Wednesday 19 June 2013

Disappointing collective redress measures

Last week we have mentioned that the European Commission prepared a Recommendation on collective redress options for consumers. The European Consumer Organisation (BEUC) published its disappointment with the Commission's choice of this weak form or regulation of collective redress within Europe. (EU takes baby steps towards collective consumer court actions) The let down is not only due to the non-binding character of the measure, which will allow European countries to offer different levels of consumer protection and create an obstacle for cross-border collective claims, but also as a result of choosing an opt-in system for bringing in a claim - consumers would need to sign up to be included in the collective action's scope.