The Telecommunications Consumer Board The Telecommunications Complaints Board

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The Telecommunications Consumer BoardThe
TelecommunicationsComplaints Board

• International Seminar on Dispute Resolution
  Scenario in the Telecom Sector, New Delhi, India
• October 29th, 2004
  Helle Röd, e-mail hro_at_vtu.dk

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The Background for the Boards

• In November 1990 the Danish Parliament approved
  the first laws which lead on to the full
  liberalization of the telecommunications market.
• In 1991 the first competitor on the GSM-mobile
  market got a license to operate beside the former
  monopolist Tele Denmark.
• In 1995 and 1996 the first competitors on the
  fixed network market started to operate in
  Denmark.

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• A package of six liberalization laws took effect
  from July 1,1996 and the two settlement Boards
  were born.
• The use of settlement Boards is very common in
  Denmark. The Boards can be set up by law or on
  initiative of for example The Danish Consumer
  Council and the respective branch organizations.
  A common feature and a benefit of the Boards is
  that the parties will get a decision of the
  dispute for a lot less money - and normally a lot
  faster, too - than if they had brought the case
  to court.

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• Decisions taken by the National IT and Telecom
  Agency (NITA) can be brought before the Boards.
• The Boards are created so they will be out of
  reach of instructions from the Minister for
  Science.
• The competitors on telecom market are ensured
  objective decisions and at the same time the
  complaints over decisions taken by the agency got
  off the Minister's desk.  

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• Each of the 2 Boards consists of seven members
  appointed for periods of four years.
• The Boards represents expertise in legal and
  financial, in market-related and consumer fields
  as well as telecommunications technology.
• The chairperson and the vice-chairperson shall be
  law graduates.

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• Complaints regarding decisions made by NITA must
  be submitted to the Boards within 4 weeks.
• As far as it is possible, the decisions of the
  Board shall be made no later than three months
  after the date on which the complaints were
  submitted to the Board.
• The decisions of the Boards cannot be brought
  before other administrative authorities, but can
  of course be brought to court.
• The Minister for Science makes secretarial
  assistance available to the Boards.

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• The Danish State defrays all expenses related to
  the activities of the Boards. The expenses are
  covered by the number charges collected by the
  state from providers who have been or are being
  assigned numbers, number series or addresses by
  NITA.
• The Telecommunications Consumer Board collects a
  fee of 150 DDK (about 24 )The
  Telecommunications Complaints board collects a
  fee of 4.000 DDK (about 645 ).
• The fee is paid back if the complainer wins the
  case fully or partly.

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The Telecommunications Consumer Board

• The majority of disputes are subscriber's
  complaints over NITA's decisions in disputes
  between an end-user and a provider of networks or
  services. For instance complaints over recording
  of, payment for or usage of networks or services.
  
• Complaints over NITA's decisions in disputes
  between an end-user and a provider of networks or
  services are given suspensive effect.
• The Board may demand all information necessary to
  decide the case. At request the information shall
  be given in writing or verbally at a board
  meeting.

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THE ABOLITION OF THE TELECOMMUNICATIONS
CONSUMER BOARD

• In the legislation from July 1, 2000 the
  Parliament gave the Minister for Science the
  power to decide to abolish the Telecommunications
  Consumer Board in case an alternative complaint
  structure was established.
• On July 25, 2003 the consumer complaints were
  transferred from NITA and the Telecommunications
  Consumer Board to a new private consumer board in
  the telecommunications business sector. This
  board was established with a structure already
  used in Denmark by the Insurance Complaint Board
  and by the Financial Services Complaints Board.

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• The Danish State lowered the number charges when
  the new board was established.
• To keep the numbers of complaints down the
  telecom companies made an agreement that each
  case which was brought for the new board should
  cost the company involved 7000 DDK (about 1130).
  
• On December 1, 2004 the Telecommunications
  Consumer Board will be abolished. In our opinion
  the "battlefield" will be left to the new private
  Board with telecom companies that have changed
  their attitude towards subscribers.

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THE TELECOMMUNICATIONS COMPLAINTS BOARD

• The types of disputes within the Board's sphere
  are many.
• The main part of the complaints has to do with
  new legislation and might be seen as "tests" of
  NITA's handling of authority in new areas, ex.
  access to the raw copper, the LRAIC-method,
  Issuing of Radio Frequencies, Radio Equipment and
  Telecommunications Terminal Equipment and
  Electromagnetic Matters.
• At times there can be a very hard pressure on the
  Secretariat and the Board to keep the 3-month
  handling regulation. 

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WHAT HAVE THE BOARDS OBTAINED SO FAR?

• Every year before April 1 each of the Boards has
  to send the Minister an annual rapport, which
  describe praxis and illustrate in "short stories"
  some of the more principal cases handled during
  the year. In the rapport the Boards will point
  out legal, technical or other problems, which is
  observed through the year.
• Over the years the Boards have given the Minister
  several recommendations about changing of legal
  rules in different areas. The Board's footprints
  can been found in several sections in the Danish
  telecommunications law.

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• If the complainer wants a second opinion of the
  case, the decision of The Telecommunications
  Complaints Board may be brought before the courts
  not later than eight weeks after the date on
  which the decision was communicated to the party
  concerned.
•  
• In the 8 years the Board has existed, only two
  decisions have been brought to court. None of
  these decisions had to do with "heavy"
  telecommunication issues nor was a large amount
  of money involved.

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• In general it is my impression that the market
  players, NITA, the Minister and the Ministry hold
  the Board in great respect.
• It makes life a little easier for everyone
  involved when the market players do not have to
  wait years for a judgment but can get a conflict
  solved - maybe not in a hurry - but a lot faster
  than what could be expected from the civil court,
  and still on the same high level as a judgment.  
• As a side effect from the decisions, the market
  players can be sure of the Board members'
  critical eyes when finding inappropriateness or
  failures in Acts, executive orders or in NITA's
  handling of a case.