Sky argues customers don't have to be told contracts are renewing
It says Sky is also contravening the regulations by failing to provide consumers with "best tariff advice" before the contract is automatically prolonged. Sky is the only one of the five big providers refusing to do so, Comreg says.
Sky disputes Comreg's interpretation of the relevant legal provisions and says they only apply to contracts with a fixed duration. Its customers' contracts are subscription contracts of indeterminate duration, it says.
The regulations, Sky argues, are designed to address the potential harm of consumers getting automatically prolonged in the contract for a second term without their knowledge. This harm does not arise in relation to Sky customers as its contracts do not follow this type of model in Ireland, it argues.
It also says the ultimate interpretation of the regulations is for the courts to decide.
On Monday, Mr Justice Mark Sanfey admitted Comreg's proceedings against Sky to the fast track Commercial Court on the application of Eoin McCullough SC, for the regulator, and on consent from Andrew Fitzpatrick SC, for Sky. The case was adjourned to December.
In an affidavit seeking entry of the case to the commercial list, Miriam Kilraine, Comreg compliance operations manager, said the purpose of end of contract information and best tariff advice, when a contract is nearing end and about to be "auto-prolonged", is that customers are afforded an opportunity of making an informed decision to stay with their current provider on the same or different package or to switch to a new provider.
This is important particularly as customers may be losing discounts and therefore incurring higher prices and, in the case of Sky customers, this could include bundled TV, broadband and telephone services, she said.
As part of its review and enforcement functions, Comreg began an investigation last September and Virgin Media, Eircom, Three and Vodafone all confirmed they are in compliance but Sky said it did not do so. Further investigations into Sky followed and in December Sky said it would not be complying because of its interpretation of the regulations.
Ms Kilraine said it is clear there is a fundamental disagreement between the parties regarding the interpretation of the relevant legal provisions in this case. It is Comreg's position that Sky has failed and continues to fail to comply with its obligations under the 2022 regulations, she said.
She also said Sky's UK arm, Sky UK Ltd, has taken a different position to its Irish counterpart and provides best tariff information to its customers. This followed enforcement action against Sky UK by the UK watchdog, Ofcom, in 2021 which concluded in Ofcom's favour last December, Ms Kilraine said.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
RTÉ News
19 minutes ago
- RTÉ News
Europe 'capitulated' on US tariff deal, says Ibec CEO
CEO of Ibec Danny McCoy has described the deal reached by the European Union and the United States on trade tariffs as a capitulation by Europe. The agreement will see EU exports taxed at 15% in a bid to resolve a transatlantic tariff stand-off that threatened to explode into a full-blown trade war. The deal was announced following a meeting between European Commission President Ursula von der Leyen and US President Donald Trump. Speaking on RTÉ's Morning Ireland, Mr McCoy said: "The good news, if there is good news on this, is that uncertainty may be dissipating and that's going to be important for people in business to make decisions." However, he said the deal was "fairly punishing" for the EU and added "Europe has capitulated". "It's quite tragic that we are in this situation. If Europe had equal strength, it could have confronted the United States," he said. Mr McCoy said that while the EU is a "strong economic zone", its weakness is that "we cannot defend the European Union". Under the deal, the EU pledged to buy US military equipment and European companies are to invest $600 billion in the US over President Trump's second term. "US businesses are now favoured coming into Europe without tariffs and our European businesses are facing 15%. "In time, this will lead to a lot of changes in terms of businesses having to look at different markets than the United States or suffer significant losses trading with the United States," Mr McCoy said. He also raised concerns for Ireland that goods from the UK entering the US will have a smaller tariff rate of 10%. The US and UK agreed to a trade deal in early May, which included a baseline 10% tariff on most goods exported to the US, with certain exemptions. The agreement includes goods being exported from Northern Ireland. EU-US tariffs deal gives clarity, says minister Minister for Enterprise Peter Burke said that the deal brings clarity and avoids a trade war that could have resulted in 30% tariffs on EU goods. Speaking on the same programme, he said: "It gives certainty which is key, but there's three key areas I think we have to focus on. "We are about four days away, which would have been a 30% tariff for the US and that would have been very significant for all our companies right across the country. "Secondly, I think it avoids a direct trade war because we're very much aware that there was about €100 billion of countermeasures that were ready to be deployed, which would have a very significant effect on Ireland and as well on the north-south economy." Mr Burke added that "the devil is in the detail and we do need to see those key areas, those carve-outs that have been specifically called out by the President of the Commission yesterday". He said that the Irish Government "is very, very clear and has been that tariffs are bad" and said 15% is a "very significant tariff". In relation to pharmaceuticals, Mr Burke said that the understanding is that the 15% tariff "will be a ceiling" subsequent to the US investigation. "Pharmaceuticals are very complex, a lot of the product that is exported over to the US is not a complete product. Almost 70% of it is components of the final product that will come together. "And that's why we do need to ensure that we have a very keen rate to ensure we incentivise innovation in that sector because that's so important for the global economy. "We've about 100,000 employees in Ireland, 130 billion exports in the life science sector and the Government will be bringing forward a separate life science strategy later on this year, which will be key in continuing the investment and offering a very competitive proposition from Ireland's perspective," Mr Burke added.
