SLK: High acceptance in the communications industry
As can be seen from the recently published activity report, the Swiss Fair Trading Commission (SLK) dealt with almost one hundred complaints last year and issued 82 decisions.
In a good two-thirds of the cases, it approved the application. If Parliament approves, the SLK will also act as an arbitration tribunal for the consumer credit and leasing associations as part of the planned self-regulation in the Federal Consumer Credit Act (KKG).
In its 2013 activity report, the Swiss Fairness Commission for the first time reported separately on preliminary, complaint and recruitment proceedings. Of the 98 complaints actually dealt with, two out of three were approved, just under 29 percent were rejected and just under 5 percent were not dealt with at all. Only two appeals were received. "Marc Schwenninger, the legal secretary of the SLK, is convinced: "This speaks for the high acceptance of the Fairness Commission in the communications industry. As before, the vast majority of complaints are filed by private individuals. However, the number of competition complaints has risen steadily since 2010 to just under seven percent. "The ratio is a little deceptive, though," Schwenninger explains. "Competition complaints are generally much more time-consuming than consumer complaints. We therefore need much more time to assess them than the low percentage indicates."
Aggressive sales methods
Looking at the type of complaints (Activity Report, page 22), the high proportion of aggressive sales methods is striking, accounting for almost 43 percent of all cases. This is also reflected in the distribution of media channels used to disseminate the advertising messages complained of. Clearly in the lead are telephone and fax with a combined 32 percent of all complaints, followed by Internet/e-mail and other direct mail with half as many complaints each. In terms of sectors, the highest percentage of complaints were received against advertising by banks and insurance companies. The doubling of complaints in just two years to over 14 percent is largely due to overly aggressive telephone calls from health insurance companies.
Referee in self-regulation
In response to the "No advertising of small loans" initiative, the Economic Commission of the National Council (WAK-NR) proposed self-regulation of the industry in 2013. In it, the Fairness Commission was proposed as a court of arbitration to watch over compliance. "The SLK already has a lot of experience with this role," explains Marc Schwenninger. "We have already had a corresponding agreement with the cigarette and alcohol industries since 2005 and 2006 respectively, and with the Swiss Dialog Marketing Association SDV since 2009. This is going very well. This relieves the burden on the courts, which would otherwise have to deal with corresponding violations of the UWG (Unfair Competition Act). This saves the economy from lengthy and costly court proceedings."
Legally certified independence
The Fairness Commission impressively demonstrated its independence in a complaint filed by PS Publicité Suisse. The sister association of SW Schweizer Werbung claimed that statements such as "La publicité tue" in a prevention campaign against smoking were incorrect, misleading and disparaging. The First Chamber did not share this view, since "the statements complained of would contain an exaggeration recognizable to the average addressee." Among other things, this independence makes the Fairness Commission the only extrajudicial institution in Switzerland in the field of consumer law that meets the conditions of an ADR procedure (Alternative Dispute Resolution; alternative dispute resolution methods) under EU law.
Better perception at the federal level
CVP National Councilor Christine Bulliard-Marbach, who completed her first full year in office as president of the Fairness Commission in 2013, has set herself the goal of raising awareness of the SLK primarily in parliament and in commissions, but also among other important reference groups such as companies and advertising agencies. "My initial experience has shown that many parliamentarians are not even aware of the SLK," explains Christine Bulliard-Marbach. "It is therefore a great concern of mine to make the Lauterkeitskommission and its activities better known at the federal level." In this context, the SLK president sought talks last year with the Press Council and the independent complaints authority of radio and television UBI, which to some extent have comparable legitimacy problems. "The exchange was very positive," adds the National Councilor. "We will try to use synergies more in the future."
The SLK activity report 2013 can be downloaded at Fair-advertising.ch can be downloaded.
