Opt-out systems in collective redress EU perspectives and present situation in the Czech Republic

Hamuľáková, Klára (2018) Opt-out systems in collective redress EU perspectives and present situation in the Czech Republic. Hungarian Journal of Legal Studies, 59 (1). pp. 95-117. ISSN 2498-5473

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Abstract

It is common nowadays for a person to suffer an injury as a result of a widespread illegal practice by a particular entity. Individual redress mechanisms prove to be insufficient. It is therefore crucial to provide a suitable way for an injured party to achieve remedy. Collective litigation serves this exact purpose. This article defines opt-in and opt-out systems of collective redress, asseses their strengths and weaknesses and offers possible solutions. The author does not omit two related topics: time limits for opt-in and opt-out, and notice of initiation of the proceeding. The article also contains a comparative study of Danish, Norwegian, Dutch, Portuguese, British and Belgian systems as representatives of opt-out systems. Lastly, the article also describes the current state in the Czech Republic, where a debate is currently taking place over the possible form of collective redress. The aim of this article is to provide a complex view of pros and cons of the opt-out system of group proceedings and to show that the opt-out system can be functional and suitable for collective redress.

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