The EU Court of Justice says that streaming subscriptions cannot automatically eliminate consumers' right of withdrawal.

The Court of Justice of the European Union has ruled that a streaming service that offers access to live, on-demand, or offline content after download is not, under certain conditions, a simple provision of digital content, but a digital service. The decision concerns Sky Österreich and applies to online subscriptions that adapt to user behavior through recommendations, favorites lists, offer updates, and dedicated infrastructure. In these situations, the consumer cannot be automatically deprived of the right of withdrawal of 14 days just because they accepted the immediate commencement of the contract.

The Court of Justice of the European Union has ruled that a streaming subscription cannot be automatically treated as a simple provision of digital content when the service adapts to user behavior and offers more than stable access to certain movies, programs, or broadcasts. In such cases, the subscription is a digital service, and the exception that allows the removal of the right of withdrawal does not apply automatically.

In short

The EU Court of Justice has ruled in the case of Sky Österreich Fernsehen that some streaming subscriptions are digital services, not simple provisions of digital content.

The right of withdrawal of 14 days cannot be automatically excluded if the service has a dynamic offer adapted to the user.

The case concerns the Sky Österreich subscriptions "Sport & Live TV" and "Fiction & Live TV" from Austria.

Consumers may be required to pay a proportional compensation if they use the service and then withdraw.

The compensation can take into account not only the period of use but also the economic value of the content viewed.

The dispute originated in Austria, where Sky Österreich offers streaming subscriptions such as "Sport & Live TV" and "Fiction & Live TV." To subscribe online, the customer had to accept a clause confirming that the service starts before the expiration of the 14-day withdrawal period and that, therefore, they lose the right of withdrawal.

Verein für Konsumenteninformation, an Austrian consumer protection association, challenged this clause. The association argued that streaming subscriptions are digital services, which means that the right of withdrawal cannot be eliminated just by the commencement of the contract's execution. Sky Österreich argued the opposite, that it offers digital content, and the consumer can lose the right of withdrawal if they accept the immediate commencement of the service.

The Supreme Court of Austria asked the Court of Justice to clarify whether such a service should be classified as a provision of digital content or as a digital service, in the sense of the Consumer Rights Directive. The difference is decisive, as the exception to the right of withdrawal for digital content applies under stricter conditions and does not cover digital services in the same way.

The Court states that the technical method of access, streaming, downloading, or offline viewing, is not sufficient to determine the legal classification. Nor does the fact that the provision occurs continuously during the subscription separate digital content from digital service by itself. The main criterion is the degree of involvement of the provider during the performance.

A streaming service is a digital service when the offer is dynamic and exceeds the simple stable and continuous availability of specific materials. The Court indicates situations where the platform tracks the content accessed by the user, creates favorites lists or playlists, adapts the offer to the behavior and expectations of the consumer, or recommends content that can influence how the service is used.

In the case of Sky Österreich, the Court notes that the service offers a wide variety of content, through subscriptions tailored to consumer profiles, with dedicated access infrastructure. The offer is updated, the user receives personal recommendations, and the available content can be continuously adjusted. The Austrian court must verify these elements, but the Court shows that they indicate a digital service.

The decision has a direct effect on the clauses through which platforms attempt to eliminate the right of withdrawal from the moment of subscription. If the service is digital, the consumer must have a real period in which they can test the service and decide whether the subscription meets their expectations. The right of withdrawal exists precisely for distance contracts, where the customer cannot fully evaluate the service before concluding the contract.

The Court also explains why this solution does not leave providers without protection. If a consumer requests that the service starts during the withdrawal period and then withdraws, the provider can request a proportional compensation for what has been provided until the withdrawal. The calculation is generally based on the total price of the contract and the period of use.

In the case of streaming, the Court accepts that the value of the content viewed can count. If a customer subscribes just to see a sporting event or content with special economic value during the withdrawal period, the compensation does not necessarily have to be calculated solely based on the number of days of use. The provider can take into account the economic value of the content made available and viewed, including its market value outside the subscription.

The ruling does not directly resolve the dispute between Sky Österreich and the consumer protection association. The Austrian court must apply the interpretation given by the Court of Justice. The decision is also binding for other national courts facing a similar issue.

For consumers, the decision clarifies that complex digital subscriptions cannot be reduced to a simple delivery of video files. Streaming platforms combine content, recommendations, technical infrastructure, updates, and personalization. When these elements define the service, the user retains the applicable protection for digital services.

For companies, the ruling shows that the wording of subscription clauses must be adapted to the true nature of the service. A platform cannot automatically eliminate the right of withdrawal through a standard checkbox if its offer is dynamic and personalized. At the same time, it can request compensation when the service has been used during the withdrawal period.

https://2eu.brussels/ro/news-articles/curtea-de-justitie-a-ue-spune-ca-abonamentele-la-streaming-nu-pot-elimina-automat-dreptul-de-retragere-al-consumatorilor