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It’s time to make collective redress deliver for consumers – new video

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It’s time to make collective redress deliver for consumers – new video

BEUC NEWS - 22.09.2022

After a hard-fought battle lasting more than 30 years, consumers will hopefully soon have easier access to justice thanks to the EU’s new collective redress law. But all depends on the Member States now.

BEUC has developed a video explaining what’s at stake and what steps governments should take to ensure that collective redress actions really deliver for consumers.

The new rules, which will come into force as of mid-2023, mean that in all EU countries consumers will be able to go to court as a group if they have suffered the same harm e.g., a group of consumers having bought the same defective mobile phone or car.

Now, EU countries have a unique opportunity – and the obligation – to make this new law work for consumers. That’s because national governments are currently transposing the EU law into national legislation.

However, for this to really function governments should make collective redress cases opt-out by default. With opt-in procedures, harmed consumers need to come forward and register on their own initiative and only a low number of victims are represented. In opt-out procedures, all affected consumers get redress automatically, unless they explicitly decline being part of the action.

Governments should also ensure that going to court to obtain access to justice is affordable. Collective actions can often cost significant amounts of money. Accordingly, governments should put in place measures – e.g., capping the value of the claim – or ensuring alternative financing is available for consumer associations.  

Watch the video now!

 

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Communications Department

The European Consumer Organisation
Europäischer Verbraucherverband
Bureau Européen des Unions de Consommateurs

Andrew Canning
Senior Communications Officer