Free contract extension due to corona is not a breach of competition law

A fitness studio had to cease operations in the spring due to official requirements. The company then informed its customers that membership fees would be debited as normal in April. However, the amounts would only apply for one month as soon as the gym was allowed to reopen. All contracts would be extended (effectively free of charge) for the time that the studio had to close. The consumer advice center considered this to be a misleading commercial act and a breach of competition law. In their opinion, the membership fees should have been refunded for the relevant period and a unilateral extension of the contract was not possible. The Regional Court of Würzburg took a different view: whether the contract term could be extended was not a legal issue for a competition lawsuit. It was also quite possible that such an adjustment of the contract pursuant to Section 313 para. 1 BGB (frustration of contract). The obligation to refund the membership fees, on the other hand, was very doubtful. The action for injunctive relief was therefore dismissed (Regional Court of Würzburg, final judgment of October 23, 2020, Ref.: 1 HK O 1250/20).

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