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EU consumer laws won't go US route

  International  -   POSTED: 2007/11/13 09:29

AMERICAN-STYLE class action lawsuits are not on the agenda in Europe, ministers have promised.

The European Union's consumer chief dismissed fears she intends to introduce US-style class action lawsuits to member states next year as part of her strategy to strengthen consumer rights.

EU Consumer Protection Commissioner Meglena Kuneva announced in March that she hoped to introduce a new system of "collective redress" aimed at giving European consumers more power to bring claims against providers of faulty goods or services.

But she dismissed claims that she proposed to copy the US system, where class action laws have allowed lawyers to create a thriving litigation industry seeking colossal damages against companies.

Class actions have been criticised in the US as letting enterprising law firms win big fees while often generating little return for the individuals concerned.


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