{"id":106462,"date":"2025-06-05T09:00:54","date_gmt":"2025-06-05T09:00:54","guid":{"rendered":"https:\/\/my.legal500.com\/guides\/?post_type=comparative_guide&#038;p=106462"},"modified":"2025-08-19T08:23:28","modified_gmt":"2025-08-19T08:23:28","slug":"england-wales-class-actions","status":"publish","type":"comparative_guide","link":"https:\/\/my.legal500.com\/guides\/chapter\/england-wales-class-actions\/","title":{"rendered":"England &amp; Wales: Class Actions"},"content":{"rendered":"","protected":false},"template":"","class_list":["post-106462","comparative_guide","type-comparative_guide","status-publish","hentry","guides-class-actions","jurisdictions-england-wales"],"acf":[],"appp":{"post_list":{"below_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Penningtons Manches Cooper LLP<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2025\/03\/PMC-logo.jpeg\"\/><\/span><\/div>"},"post_detail":{"above_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Penningtons Manches Cooper LLP<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2025\/03\/PMC-logo.jpeg\"\/><\/span><\/div>","below_title":"<span class=\"guide-intro\">This country specific Q&amp;A provides an overview of Class Actions laws and regulations applicable in England &amp; Wales<\/span><div class=\"guide-content\"><div class=\"filter\">\r\n\r\n\t\t\t\t<input type=\"text\" placeholder=\"Search questions and answers...\" class=\"filter-container__search-field\">\r\n\t\t\t<\/div>\r\n\r\n\t\t\t\r\n\r\n\r\n\t\t\t<ol class=\"custom-counter\">\r\n\r\n\t\t\t\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Does your jurisdiction have a class action or collective redress mechanism? If so, please describe the mechanism and outline the principal sources of law and regulation and its overarching impact on the conduct of class actions in your jurisdiction.<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>There are several procedural mechanisms for bringing class actions in England:<\/p>\n<ul style=\"padding-left: 0\">\n<li>Class actions can be started in a single claim form (also known as an &#8216;omnibus&#8217; claim form) if it can be shown that the claims can be &#8216;conveniently disposed of in the same proceedings&#8217; (CPR 7.3). This is the simplest and most flexible option for bringing a class action.<\/li>\n<li>Multiple claims can be managed by the court under a group litigation order (GLO) (CPR 19.21). A GLO will be ordered by the court if the claims give rise to common or related issues of fact or law. GLOs impose more control over the proceedings, including a &#8216;cut-off date&#8217; for claims.<\/li>\n<li>A class action can be brought via a representative claim (CPR 19.8), where only the representative party (or parties) bring the claim on behalf of the class. This has economic efficiencies for claimants, as the class can be represented on an opt-out (or opt-in) basis. However, the claimants must have the &#8216;same interest&#8217; in the claim. This is a strict test.<\/li>\n<li>Consumer competition class actions can be brought under Collective proceedings orders (CPOs) in the Competition Appeal Tribunal (CAT). These claims can also be brought as representative claims (including on an opt-out basis) but the claims must raise similar or related issues of fact or law.<\/li>\n<li>Cases on issues of importance to the market generally and meeting certain criteria can also be pursued as Test cases under the Financial Markets Test Case Scheme in the Financial List (CPR PD 63AA) and also under the Commercial Court&#8217;s &#8216;Test and grouped cases&#8217; active case management scheme.<\/li>\n<\/ul>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What is the history of the development of the class actions\/collective redress mechanism and its policy basis in your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Class actions for consumer competition disputes were introduced under the Consumer Rights Act 2015. This legislation provided, for the first time, the equivalent of a US-style class action regime for private competition litigation on an opt-out basis. Opt-out class actions on a large scale have been enabled by the development of the litigation funding market, which has mitigated the significant legal costs of litigation. The other procedural mechanisms for group litigation are well established (and have been available to claimants for over 100 years). However, outside of the competition sphere, it is only relatively recently (possibly driven by the success of CPOs in the CAT), that larger-scale class actions have been pursued.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What is the frequency of class actions brought in your jurisdiction, in terms of number of cases over the years and\/or comparison to other types of litigation?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>While there is no data on the number of class actions brought via single claim forms, the number of reported judgments and settlements for class actions has markedly increased in recent years. Published records show that 125 GLOs have been issued and 19 CPOs have been certified. While as a proportion of total claims, class actions make up a relatively low percentage, the size of the class in some competition claims is so significant that it is estimated to be eight times greater than the population of the UK.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there certain courts or types of claims that are most prevalent (for example competition vs commercial litigation generally)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Claims certified under CPOs in the Competition Appeal Tribunal typically have the largest class size and the highest value. However, there is also an upwards trend in ESG claims in the High Court, both as GLOs and omnibus claims. The number of securities class actions issued in the courts is also increasing, although there have been few claims which have yet reached trial.