Greater Consumer Protection: New Rules for Group Lawsuits
The draft law implements an EU directive, enabling "authorized entities" (e.g., consumer organizations) to more effectively bring group lawsuits against businesses. The new regulations allow for seeking the cessation of harmful practices and compensation claims, introduce fee limits for consumers, and provide courts with tools to discipline companies, including high financial penalties.
Key points
Authorized entities: Introduction of the category of "authorized entities" which can sue businesses to establish the use of prohibited practices without the need to collect statements from a group of consumers (in cases regarding cessation).
Fee limits: Establishment of a maximum fee for joining a group at 5% of the claim, not more than PLN 2000 (monetary claims) or PLN 1000 (others), which constitutes the only cost for the consumer.
Sanctions and evidence: Courts can order the disclosure of evidence and impose fines on businesses of up to PLN 5 million for non-compliance with a judgment or up to PLN 50,000 per day for delay.
Role of the UOKiK President: The President of the Office maintains a register of authorized entities and can join group proceedings with the rights of a prosecutor.
Withdrawal from the group: A group member may withdraw from group proceedings within two weeks of being informed of a concluded settlement if they do not agree with its terms.
96%
VOTING RESULTS
2024-07-24
For
423
Against
0
Abstain
18
Status:
Enacted
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