Proposed directive will offer consumers 'new deal' on
collective redress.
One unintended effect of the so-called Dieselgate scandal has
been to highlight the lack of effective class action mechanisms in
Germany and, indeed, the rest of the European Union. This deficit
is being addressed and will lead to significant changes in
2019.
In Germany, a new consumer class action framework has been
created: Musterfeststellungsklage, which translates into English as
Model Declaratory Proceedings (MDP). Pre-MDP, German law specified
that potential claimants against VW had just three years to file
for compensation. MDP's introduction in November 2018 enables
collective actions against car manufacturers to be launched before
the time-bar at the end of the year.