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What is the definition of 'class action' or 'collective redress' relevant to your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Class actions and collective redress mechanisms are not subject to an umbrella definition. Different procedural mechanisms impose their own restrictions and defined terms. For example, competition claims can be &#8216;certified&#8217; as CPOs and group litigation in the court can proceed as a GLO. Fundamentally, whenever the court is dealing with more than one claimant or claim at the same time, it can be considered to be a class action.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the general 'triggers' for commencement of a class action or collective redress in your jurisdiction from a factual perspective?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The triggers depend on the mechanism adopted. In the Competition Appeal Tribunal, the trigger is certification of the CPO. In other courts, the trigger may be a party applying for a GLO or the court imposing active case management on multiple claims relating to common issues. For claims proceeding under omnibus claim forms, the trigger may simply be the existence of sufficient claimants who have suffered loss as a result of common or related issues of fact or law.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How do class actions or collective redress proceedings typically interact with regulatory enforcement findings? e.g. competition or financial regulators?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Class action proceedings are often commenced following regulatory findings on liability. This is legislated for under section 47A(2) of the Competition Act 1998 (CA), which specifically permits claims to be brought on the basis of an existing infringement decision in the Competition Appeal Tribunal (known as a &#8216;follow-on&#8217; claim). Sections 58 and 58A of the CA provide that the tribunal is bound by any findings of fact made by the Competition and Markets Authority during an investigation into competition law infringement and by any final infringement decision.<\/p>\n<p>Similarly, a ruling by a financial regulator may act as the basis for a class action against a financial institution for misleading statements, acts or omissions. Where that ruling involves a breach of a Financial Conduct Authority or Prudential Regulation Authority rule, the breach is actionable by a private person who suffers loss as a result. This type of claim could be pursued on a group basis under section 138D of the Financial Services and Markets Act 2000 (FSMA).<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What types of conduct and causes of action can be relied upon as the basis for a class action or collective redress mechanism?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Outside of the defined criteria required for competition claims and test cases under the Financial Markets Test Case Scheme in the Financial List, any type of conduct or cause of action can found a class action. The cause of action needs to have affected a group of people and ranges from financial services disputes to environmental claims.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any limitations of types of claims that may be brought on a collective basis?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>There is no universal limitation on the type of claim that can be brought on a collective basis. However, there are limitations on the types of claims that can be brought under some procedural mechanisms. For representative claims, all claimants must have the same interest in the claim and the courts have indicated that representative claims cannot be pursued where an individual assessment of damages is required.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Who may bring class action or collective redress proceeding? (e.g. qualified entities, consumers etc)<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Any natural or legal person may bring class action proceedings in England. It is worth noting, however, that as part of its certification process the CAT will assess whether it is &#8220;<i>just and reasonable<\/i>&#8221; for the proposed representative to act as a class representative.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any limits on the nationality or domicile of claimants in class actions or collective redress proceedings?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>There are no limitations to the types of claims which may be brought on a collective basis, so long as the High Court or the CAT determines that it is appropriate for the claims to be managed and heard using one of the available class action mechanisms. In <i>Emerald Supplies Ltd &amp; Anor v British Airways Plc<\/i> [2009] EWHC 741 (Ch), the High Court specifically confirmed that geographical spread will not preclude a representative action (at para. 30).<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any limitations on size or type of class?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>There is no blanket limitation on size or type of class. The only limitation for a group claim brought in an omnibus claim form is the convenience of the court. The court has also held that the manageability of litigation should not influence the court&#8217;s assessment of whether a properly arguable claim is an abuse of the court&#8217;s process. <u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any requirements or prohibitions in sourcing this class?