Commission unveils plans for Europe-wide price-fixing compensation
The European Commission has outlined Europe-wide plans to make it easier for consumer groups and individuals to sue companies for breaches of European anti-cartel law by removing barriers to wronged consumers to claim for their full financial losses.
The Commission plans to override national restrictions in many parts of the EU to enable consumers to claim the full value of damages incurred by consumers or other businesses.
At present, the vast majority of cartel cases are brought by the competition authorities at the European Commission. This in stark contrast to the position in the United States where more than 80% of price-fixing claims are initiated by private groups and individuals.
The commission, however, has stopped short of introducing US style class actions, in which lawyers bring claims on behalf of all the victims affected unless they specifically opt-out, a system which has led to some huge awards being made on the other side of the Atlantic.
“This represents a middle way between the barriers to compensation that exist in most EU states and the over-incentives that could lead to excessive litigation,” Nellie Kroes, the Competition Commissioner.
The Commission plans to override national restrictions in many parts of the EU to enable consumers to claim the full value of damages incurred by consumers or other businesses.
At present, the vast majority of cartel cases are brought by the competition authorities at the European Commission. This in stark contrast to the position in the United States where more than 80% of price-fixing claims are initiated by private groups and individuals.
The commission, however, has stopped short of introducing US style class actions, in which lawyers bring claims on behalf of all the victims affected unless they specifically opt-out, a system which has led to some huge awards being made on the other side of the Atlantic.
“This represents a middle way between the barriers to compensation that exist in most EU states and the over-incentives that could lead to excessive litigation,” Nellie Kroes, the Competition Commissioner.

