Type: Judgment

Authority: European Authorities: Euopean Union' Court of Justice

Date: 06/05/2025

Subject: According to the Court, a term of a contract for the supply of electricity for a fixed term and at a fixed price allowing a supplier which has terminated that contract before its maturity on the ground of a failure to pay by the consumer to impose automatically on that consumer a flat-rate penalty, irrespective of the direct economic loss actually incurred by that supplier, may be regarded as unfair. That term meets the transparency requirements if the structure and location of that term in the contract and the circumstances attending the conclusion, by electronic means, of that contract, including the information which the seller or supplier has provided to the consumer, are such as to allow an average consumer who is reasonably well informed and reasonably observant and circumspect to become acquainted with the substance and functioning of the term imposing on him or her payment of a flat-rate penalty and to evaluate the economic consequences which flow for him or her from that term

Parties: innogy Energie

Classification: Solidarity - Art. 38 Consumer protection

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