The Civil Justice Council has published a research paper entitled “Reform of Collective Redress in England and Wales: a perspective of need”. The report considers whether improvements are needed to current collective redress mechanisms. Current mechanisms, such as the Group Litigation Order, operate on an opt-in basis, whereby participants of a class have to expressly choose to participate. On average, participation rates are low due to procedural difficulties and a generally low value of recovery per individual. The report concludes that an opt-out model should be adopted, whereby individuals in a class are party to the litigation unless they expressly choose not to be. This option is being considered in relation to private enforcement actions under the Competition Act 1998.
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Civil Justice Council publishes collective redress research
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