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>No, although there are regulations governing solicitors&#8217; conduct in marketing and sourcing the class. There are also regulations governing the level of fees that can be charged in relation to certain claims.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Which courts deal with class actions or collective redress proceedings?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Competition class actions are dealt with in the Competition Appeal Tribunal. Other class actions are dealt with in the High Court.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any jurisdictional obstacles to class actions or collective redress proceedings?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The jurisdictional rules governing class actions are the same as for all other claims. There are no specific obstacles from a jurisdictional perspective that apply only to class actions.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Does your jurisdiction adopt an \u201copt in\u201d or \u201copt out\u201d mechanism?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Both mechanisms are available but opt-in is by far the more frequent for court claims. In the competition sphere, opt-out claims are more prevalent. Outside of the Competition Appeal Tribunal, an opt-out claim can only be brought as a representative claim.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What is required (i.e. procedural formalities) in order to start a class action or collective redress claim?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>For multiple claims in an omnibus claim form, the claim is started by issuing the claim in the High Court. At an early case management stage, the court will usually direct whether it determines it is convenient for the claim to continue as an &#8216;omnibus&#8217; claim.<\/p>\n<p>For a GLO, multiple claims can be issued at court (with different solicitors representing different groups of claimants). The GLO itself is &#8216;started&#8217; when the court makes a GLO order. At that point, the claims will be added to the GLO register and a cut-off date will normally be issued for other claims to join the GLO.<\/p>\n<p>For representative claims, the claim is started by the claim being issued at court. While the claim does not require the court&#8217;s permission to be issued in a representative capacity, there will normally be a procedural hearing (either on the application of the defendant or as part of the case management process) at which the court will decide whether the claim can be permitted to continue as a representative claim or not.<\/p>\n<p>For CPOs in the Competition Appeal Tribunal, the claim is started by issuing a collective proceedings claim form describing the proposed class, the proposed class representative and whether the claim is intended to be pursued on an opt-out or opt-in basis. The proceedings are started if the CPO is certified as being eligible to proceed and the class representative authorised.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What other mandatory procedural requirements apply to these types of matters?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>For an omnibus claim, there are no other mandatory procedural requirements. While the claim will typically proceed via the selection of lead or sample claimants, this is a flexible process determined at the court&#8217;s discretion.<\/p>\n<p>For GLOs, once the court has made the GLO order, all claims must generally be issued by the cut-off date and normally in the same court. The court may impose additional procedural requirements as part of the GLO. Lead or test cases are typically selected and a judgment on a GLO issue will normally be binding on all other claims on the GLO register. Specific costs rules in relation to GLOs will also normally be ordered by the court.<\/p>\n<p>Representative claims are not subject to other mandatory procedural requirements but the court will need to be satisfied that all claimants have the same interest in the claim and that there is no conflict in the class representative representing the entire class.<\/p>\n<p>For competition claims, once a CPO is certified, the court will continue to monitor and evaluate the class representative&#8217;s ability to establish and evidence loss on a class-wide basis if the matter proceeds to trial.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are normal civil procedure rules applied to these proceedings or a special set of rules adopted for this purpose?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, class actions follow normal civil procedure rules with some adaptations depending on the procedural mechanism used. For example, under a GLO there will be additional case management by the court regarding the cut-off date for claims and specific cost rules will apply. Claims certified as a CPO in the Competition Appeal Tribunal are also subject to additional rules governing the class representative&#8217;s conduct of proceedings. For the most part, the claim otherwise follows the normal civil procedure rules.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">How long do these cases typically run for?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Larger class actions typically run for several years before settlement or trial. Smaller class actions may be resolved more quickly. While the courts adopt active case management and can impose sanctions where the parties fail to adhere to the proposed timetable, the minimum time between issue and trial is likely to be at least 18 months.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What remedies are available to claimants in class action or collective redress proceedings?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>All of the remedies available from the English courts are available to class action claimants. An award of damages is the most common remedy but the courts can also order specific performance and other remedies.