German Court Rules Penny May Offer App-Exclusive Discounts, Dismissing Consumer Lawsuit
The Hamm Higher Regional Court in Germany has dismissed a lawsuit filed by the Federal Association of Consumer Organizations (vzbv) against the discounter Penny. The consumer advocacy group had sought an injunction to stop Penny from offering discounts exclusively through its smartphone app, arguing that this practice discriminates against older, disabled, and younger individuals who may lack access to or proficiency with such technology. The vzbv claimed this violated the General Equal Treatment Act. However, the court ruled that there was insufficient evidence of discrimination, stating that lower internet usage among older demographics does not constitute legal discrimination. Consequently, Penny is permitted to continue its app-based discount strategy. This decision marks the second recent defeat for consumer advocates in similar cases, following a March ruling by the Bamberg Higher Regional Court that favored competitor Netto. While the vzbv is allowed to appeal this specific judgment to the Federal Court of Justice, the current legal precedent supports retailers' ability to use digital platforms for targeted promotions without violating equal treatment laws.
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German Court Rules Penny May Offer App-Exclusive Discounts, Dismissing Consumer Lawsuit
The Hamm Higher Regional Court in Germany has dismissed a lawsuit filed by the Federal Association of Consumer Organizations (vzbv) against the discounter Penny. The consumer advocacy group had sought an injunction to stop Penny from offering discounts exclusively through its smartphone app, arguing that this practice discriminates against older, disabled, and younger individuals who may lack access to or proficiency with such technology. The vzbv claimed this violated the General Equal Treatment Act. However, the court ruled that there was insufficient evidence of discrimination, stating that lower internet usage among older demographics does not constitute legal discrimination. Consequently, Penny is permitted to continue its app-based discount strategy. This decision marks the second recent defeat for consumer advocates in similar cases, following a March ruling by the Bamberg Higher Regional Court that favored competitor Netto. While the vzbv is allowed to appeal this specific judgment to the Federal Court of Justice, the current legal precedent supports retailers' ability to use digital platforms for targeted promotions without violating equal treatment laws.
spiegel