European UnionData Act, Reduced Switching Charges and Fee Disclosure (Article 29(2) to (6))
Regulation (EU) 2023/2854, Art. 29(2) to (6)
In force since .
A switching and interoperability rule binding private bodies.
- Private right of action
- No
- Obligation class
- Disclosure, Prohibition
As of .
What it requires
- If you provide a data processing service and impose switching charges until , keep them reduced and no higher than the costs you incur that are directly linked to the switching process concerned (Art. 29(2) and (3)).
- Before entering into a contract with a customer, give the prospective customer clear information on your standard service fees, on the early termination penalties that might be imposed and on the reduced switching charges that might be imposed until (Art. 29(4)).
- Where relevant, tell a customer which of your services involve highly complex or costly switching, or cannot be switched without significant interference in the data, digital assets or service architecture (Art. 29(5)).
- Where applicable, make the information under Article 29(4) and (5) publicly available in a dedicated section of your website or in another easily accessible way (Art. 29(6)).
- Before concluding a contract for a service that Article 31 takes outside part of this Chapter, tell the prospective customer which obligations of the Chapter do not apply (Art. 31(3)).
These lines are LexLint's reading of the law's text, as of .
Who enforces it
Enforcement body
The competent authorities that each Member State designates to be responsible for the application and enforcement of the Regulation (Article 37(1)), which for Articles 23 to 31, 34 and 35 must have experience in the field of data and electronic communications services (Article 37(4), point (b)); an entity falls under the competence of the Member State where it is established (Article 37(10)).
Settledness
- As of
- Open questions
- Will the Digital Omnibus (procedure 2025/0360(COD)) be adopted with the Council mandate's rule that a contractual provision contrary to Article 29(1), (2) or (3) in a relieved contract is null and void?
Also on the record
EEA status
- Status
- Pending
- Source link
- https://www.efta.int/eea-lex/32023r2854
What this law does
Article 29(2) of Regulation (EU) 2023/2854 allows providers of data processing services to impose reduced switching charges on the customer for the switching process from to . Article 29(3) provides that the reduced switching charges shall not exceed the costs incurred by the provider that are directly linked to the switching process concerned.
Article 29(4) requires the provider, before entering into a contract, to give the prospective customer clear information on the standard service fees, on the early termination penalties that might be imposed and on the reduced switching charges that might be imposed.
Article 29(5) requires the provider, where relevant, to inform a customer about services that involve highly complex or costly switching or for which switching is impossible without significant interference in the data, digital assets or service architecture. Article 29(6) requires the provider, where applicable, to make the information under paragraphs 4 and 5 publicly available in a dedicated section of its website or in any other easily accessible way.
Article 31(1) excludes from Article 29 a data processing service of which the majority of main features has been custom-built for an individual customer, or whose components were all developed for an individual customer, where it is not offered at broad commercial scale via the provider's service catalogue. Article 31(2) excludes the obligations of Chapter VI for a data processing service provided as a non-production version for testing and evaluation purposes and for a limited period of time.
Article 37(5), point (i), requires the tasks and powers of each Member State's competent authorities to include ensuring that switching charges are withdrawn in accordance with Article 29. Article 40(1) leaves the rules on penalties for infringements of the Regulation to the Member States, which must make them effective, proportionate and dissuasive. Article 50 applies the Regulation from .
The Permanent Representatives Committee agreed the Council's mandate for negotiations with the European Parliament on the Digital Omnibus on . The Digital Omnibus text in that mandate would treat any contractual provision in a relieved contract that is contrary to Article 29(1), (2) or (3) as null and void.
When LexLint raises it
When your app profile says your app provides cloud services.