Developments in the implementation of the Directive on representative actions

2024-04-17T18:05:00
Spain European Union

The lower house of the Spanish parliament is processing the Bill on class actions

Developments in the implementation of the Directive on representative actions
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April 17, 2024

The Bill on efficiency measures of the Public Service of Justice and collective actions for the protection and defense of rights and interests of consumers and users, implementing Directive 2020/1828, contains a specific regulation on class actions.

Key aspects

  • The procedure includes a certification phase to examine, among other aspects, the homogeneity of consumers’ claims.

  • The Bill provides for an opt-out system (binding on all consumers, except those who request to be excluded). An opt-in system is also available where the value of the performance due to each consumer exceeds €3,000 and the court considers it more advisable to ensure a good administration of justice.

  • A liquidator will distribute the funds among the unidentified consumers, returning the remainder to the defendant.

  • The Bill allows for third-party funding subject to judicial controls.

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April 17, 2024