Comreg Takes Legal Action Against Sky Over Auto-Renewals

The Commission for Communications Regulation (Comreg) has initiated legal proceedings in the High Court seeking to compel Sky Ireland Ltd to cease its practice of automatically renewing customer contracts without prior notification. This action, which commenced on October 3, 2023, centers around claims that Sky is violating EU regulations established in 2022, which mandate that communications service providers inform consumers about the conclusion of their contractual commitments.

According to Comreg, Sky has not adequately informed its customers of the impending end of their contracts or provided information regarding alternative tariffs. The regulatory body asserts that this lack of communication breaches rules requiring timely and prominent notifications to consumers, as well as the obligation to deliver “best tariff advice” before contract renewals take effect.

In its defense, Sky contends that it does not infringe on these regulations. The company argues that the legal provisions cited by Comreg apply specifically to contracts with a fixed duration. Sky maintains that its subscription contracts are of an indeterminate nature, which, in their view, does not fall under the same category as those addressed by the regulations.

Eoin McCullough SC, representing Comreg, presented the case before Ms Justice Eileen Roberts, who is overseeing the proceedings. Comreg has highlighted that Sky is the only one of the five major telecommunications providers in Ireland that has not complied with the notification requirements related to contract renewals.

Sky’s legal team argues that the regulations aim to protect consumers from being automatically renewed into a second contract term without awareness. They assert that this particular risk does not apply to Sky’s customer contracts in Ireland. The court proceedings are set to last for three days, allowing both sides to present their arguments in detail.

The outcome of this case could have significant implications for how telecommunications companies in Ireland manage customer contracts and the transparency required in their renewal processes. As the legal battle unfolds, consumers and industry stakeholders alike will be watching closely.