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ARTICLE · 27 DECEMBER 2023

New Type Of Action Redress Action For Mass Proceedings In Germany

With the transposition of the EU Directive on representative actions into the German national law, a true class action will for the first time be added to Germany's litigation landscape.

GermanyConsumer Protection

With the transposition of the EU Directive on representative actions into the German national law, a true class action will for the first time be added to Germany's litigation landscape. The introduction of the “redress action” (“Abhilfeklage”) poses an increased risk to companies of having to go to great lengths to defend themselves against claims by consumer protection associations.

The German Consumer Rights Enforcement Act (Verbraucherrechtedurchsetzungsgesetz - Gesetz zur gebündelten Durchsetzung von Verbraucherrechten – VDuG) (BGBl I No. 272/2023) transposes the EU Directive on representative actions (EU Directive 2020/1828) into German civil procedural law. Accordingly, consumers in Germany will be able to bring collective claims against companies pursuant to section 1 (1) no. 1 VDuG. The redress action will enable associations to claim damages or remedies such as repair, contract termination, price reduction or a refund of the purchase price (section 14

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