Consumer Protection Authority weighs in again on dispute between consumers and mBank. At issue are unclear contract provisions on the interest and exchange rate calculations that put consumers at risk

Poland’s Office of Competition and Consumer Protection (UOKiK) has now issued its standpoint material to a case for the fifth time. It was again called upon to provide its opinion in a dispute between consumers paying mortgages in Swiss francs pegged to the exchange rate and mBank. In a case being heard by the District Court in Lodz, consumers questioned two provisions that too generally describe the reasons the bank may cite to change the interest rate and the rules for determining the exchange rate it uses to calculate mortgage installments. The consumers have demanded the Court recognize the clauses in question as abusive and lay out the consequences this will carry.

With the Authority having examined the documents submitted by the plaintiffs, UOKiK President Marek Niechciał explained: “We concluded that the bank’s failure to inform clients of the precise circumstances for changing the interest rate and rules for establishing the exchange rate is against good practices. Clients cannot determine if the changes are justified, while the multiyear risk of a mortgage contract is shifted to them. This has a negative affect on their financial situation”.

UOKiK concluded that the clauses are prohibited for three reasons: they contain ambiguous wording, disturb the balance of the contractual agreement between the parties, and prevent clients from verifying the bank’s activity.

Furthermore, the Authority did not agree with the ruling the Regional Court in Łodz passed down on March 16. In opposition to the court, UOKiK stated that whether consumers have been harmed is immaterial to recognizing contract clauses as abusive. How the provisions are executed is likewise meaningless, in the Authority’s view, as an abusive clause should at no time be binding upon consumers.

The legal assessment presented by UOKiK in a standpoint cannot be used as a benchmark for other cases, which may seem similar. In all of the cases it sees, UOKiK assesses the facts and the law, the case law involved, and the request made by the plaintiffs.

The standpoint material to a case is:

• the written position of UOKiK. It presents the Office’s arguments and point of view relevant to a given conflict, based on the particular factual and legal state of affairs. The assessment presented in the standpoint therefore cannot be used as a benchmark for other cases
• issued only in cases ongoing before the court
• provided if it is in the public interest
• provided in disputes between consumers and enterprise
• presented on UOKiK’s own initiative, at the request of consumers, an enterprise or the behest of the court.

Additional information for the media

Press Office, UOKiK
Pl. Powstańców Warszawy 1, 00-950 Warsaw
Phone.: +48 22 827 28 92, +48 22 55 60 314, +48 22 55 60 430
E-mail: [SCODE]Yml1cm9wcmFzb3dlQHVva2lrLmdvdi5wbA==[ECODE]

Twitter: @UOKiKgovPL