Mobility@McDermott: Monthly Update (10/2023)

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1. European Court of Justice rules on access to electronic vehicle data system

The European Court of Justice („ECJ“) on 5 October 2023 ruled that car manufacturers cannot impose conditions on independent repairers‘ access to electronic vehicle data that are not required by European law.

In the case at hand, two independent repair chains had sued a car manufacturer because access to the manufacturers‘ „gateway system“ in which repair shops can perform write operations, erase error codes, perform recalibrations and activate vehicle parts required prior registration with that manufacturer, logging on to a portal designated by the manufacturer using personal connection data, purchasing a paid subscription for use of multi-make diagnostic tools and connecting them to that server via the internet.

The repair chains sued the manufacturer at the District Court (Landgericht) of Cologne, Germany, for free access to the data when using diagnostics tools. The Landgericht referred questions of European law to the ECJ.

The ECJ ruled that making access to the data subject to the conditions imposed by the manu-facturer violated the manufacturers‘ oligations under European law to provide unrestricted, standardized and non-discriminatory access to the data. Such access should not be limited to reading the data, but should also include the ability to process and write the data.

Relevant for: Manufacturers, service providers

Further details here (available in English)

2. German parliament extends truck toll

The German parliament, the Bundestag, has extended the truck toll in Germany. From December 1, vehicles weighing more than 7.5 tons will have to pay not only a truck toll but also a CO2 compensation payment. Emission-free vehicles, however, will be completely exempt from the toll obligation until 31 December 2025.

In addition, the decisive factor that determines whether and how much toll is due will change. In the future, a vehicle’s weight class will be determined by its technically permissible total mass instead of the permissible total weight. As a result of this change, previously unaffected vehicles may now be subject to tolls (or a higher tolls than before).

Relevant for: Logistic service providers.

Further details here : (available only in German)

3. European Court of Justice judgment on right of withdrawal after end of free trial period

In a preliminary ruling on 5 October 2023, the European Court of Justice („ECJ“) provided guidance on the question whether consumers have a separate right of withdrawal from a contract that arises after the end of a free trial period. An Austrian online learning platform had offered a 30 day period during which consumers could use the platform’s services free of charge. If they entered into a distance contract, users were informed by the platform of their statutory right of withdrawal after signing up for the trial period. The platform’s general terms and conditions provided that if users did not terminate their contract with the platform during the free trial period, the contract would be automatically prolonged with costs.

The plaintiff, a consumer right protection agency based in Austria, argued that consumers have a (second) right of withdrawal in case the free trial period is converted into a paid subscription. They further argued that a right of withdrawal arises each time the subscription is renewed and that the platform is obliged to inform consumers about such rights of withdrawal.

In its judgment, the ECJ ruled that no further rights of withdrawal arise where a free trial period is prolonged into a paid contract or where such a paid contract is subsequently renewed, provided that the terms and conditions governing the contractual relationship remain the same. The information on the right of withdrawal provided by the platform after the start of the trial period was therefore sufficient.

However, the ECJ pointed out that a new right of withdrawal could arise if the terms and conditions of the prolonged contract differ fundamentally from the terms and conditions that the consumer was informed about when the contract was initially concluded.

Further details here (available in English)

Relevant for: Mobility providers, vehicle platform providers

4. EU Council adopts new Consumer Credit Directive

On 9 October 2023, the EU Council adopted the new EU Consumer Credit Directive (Verbraucherkreditrichtlinie). The aim of the changes to the Directive is to improve the protection of consumers applying for credit. While previously, loans of less than EUR 200 and buy-now-pay-later products were not covered, they have now been added to its scope. In addition, protection mechanisms for interest-free loans and short-term, low-interest credit arrangements are now part of the directive. Lenders are now also required to screen consumers more thoroughly before granting credit to consumers.

Further details here (available in English)

Relevant for: Finance providers

5. New subsidies for climate-friendly vehicles implemented by German government

As a reminder, the German government launched a new subsidy program to incentivize the leasing of climate-friendly machinery and vehicles. It will be funded with up to EUR 500 million per year. Previously, similar subsidies were only made available for loans.

Under the program, KfW, Germany‘s state-owned investment and development bank, will provide subsidised loans to leasing providers and banks which in turn will be able to offer attractive rates to their customers. The program is also open to small and medium-sized banks and leasing providers.

Further details here (available only in German)

Relevant for: Finance and leasing providers

[View source.]

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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