[A2k] (no subject)

[Michelle Childs]

The Norwegian Consumer Ombudsman has ruled that  certain contractual terms
 for the Apple iTunes service break  consumer protection law, and has
given the company two weeks to fix the problem. Further information is
needed from Apple before the Ombudsman also rules on the whether the DRM
system is unreasonable.

Below is info from The Consumer Council of Norway who made the complaint
to the Ombudsman.

There is also a press coverage of the ruling in the Register.

http://www.theregister.co.uk/2006/06/07/norway_rules_itunes_unfair/

Michelle



 The Consumer Council of Norway is on track to win case against iTunes
The Consumer Council of Norway won support for almost all its complaints
regarding iTunes Music Store.


http://forbrukerportalen.no/Artikler/2006/1149587055.44

Jo Singstad

Informasjonsr=E5dgiver / pressekontakt, 06.06.2006 20:55


=BB On 25th January, the Consumer Council lodged a complaint with the
Consumer Ombudsman against iTunes Music Store Norge for breach of
fundamental consumer rights.

Important victory
The decision is in accordance with what the Consumer Council alleged in
its complaint.

=94We are very satisfied with the decision. There is a general tendency for
consumers to meet grossly unreasonable agreements when they download files
with cultural content. It is therefore positive that the Ombudsman gets a
grip on this so that consumer interests are also protected when such
material is downloaded,=94 senior advisor Torgeir Waterhouse says.

Among other things, the decision clearly states that the terms of
agreement demanded by iTunes are unreasonable with respect to Section 9a
of the Norwegian Marketing Control Act. Moreover, it is unreasonable that
the agreement the consumer must give consent to is regulated by English
law. That iTunes disclaims all liability for possible damage the software
may cause and that it may alter the rights to the music, are also
considered unreasonable. iTunes must now alter their terms and conditions
to comply with Norwegian law by the 21.of June.

=94A trade agreement with a consumer must be balanced, also in the digital
sphere. The Consumer Council has seen a trend where terms of agreement,
technical blocks and their legal protection have led to a reduction in the
rights of consumers and their opportunities to use cultural material,=94
Waterhouse says.

=93The digital rights of consumers have been dictated by the industry for a
long time. This decision marks the start of a struggle to recover them,=94
Waterhouse continues.

Must be followed up
The Consumer Council now wants attention focused on other downloading
services operating in Norway.

=94The terms, both technical and written ones, are not unique to iTunes.
Many other companies employ similar ones. We anticipate that the Ombudsman
will also pursue these, initially the music shops mentioned in our
complaint.

=94Several Norwegian record shops have said they will start downloading
services this year. This case puts severe constraints on the formulation
of their terms and on their service to customers,=94 Torgeir Waterhouse
says.

The Consumer Council will be watching the trend carefully in the time ahead=
.

Awaiting a response
A reply from iTunes is being awaited before a final conclusion can be
reached on certain points, including:

The cooling-off period when purchasing from iTunes
Whether the technical blocks (DRM) are unreasonable
Whether the geographical limitations are unreasonable
=94We want the Ombudsman to take an offensive and a consumer-friendly
attitude to the points on which a conclusion has so far not been reached.
This particularly concerns the technical conditions (DRM) in the
agreement. The widespread use of DRM and its legal protection have upset
the normal, balanced regulation of copyright. It is important that such
technical blocks do not create unbalanced terms of agreement between the
consumer and the industry,=94 Torgeir Waterhouse concludes.




--
Michelle Childs -Head of European Affairs
Consumer Project on Technology in London
24, Highbury Crescent, London, N5 1RX,UK.
Tel:+44(0)207 226 6663 ex 252.
Mob:+44(0)790 386 4642. Fax: +44(0)207 354 0607
http://www.cptech.org

Consumer Project on Technology in Washington, DC
1621 Connecticut Ave, NW, Washington, DC 20009 USA .Tel.:
+1.202.332.2670,Fax: +1.202.332.2673

Consumer Project on Technology in Geneva
1 Route des  Morillons, CP 2100, 1211 Geneva 2, Switzerland
Tel: +41 22 791 6727