What is it about?
In a similar manner to Directive (EU) 2019/771 concerning contracts for the sale of goods (the “SGD”, as discussed in a recent blog post here), the DCSD puts consumer protection first. It sets out both subjective and objective requirements for conformity, so the digital content or services must be fit for both any specified/agreed purposes and for purposes for which content or services of the same type would normally be used.
Under the DCSD, the business is liable for any failure to supply digital content or services, or any lack of conformity that exists at the time of supply and becomes apparent within two years (also referred to as a two-year warranty period).
Three remedies available to a consumer that receives non-conforming digital content/services are as follows: to have the content/service brought into conformity; to receive a proportionate reduction in price for the content/service (where a price has been paid); and (in certain cases, including where it is impossible or disproportionate to bring the content/service into conformity) to terminate the contract. The DCDS itself doesn’t address whether the consumer may receive damages for breach of contract by the trader, and so this matter was left to the discretion of member states.
Who and what does it apply to?
The DCSD applies to B2C sales contracts between a business and a consumer for the supply of digital content or services. It bites either where the consumer pays the business (or undertakes to pay a price) or provides personal data to the business (other than where such data is provided only for the purpose of supply).
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