We consider the implications of a new EU Directive to introduce
representative actions for breaches of certain EU laws, including
consumer rights, product liability and product safety
legislation.
After months of negotiations, the European Parliament, the
European Council and the European Commission reached a compromise
agreement on the content of a new Directive on consumer collective
redress last week, which was approved by the Legal Affairs
Committee on Tuesday. These reforms were originally proposed by the
Commission as part of its "New Deal for Consumers", but
there are significant differences in the final text. We take a look
at the agreement in detail below.
Overview
The new Directive will enable "qualified entities"
(generally consumer organisations) to bring representative actions
in the EU in the collective interests of consumers. It
distinguishes between two types of representative actions –
those brought in one Member State, and cross-border actions