Thursday, December 12, 2024

Council of Ministers Approves Bill to Enhance Consumer Class Action Lawsuits

LAWCouncil of Ministers Approves Bill to Enhance Consumer Class Action Lawsuits

The Council of Ministers has approved a draft bill amending the Act on Pursuing Claims in Group Proceedings and certain other acts. The draft, presented by the President of the Office of Competition and Consumer Protection (UOKiK), aims to align Polish law with the EU directive, enabling consumers to make more effective use of class action lawsuits.

The introduction of the new regulations aims to enhance the level of consumer protection and strengthen the mechanisms for pursuing claims collectively. This will make entrepreneurs more inclined to comply with EU consumer law, contributing to a level playing field in the market and fostering fair competition.

The new regulations provide for more effective use of class action lawsuits by consumers. In addition to the existing model of protecting collective consumer interests, based on proceedings conducted by the President of UOKiK, a model will be introduced for filing lawsuits against entrepreneurs in common courts.

Authorized entities, such as non-governmental organizations, including consumer organizations, and the Financial Ombudsman in cases arising from financial agreements, will be able to file class action lawsuits. These entities will be able to seek the cessation of practices that violate the general interests of consumers, as well as claims related to these practices, such as compensation, repair, price reduction, or reimbursement.

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