Huge fine for PayPal. UOKiK: “Unprecedented nature of violations”

The President of the Office of Competition and Consumer Protection issued a decision on a colossal fine for PayPal for violations.

that PayPal Europe is to use prohibited provisions. This includes a very general list of prohibited activities and severe sanctions for users for violating the terms of the agreement. The company was fined over PLN 106 million.

– The nature of the violations is unprecedented. For a consumer, using PayPal services based on the disputed clauses is unpredictable. PayPal clauses are general, ambiguous and incomprehensible. When reading these provisions, a consumer cannot predict which of their actions may be considered prohibited, or what sanctions may be imposed on them by the entrepreneur. Therefore, PayPal has an unlimited possibility to decide at will whether the user has committed a prohibited act and what penalty they will face for it, which may be, for example, blocking money on the account – commented the President of the Office of Competition and Consumer Protection, Tomasz Chróstny.

Importantly, PayPal Europe is to inform its consumers about the contested provisions on its website, after the decision becomes final. It is not yet final and the company has the option to appeal to the court.

Source: Gazeta

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