Cloud storage: consumer compliance review

The CMA is reviewing whether cloud storage providers are complying with consumer protection law.

Contact

cloudstorage@cma.gsi.gov.uk

Update – 4 November 2016

4 November 2016: A further 4 cloud storage providers have committed to providing fairer terms for their customers following publication of the CMA’s consumer law compliance review findings report in May 2016.

British Telecommunications Plc (BT), Dropbox Inc and Dropbox Ireland (Dropbox), Google Inc (Google), and Mozy International Limited (Mozy) have engaged with the CMA to make improvements to their contract terms. A summary of the changes to be made by each provider can be found below.

The CMA is still working with other companies in the cloud storage sector to improve compliance with consumer law and ensure a better service for users.

Findings report

27 May 2016: Following the consumer law compliance review, the CMA has published its findings report. The CMA found that some cloud storage providers are using contract terms and practices that it is concerned could breach consumer protection law.

The report sets out the CMA’s views about what it considers businesses should do to address its concerns and help ensure that their terms and practices are fair.

Following engagement with the CMA during the course of the review, Dixons Carphone plc trading as Dixons Carphone Group/Knowhow Cloud/Geeksquad Cloud (Dixons Carphone plc), JDI Backup Limited trading as JustCloud (JustCloud) and Livedrive Internet Ltd (Livedrive) have already given commitments to provide fairer terms for their cloud storage customers. A summary of the changes to be made by each provider can be found below.

The CMA is continuing to engage with a number of other cloud storage providers and will update on this engagement in the coming months.

Alongside the report, the CMA has also published an open letter to businesses and guidance for consumers.

Update – 1 April 2016

1 April 2016: The CMA has now analysed responses received to our invitation to comment. We have identified a number of contract terms and business practices that we are concerned may not comply with consumer protection law. For more information please see the investigation update below.

Launch of review

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