Beware: It Is Now Illegal to Charge Users in Germany Full "Compensation for Value" When They Cancel Contract

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Beware: It Is Now Illegal to Charge Users in Germany Full "Compensation for Value" When They Cancel Contract

DIE PRESSE - Dec 14 - Dating site Parship charges ~600Eur per year for their premium membership. Anyone who subscribes can cancel the contract within two weeks. But often dating platforms such as Parship and ElitePartner keep a large part of the money as "compensation for value". This is no longer allowed. The Chamber of Labor had filed a lawsuit against this practice - and got it before the Supreme Court. The (German) Supreme Court confirmed that this business practice was unlawful and would be prohibited. The dating sites are now only allowed to make only a time-dependent prorated assessment of value, in relation to the total term. For example for Parship: The company may, in a contract withdrawal after ten days with a total transaction of 600Eur for annual membership, only keep ~16Eur as "compensation for value". Prior to the new law, they had been keeping up to 450 euros.