Alternative Methods of Consumer Dispute Resolution in EU Law

Consumer protection legislation at EU and Member States’ level has been significantly strengthened in the past decades. However, existing system of court proceedings discourage consumers from trying to seek redress when their rights are violated. This is because consumers believe court proceedings to be expensive, time-consuming and their outcome uncertain. The new legislative initiative in the EU will reform the system of alternative resolution of consumer disputes. The basic role plays ADR directive which will ensure that consumers can turn to quality alternative dispute resolution entities for all kinds of contractual disputes that they have with traders. The ODR Regulation will set up an EU-wide online platform for handling consumer disputes that arise from online transactions. The platform will link all the national alternative dispute resolution entities and facilitate consumer access to their on line services. Member States have 24 months to implement the directive, while the ODR platform will be operational at the end of 2015