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Disputes between consumers and traders - Publication of proposals for Alternative Dispute Resolution

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Thu, 09/29/2011

On 29 November 2011, the European Commission puts forward a proposal for a directive on Alternative Dispute Resolution (ADR) and proposal for a Regulation on Online Dispute Resolution.

On 29 November 2011, the European Commission puts forward proposals for faster, easier and cheaper solutions to disputes between consumers and traders. It is first a proposal for a directive on Alternative Dispute Resolution (ADR) that will ensure that quality out-of-court entities exist to deal with any contractual dispute between a consumer and a business. Under the proposal, ADR entities will have to meet certain quality criteria, i.e. be well-qualified impartial, transparent, effective and fair ; businesses will inform customers about the ADR entity which can deal with a potential contractual dispute with them and ADR entities will resolve the disputes within 90 days. It is also a proposal for a Regulation on Online Dispute Resolution that will create a EU-wide online platform (‘ODR platform’) providing consumers and businesses with a single point of entry for resolving on-line the disputes concerning purchases made on-line in another EU-country. This single European point of entry will automatically send the consumer’s complaint to the competent national ADR entity facilitate the resolution of the dispute within 30 days.

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