Federal Court: Parship subscription does not have to be cancelable at any time

The Federal Court of Justice (Bundesgerichtshof, BGH) made important decisions regarding contract extensions with Parship in a ruling announced on Friday, July 17 (Ref.: III ZR 388/23). The decision contains both positive and negative developments for customers of the online dating agency. The automatic extensions of six-month contracts, which the dating platform occasionally carried out, are therefore invalid. However, consumer advocates were unable to assert their view that customers should have the right to terminate their contracts with such flirt portals at any time.

In the case that has now been clarified by the highest court, the German Federation of Consumer Organizations (vzbv) and the Brandenburg Consumer Advice Center brought a class action and an injunction against Parship respectively. They were of the opinion that the operator often wrongly did not let users out of gagging contracts and that it was too difficult to "divorce" them.

The Third Civil Senate of the Court of Justice, which is responsible for employment relationships among other things, has now clarified that the extension clauses used by Parship in contracts with a six-month term were not lawful. The judges in Karlsruhe followed the arguments of the consumer associations: Accordingly, it is unreasonable for members to have to cancel at least twelve weeks before the contract expires if they do not wish to commit to the platform for another full year.

Repayment claims for those affected

Consumers whose six-month contracts have been ineffectively extended can reclaim membership fees. The exact extent of the refund depends on whether they have joined the relevant model declaratory action, which more than 1000 users did. Those who took part can reclaim contributions from 2018. Otherwise, it is about the contributions from 2022 onwards. The consumer advice centers have put a sample letter online for those affected. It is important to note that Parship only has to refund the money for the extension period, not the costs for the initial term of the contract.

The BGH has rejected a general right of termination without notice under Section 627 of the German Civil Code (BGB), which concerns a service contract in the case of a special relationship of trust, for online dating agencies such as Parship. It does not consider such internet services, which are largely based on automated database matching, to have such a close personal relationship with the provider as would be the case with traditional service contracts of offline matchmakers. Parship had based its argument on an earlier BGH ruling and pointed out to heise online that the relevant paragraphs were included in the German Civil Code over 120 years ago.

In the case of contracts with an original term of twelve or 24 months, the Senate does not see any unreasonable disadvantage due to the extension clauses under the legal situation applicable until February 2022. These contracts are therefore not affected by the decision. For Parship contracts concluded from March 2022 onwards, different contractual conditions apply due to a change in the law. These contracts usually stipulate that membership can be terminated on a monthly basis after the initial term. In 2021, following discussions with EU consumer protection authorities, Parship promised to provide its customers with clearer information about usage fees and automatic contract renewal in the future.

(nie)