ᐅ Mandatory contract requirement for telecom utility connection

Created on: 7 Jan 2014 21:00
K
klblb
K
klblb
7 Jan 2014 21:00
Hello everyone,

I need to have a telephone connection installed in my new house by Deutsche Telekom. I requested and returned the necessary documents for the building connection from Telekom’s home builder consultation service. So far, so good.

Today, someone from the home builder consultation called me and said that the documents are fine but will only be processed further if I also sign a telephone/DSL/TV contract. They asked me to call a specific phone number in sales for this.

I find it quite surprising that you can only get a building connection if you also take out a telephone contract! Is that allowed? This is not mentioned anywhere in the contract documents for applying for the building connection.

Of course, Telekom wants to earn money from me after the installation, but they would do that anyway since every other telephone provider has to pay rent for the line.

Is there any regulation that says Telekom can force me to sign a telephone contract?
Does anyone know the details and can provide relevant regulations or laws that I can use in discussions with the home builder service?

Thanks and best regards,
klblb

Addendum:
In the flyer from Telekom’s home builder consultation (which can be found online using these terms), there is no mention of mandatory contracts. It only states that after the building connection is completed, a sales representative will contact you and you may sign a telephone contract if interested.
N
nordanney
7 Jan 2014 21:36
No, the telecom provider is required to install the line even without a contract. It worked smoothly for us; we will use internet and phone services through Unitymedia and have a satellite dish for TV. So far, no sales representative has contacted us either – but we are only moving into the new house in April.
C
ChristianF
8 Jan 2014 00:23
Hello, I’m familiar with these discussions. We solved it by ordering a standard analog phone line, which only has a 6-day cancellation period. The advantage is that the telecom provider actually activates the line, you will receive a phone number or keep your old one, and your current service only ends once everything is up and running. This prevents the back-and-forth ticketing between providers, and I’ve heard that the telecom provider is, shall we say, not very proactive when working on the network for other providers.

In my opinion, the 30€ is definitely worth it. After that, you can immediately commission the provider you want to take over the connection. A 6-day period is quite manageable during a house build.

Best regards,
Christian
T
toxicmolotof
8 Jan 2014 00:24
Telekom has no idea, but Unitymedia, for example, states a price, for instance 900 euros for the installation, and offers a discount of 400 euros when signing the contract. At least, that was roughly the offer we received.

Maybe this will help you in your argument.

I would find it unreasonable if they don’t offer anything at all. Possibly, it will just be more expensive without a contract.
N
nordanney
8 Jan 2014 00:30
The telecom company offers the connection independently of any contract, and there are no lower prices even when signing a contract. With Unitymedia, it depends on whether and which contracts you sign. I wouldn’t even get involved in any discussions.
B
Bauexperte
8 Jan 2014 10:45
Hello,
klblb schrieb:

Is there any regulation that prevents Telekom from forcing me into a phone contract?
Does anyone know the exact laws or regulations that I can use in discussions with the customer service?
So far, you come across as calm and factual – Don’t let yourself be intimidated.

Many customers are leaving Telekom in droves; from my perspective, it makes sense that their customer advisors are coming up with “suitable” arguments to limit this in the future. But that does not mean it is lawful. It is probably no coincidence that you were only contacted “by phone”; I assume you were not asked for permission to record the call for statistical purposes?

To me, this sounds like a tied selling practice:

1. Definition: also known as tying arrangements. It is the obligation of one contracting party to purchase another product or service – usually unwanted – in addition to the desired product (tying product). This additional product or service (tied product) neither belongs to the desired product in a factual nor customary commercial way. Tying can be enforced by coercion (especially under pressure from a dominant provider of the tying product) or through price incentives. Tying arrangements can exclude competitors from the market for the tied product and restrict the economic freedom of the contractually bound party.

2. Antitrust assessment: Tying arrangements generally violate the prohibition under Section 1 of the German Act against Restraints of Competition (GWB) and Article 101(1) of the Treaty on the Functioning of the European Union (TFEU). Vertical tying between suppliers and customers may be exempted under the Vertical Block Exemption Regulation (VBER) if the supplier’s market share does not exceed 30 percent for both the tying and tied products. Furthermore, possible abuse of dominant position (§ 19 I, II No. 2 GWB) and potential violation of the prohibition of unwilling obstruction of other companies by dominant or market-strong providers (§§ 19 I in conjunction with II No. 1, 20 I GWB) may apply.

Source: Gabler Economic Encyclopedia

Did you note the name of the customer advisor, time, and content of the call? Then write a letter – preferably a registered letter – stating that you do not wish to extend the ordered house connection and refer to Telekom’s own flyer. Then let them come...

Best regards, Bauexperte