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are punitive or exemplary damages available for class actions or collective redress proceedings?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Punitive or exemplary damages are rarely awarded by the English courts and would not typically be awarded in the kinds of claims that are subject to class actions. They are available in precise and limited circumstances when authorised by statute or case law.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is a judge or multiple judges assigned to these cases?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Most hearings (aside from appeal hearings) are dealt with by just one judge \u2013 and that judge is normally appointed just before trial (i.e. not at an earlier stage in proceedings). <u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are class actions or collective redress proceedings subject to juries?  If so, what is the role of juries?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>No, class actions are not subject to jury trials.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What is the measure of damages for class actions or collective redress proceedings?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The measure of damages depends on the basis for the claim. Most class actions are founded in tort, where damages aim to put the claimant back into the position they would have been in had the tortious act not been committed. Where a class action is founded in contract (less common), the measure of damages is calculated to put the claimants in the position they would have been had the contract been performed. In a CPO, an aggregate award of damages may be awarded without undertaking an assessment of the amount recoverable for each class member. Case law has established that the only requirement for an award in a CPO is that the distribution is fair and reasonable.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is there any mechanism for the collective settlement of class actions or collective redress proceedings?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>The only mechanism operating outside of the normal civil procedural rules (which require parties to notify the court if a claim settles), is for opt-out CPO proceedings. Where an opt-out CPO settlement is reached, it must be approved by the Competition Appeal Tribunal under a collective settlement approval order. Such an order will be made where the tribunal is satisfied that its terms are just and reasonable.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is there any judicial oversight for settlements of class actions or collective redress mechanisms?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Outside of the Competition Appeal Tribunal, the court will not investigate or approve the terms of the parties&#8217; settlement.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What are the top three emerging business risks that are the focus of class action or collective redress litigation?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>1) Securities class actions<\/p>\n<p>While still in its infancy in comparison to other jurisdictions, securities class actions are an increasing risk for UK businesses. Shareholders can bring\u00a0claims under Section 90A of the Financial Services and Markets Act 2000\u00a0against listed companies where published information contains misleading statements or omissions. This type of claim can be brought where misleading market information is contained in annual reports or press releases addressed to the market as a whole, rather than individually communicated to specific investors. Claims can also be made under section 90 of the Financial Services and Markets Act regarding misleading statements or omissions in listing particulars. These kinds of claims are typically brought in the High Court either under a GLO or as an omnibus claim, with the selection of lead or sample claimants.<\/p>\n<p>2) ESG class actions<\/p>\n<p>The regulatory landscape for mandatory ESG disclosures is fast-paced and an increasing litigation risk. Businesses, especially those operating in multiple jurisdictions, face a range of novel and difficult potential class actions. In the English courts, these include claims against parent companies for actions taken by overseas subsidiaries. Such claims can include vast numbers of overseas claimants and can proceed in the courts via an omnibus claim or GLO. ESG claims have not yet successfully been the subject of a representative claim.<\/p>\n<p>3) Competition class actions<\/p>\n<p>Many claims certified as CPOs in the Competition Appeal Tribunal relate to alleged unfair pricing or practices across a range of industries from train companies to technology companies. In April 2024 in <em>Gutmann v Apple Inc &amp; Ors<\/em> [2025] EWCA Civ 459, the Court of Appeal upheld the ability of the Competition Appeal Tribunal to order that the litigation funder&#8217;s fee (or return) could be paid out of damages awarded to the class, prior to distribution of damages to the class. This decision is likely to have increased the likelihood of litigation funders participating in more consumer class actions. Consumer competition claims remain challenging for claimants (the claimants failed to succeed in the first \u2013 and so far only \u2013 trial of an opt-out CPO) but nonetheless represent an increasing risk for businesses. When such claims succeed (or settle), the impact both from a reputational and financial perspective can be significant.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What trends in litigation are evident in the last three years in your jurisdiction in respect of class actions?