• Hindering consumers from terminating their contract with the law firm, quoting net prices instead of gross prices.
• These are practices of the Manufaktura compensation law firm, which manages the website www.paktus.pl.
• The firm operates first and foremost in Lower Silesia and the Opole region.

The proceedings against Manufaktura, a compensation law firm from Wrocław, were instigated in April 2017. The firm offers services in the scope of recovery of compensation claims from insurance companies. The Office of Competition and Consumer Protection had reservations about clauses which Manufaktura included in its contracts:

1. The firm stipulated that clients could not terminate their contract. Under the applicable law, they have the right to do that. If the grounds for termination should prove insignificant, they will have to reimburse part of the expenses already incurred by the law firm.
2. Manufaktura quoted net prices rather than gross prices. Under the applicable law, each undertaking must inform about the final price which includes taxes.

“The operation of compensation law firms is of particular importance to these consumers who cannot afford the services of professional legal counsels or attorneys at law. Insurance companies frequently make it difficult for consumers to seek redress on their own – in some cases they refuse to pay compensation or reduce the amount thereof. An average consumer has neither expert knowledge nor experience with such matters, hence the development of law firms to address these issues. At the same time, we support the work on regulation of this market conducted by the Senate,” says Marek Niechciał, President of UOKiK.

UOKiK approves of the maximum remuneration for services provided by compensation law firms or compulsory third-party liability insurance. We request that contracts be concluded in writing and employees of the law firm be obliged to inform consumers about certain matters. We also wish for principles of determination of remuneration for law firms or termination of contracts by clients to be established.

The Manufaktura compensation law firm must pay a fine amounting to more than 10,000 zlotys (PLN 10,196) and notify consumers of the decision of the President of UOKiK by registered letter. The decision of UOKiK will also be published on www.paktus.pl. The firm ceased the impugned practices, which affected the amount of fine. The decision is not final because Manufaktura has decided to appeal to a court of law.

Additional information for the media:

UOKiK Press Office
pl. Powstańców Warszawy 1, 00-950 Warszawa
Phone: +48 695 902 088
Email: biuroprasowe@uokik.gov.pl
Twitter: @UOKiKgovPL