MEP welcomes endorsement of alternative dispute resolution report

New law gives European citizens alternative to resolve disputes with traders other than having to resort to Court, often seen as lengthy and costly.

Labour MEP Louis Grech
Labour MEP Louis Grech

Labour MEP Louis Grech welcome the endorsement of his legislative report on alternative dispute resolution, saying citizens should have access to effective, low-cost and simple ways of resolving disputes when purchasing goods or services nationally and across European borders.

Grech's report was overwhelming endorsed this week, saying the law will ensure that consumers receive a final response to a complaint within 90 days and with no, or at a very low cost.

This would give European citizens an alternative to resolve disputes with traders other than having to resort to Court, often seen as lengthy and costly.

"The outcome of the vote is a real success," Grech said. "The economic and financial crisis has left the EU weak, and it is now more than ever before that we must revamp the Single Market and ensure it works at optimal levels, instilling consumer trust and confidence in the European Market."

European e-commerce has emerged as a vital sector containing uncapped potential for growth. "That is why ADR is important. While a number of European citizens encounter problems when purchasing goods or services in the EU, only a small percentage of consumers having encountered such problems go on to take their case before a dispute entity, and an even smaller amount achieve redress.

"Today, citizens are not on equal footing when they purchase goods in another country especially if they have to face a problem. "Too many obstacles resulting from lack of information, a fragmented system, lack of legislative initiative and a lack of a harmonised approach stand in the way. It is essential to overcome such obstacles if Europe hopes of putting the financial and economic crisis to rest," Grech said.

Towards the end of summer 2012 the Internal Market Committee will begin negotiations with the Council with view to a possible first reading agreement leading to the prompt adoption of this legislation.