Unfair Commercial Practices Directive, Chapter 2, Article 5, 2., (b) Unfair Commercial Practices Directive, Chapter 2, Section 1, Article 7, 1. Unfair Commercial Practices Directive, Chapter 2, Section 1, Article 7, 4., (c)

(1) The omission to provide information in relation to additional charges to customers for additional costs that are not mentioned throughout an online booking process nor in a following confirmation email, constitutes an unfair commercial practice. 

(2) The fact that these costs are mentioned in the trader's terms and conditions (accessible through a special link), does not prevent the qualification as an infringement.

The present case concerns additional fees for renting a car, charged by the defendant, a car rental company. Following several claims reported by consumers on 29 March 2010 the Italian Competition Authority decided to start an investigation proceeding against the defendant.

According to the consumers the defendant omitted material information necessary for a consumer to take an informed transactional decision. In particular, the defendant omitted to provide information on the existence of additional costs, which consumers had to pay at the defendant's rental stations, and which were not included in an online booking form.

Additional fees were charged for a retro-reflecting jacket, which is required by law in every car. Without the payment of this charge, the trader refused the delivery of the rented car. Consumers further pointed out that there was no information about the requirement to pay this charge, neither in the booking process or in the email confirmation.

Conversely, the defendant held that it did not include the above-mentioned charge in order to simplify its offer. The defendant argued that it is better for consumers to indicate the price of the main service.

(1) The Authority established that the defendant omitted to provide information on the existence and the nature of this additional charge in the information provided to consumers. 

It was clarified that the defendant systematically imposed this additional charge on consumers who did not have the possibility to take Knowledge of this cost, as the procedure of online booking nor the confirmation emails sent to consumers after finishing on-line booking procedure, mentioned this information.

(2) The Authority also concluded that a link referring to the contractual terms and conditions is not sufficient to exclude the unfairness of the omission. 

The fact that the charge concerned was related to an accessory that is obligatory pursuant to the national law, does not change this conclusion.

(1) Does omitting to provide information in relation to additional charges to customers for additional costs that are not mentioned throughout an online booking process nor in a following confirmation email, constitute an unfair commercial practice? 

(2) If so, does the fact that these costs are mentioned in the trader's terms and conditions (accessible through a special link), prevent the qualification as an infringement?

URL: http://www.agcm.it/ricerca-avanzata/open/C12560D000291394/E8E328BCB797F57AC12577F1004793A9.html

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The Italian Competition Authority decided to fine the trader and it issued a cease-and-desist order regarding the criticized practices.