Melita ordered to refund unjustified termination charges

Melita plc has been directed by the Malta Communications Authority to comply with the legal obligations on early termination charges and refund any unjustified charges made. These charges were being imposed on subscribers of electronic communications services who decided to terminate a service after the initial contract period expired. The MCA said that subscribers were entitled to a contract when subscribing to such services. This could specify an initial contract period which, by law, could not exceed 24 months. The service provider could charge early termination charges should subscribers wish to terminate a service during this initial period. These charges, the MCA said, could not, however, be applied when terminating a service under a contract renewed after the initial contract period expired. The MCA said in a statement it was aware of a number of instances where early termination charges were being applied by Melita to subscribers who terminated services after a renewal of contract had taken place and after the initial 24 month-period had elapsed. "By means of this directive, Melita plc is being required to desist, with immediate effect, from such practices. "Moreover,...