions
Read more about electricity contracts
An ongoing contract may only be changed for reasons set out in the contract terms
A company may only change an ongoing contract one-sidedly if:
- there are valid reasons for the change, including
- change in the production, procurement or other costs of the product or service which the contract concerns
- a major change in circumstances, a change in legislation or a decision by an authority that the company could not take into account when concluding the contract
- the reasons are set out in the contract terms
- there is no essential change in the content of the contract from the consumer’s point of view. For example, a company may not increase the price by a large amount at once.
The consumer has the right to terminate an ongoing contract due to such changes. The new terms or prices do not apply to the consumer during the period of notice, as a change may usually only take effect at the earliest one month after the day on which the consumer was informed of it. If the price is changed due to a change in legislation or a decision made by an authority, the adjusted price may also enter into force during the period of notice.
Read more about changing the terms of a subscription contract
Changes to a consumer contract when company ownership changes
When a company is bought by another company and its customers are transferred to using the services of a new contracting partner, existing contracts often need to be changed. However, in consumer trade and contract law in general, the basic principle is that a contract is binding. This means that consumers cannot be transferred directly to use the new service by a one-sided notification if the services differ from those previously agreed, for example in their features or price.
The type of contract, either fixed-term or ongoing, has a significant impact on whether it can be changed without the consumer’s consent. Consequently, the company must check if making the planned changes is possible and, if so, how the changes should be made.
Changes to a consumer contract when company ownership changes
What you should do if you find contract terms unfair
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If you think that a contract term is unfair, you should first negotiate with the company on adjusting it and making it more reasonable. An unfair or unjustifiably changed contract term may concern, for example, price, duration of the contract, delivery time, payment, invoicing, penalties for errors or termination of the contract.
Often the problem can be resolved when you notify the company as soon as possible.
If the company does not react as you would like, submit a written complaint to the company with a detailed description of the problem and a list of your demands.
Justify your demands and provide evidence to support your claim, if possible. For example, photographs, documents, e-mail correspondence, and other evidence (such as fault diagnoses) may help.
You can use our Complaint Assistant to file a complaint. The Complaint Assistant also provides information about your rights and helps you assess what kind of demands you can make.
Complaint Assistant – Filing a complaint with a company
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If the opposing party is willing to resolve the issue, try to find a satisfactory solution through negotiation.
Consider carefully whether you can accept the service provider’s proposal. Often there is not just one right solution. However, reconciliation is usually a better and more economical solution than a prolonged dispute.
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If the complaint and the negotiation procedure do not lead to an amicable solution, you can contact the Consumer Advisory Services for instructions.
The processing of your case usually requires information about the opposing party’s view.