Polish Consumer Authority Accuses Netflix Of Raising Subscription Fees Without Approval

JAKARTA - Polish Consumer Protection and Competition Authority (UOKiK) accused Netflix of raising subscription fees without obtaining explicit approval from customers in the country. This was conveyed by UOKiK on Monday, August 25.

According to UOKiK, in August 2024, Netflix unilaterally raised monthly costs of up to 7 zloties (around Rp. 28,000) without obtaining active approval from customers. Under Polish consumer protection laws, companies are prohibited from changing essential contract terms, such as prices, without clear customer approval.

"The comfort and communication that is transparent with consumers is very important to us, and acting in accordance with applicable laws is our top priority," the Netflix press office said. "We will work closely with UOKiK to clarify this issue, ensuring the most favorable solution for Netflix viewers in Poland," he added.

UOKiK stated that Netflix's practice allegedly relied on a lack of customer response as a sign of approval for price increases. According to UOKiK, it only gives customers notification and continues price increases do not meet legal requirements for legal contract changes. The authority has filed allegations against Netflix and started administrative procedures.

"The price of services, such as other provisions, should not be unilaterally changed without explicit and informed consent from users," UOKiK President Tomasz Chrostny said in a statement.

If these allegations are proven, Netflix could face fines of up to 10% of its revenue for any unlawful clause, and may be required to reimburse an unfairly charged to customers.

UOKiK said they had also handled similar cases earlier this year, prompting Amazon to change the terms of Amazon Prime and Amazon Prime Video services.