Extra.ie
19 minutes ago
- Extra.ie
Viral restaurant sensation to close Dublin diner less than a year after opening
A city centre restaurant known for its cheeky service and viral concept has announced its permanent closure, citing financial pressures faced by many small businesses. Karen's Diner, which opened on Dublin's O'Connell Street in early 2024, was originally part of a global chain inspired by the viral 'Karen' meme – where waiters and waitresses playfully adopt rude personas and pretend to deal with difficult customers. In November 2024, the venue rebranded as Karen's Gone Wild, becoming an independently owned Irish restaurant. Karen's Diner on O'Connell Street in Dublin. Pic: Fran Veale Despite the local ownership and loyal customer base, the team confirmed via social media over the weekend that the business will close for good on Sunday, August 3. 'After a wild ride, we've decided it's time to shut our doors. Karen's will officially close after Sunday, August 3rd. 'So if you've ever wanted to experience the madness (or come back for round two), now's your last chance. Like many independent spots, we've felt the pressure — VAT at 13.5%, rising costs, tight margins, and so much more. 'A huge thank you to everyone who supported us, shouted at us, laughed with us, and made this place what it was. It's been unreal. Once again thank you for being part of it — we hope to see you one last time before we turn off the lights.' Karen's closure adds to a growing list of hospitality venues struggling to stay afloat in Ireland, as rising operational costs, VAT increases, and narrow profit margins continue to pressure small businesses across the country.
The Journal
an hour ago
- The Journal
Tánaiste welcomes trade deal between EU and US but says ‘a lot of detail needed' for pharma sector
LAST UPDATE | 9 mins ago THE TÁNAISTE HAS welcomed a deal between the European Union and the United States but added that 'a lot of detail on the agreement' in relation to the pharma sector needs to be brought forward. The deal was reached yesterday during a meeting between Donald Trump and the president of the European Commission, which will see a 15% tariff on most EU imports to the US. The US president met European Commission president Ursula von der Leyen to hammer out the final details on the trading relationship between Europe and the US. Tánaiste Simon Harris welcomed the fact that the deal avoids tariffs of 30% which had been due to be imposed by the US on 1 August. It will also avoid the EU imposing its own countermeasures at this time. He added that it provides 'a measure of much needed certainty for Irish, European and American businesses'. While Harris said he 'regrets that the baseline tariff of 15% is included' in the deal, he acknowledged that the US has 'made clear that a baseline tariff was always going to be part of the outcome'. Von der Leyen described the 15% tariffs as 'across the board, all-inclusive', but Harris said 'there is still a lot of detail on the agreement which will need to be brought forward including in relation to pharma, aviation and other sectors'. 'Over the coming days, we will be examining what has been agreed and the full implications for Irish business and the economy, including any implications for the all-island economy,' said Harris. In a letter to the Trade Forum yesterday, Harris said it is his understanding that the 15% is a 'ceiling on any potential tariffs that may be imposed, including those relating to pharmaceuticals and semiconductors'. 'The EU will continue to work with the US to underline the closely integrated nature of the EU and US pharmaceutical sector,' he added. And while the baseline tariff is 15%, Harris said there are 'important exclusions, including a zero for zero arrangement on aviation'. Harris said Ireland made the case for 'zero for zero arrangements in as many sectors as possible'. 'As the framework negotiations continue the EU will keep working to add more products,' added Harris. Meanwhile, Taoiseach Micheál Martin said the agreement was very welcome and that it 'brings clarity and predictability'. 'That is good for businesses, investors and consumers. It will help protect many jobs in Ireland. Advertisement 'We will now study the detail of what has been agreed, including its implications for businesses exporting from Ireland to the US, and for different sectors operating here. 'The agreement is a framework and there will be more detail to be fleshed out in the weeks and months ahead.' Martin said the higher tariffs will have an impact on trade between the EU and the US, which will make it more expensive and more challenging. 'However, it also creates a new era of stability that can hopefully contribute to a growing and deepening relationship between the EU and the US, which is important not just for the EU and the US, but for the global economy,' he added. 'Given the very real risk that existed for escalation and for the imposition of punitively high tariffs, this news will be welcomed by many.' Elsewhere, Ibec CEO Danny McCoy said that while the deal 'brings an end to a significant amount of uncertainty', a 15% tariff 'still represents a substantial burden for many industries'. 'Sectors which rely heavily on the US market and operate within small margins, will once again be significantly impacted by an additional 5% tariff, on top of what they have already had to absorb over the past several months and well in excess of the 1% effective tariff which existing before April,' said McCoy. He noted that 'details are still emerging' and that 'these details will be critically important for Ireland'. 'Pharmaceuticals and Semiconductors which equate to 75% of Ireland-US trade are, we understand, included in the 15% deal.' Speaking yesterday, EU commissioner Michael McGrath said the meeting was a 'significant and decisive moment'. McGrath, EU Commissioner for Democracy, Justice, the Rule of Law and Consumer Protection, said it would involve substantive negotiations between both sides. 'It's a significant moment, we hope a decisive moment, and it builds on an enormous amount of work that has been done over quite a period of time,' Mr McGrath said ahead of the meeting. 'President Trump invited President von der Leyen to Scotland for a meeting. 'This follows on the back of intensive negotiations over a number of months. He added: 'It is not a case of turning up and signing on the dotted line. There will be a real discussion that will happen, and it will take on a dynamic of its own, and let's see what happens over the course of the afternoon. 'But from the EU's point of view, we are determined to do all that we can to get a deal for European businesses, because we recognise the cost of uncertainty. 'It manifests in trade and in investment decisions and ultimately in employment and of course tariffs can cost consumers at the end of the day. 'We want a good deal. We have negotiated hard, and we're at a point now where hopefully the two leaders can today bring it to a concluding phase.'