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Representative claims remain the most economically viable method of bringing class actions (outside of the competition sphere). However, case law (including from the Supreme Court in <i>Lloyd v Google LLC<\/i> [2021] UKSC 50) has made it difficult for claims to be brought on this basis. One of the most challenging aspects for claimants is the need to identify the same interest in the claim and the ability to assess damages on a uniform rather than individualised basis. While a number of representative claims have been pursued (and some have resulted in apparent settlement), the lack of a successful trial and judgment has made this type of claim riskier from a funding perspective.<\/p>\n<p>Another brake applied on class actions in the last three years has been the uncertainty over the regulation governing the funding of such claims by litigation funders. In 2023, the Supreme Court ruled in\u00a0<i>R (on the application of PACCAR Inc and others) v Competition Appeal Tribunal and others <\/i>[2023]\u00a0UKSC 28 that litigation funding agreements between claimants and third-party litigation funders constituted damages-based agreements (DBAs) and were therefore unenforceable in the context of opt-out CPOs. This decision also rendered other funding agreements outside of the competition sphere unenforceable, to the extent that existing litigation funding agreements did not comply with the regulations governing DBAs. In 2024, the UK Government introduced potential legislation designed to resolve the uncertainty caused by the\u00a0<i>PACCAR\u00a0<\/i>ruling. However, this proposed legislation is now on hold following the elections in the UK and subsequent change in government. The Civil Justice Council is now due to report on litigation funding during 2025, with potential further legislation or regulation following. Under consideration are three key topics: i) mandatory regulation; ii) a cap on funders&#8217; returns; and iii) the availability of &#8216;before the event&#8217; insurance.<\/p>\n<p>While certainty for litigation funders over the ability to fund class actions is key, collective redress remains a growth area for claims in the UK. The size and value of the potential market is significant and judgments are expected in a number of ESG claims in the next few years.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Where do you foresee the most significant legal development in the next 12 months in respect of collective redress and class actions?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Judgments in a number of significant omnibus ESG claims and GLO claims are expected in the near future, as explained in the response to question 29 above. The outcome of these trials is likely to be significant for the next steps in relation to class actions for mass torts. The number of CPOs certified by the Competition Appeal Tribunal has also increased in recent years and a successful judgment for claimants in such claims would be likely to pave the way for future litigation.<\/p>\n<p>The growth in class actions against financial institutions has led to concerns over systemic reputational and financial risks. As a result, the Financial Conduct Authority and Financial Ombudsman Service have consulted on how to modernise the redress framework for consumers in financial services claims. The consultation responses are expected to be published later this year and this may affect the future of mass financial services claims.<\/p>\n<p>We also expect the Government&#8217;s decision in relation to the regulatory environment for funding and managing class actions to have a significant impact on the number of such claims in the future.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are class actions or collective redress proceedings being brought for \u2018ESG\u2019 matters? If so, how are those claims being framed?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, claims are being brought for ESG matters. Some claims, in particular for environmental damage, are being pursued as GLOs (for example the NOX Diesel emissions claims) and others (for example the claim in relation to the collapse of the Brazilian Mariana Dam) are pursued as omnibus claims.<\/p>\n<p>Where the claim is brought by shareholders for alleged misleading ESG disclosures or practices by the company, such claims are increasingly being brought as securities class actions under sections 90 or 90A of the Financial Services and Markets Act.<u><\/u><\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any proposals for the reform of class actions or collective redress proceedings? If so, what are those proposals?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, changes are proposed in relation to funding which will have an indirect (but potentially significant) impact on the development of class actions. At present, the Civil Justice Council is consulting on these changes and the outcome is uncertain. There have also been proposals for collective redress schemes to be operated by regulators but as yet no formal decisions have been taken to launch such schemes.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\r\n<div class=\"word-count-hidden\" style=\"display:none;\">Estimated word count: <span class=\"word-count\">3872<\/span><\/div>\r\n\r\n\t\t\t<\/ol>\r\n\r\n<script type=\"text\/javascript\" src=\"\/wp-content\/themes\/twentyseventeen\/src\/jquery\/components\/filter-guides.js\" async><\/script><\/div>"}},"_links":{"self":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide\/106462","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide"}],"about":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/types\/comparative_guide"}],"wp:attachment":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/media?parent=106462"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}