Opinion of the European Economic and Social Committee to the European Parliament on ADR for consumers

Column: Mediator’s Diary

On 29.01.2024, at a plenary session, the opinion of the European Economic and Social Committee (EESC) on the alternative resolution of consumer disputes was unanimously adopted.

EESC supports the development of Alternative Dispute Resolution (ADR) alongside judicial proceedings for consumer redress, emphasizing the importance of national enforcement of consumer rights. It advocates for minimal harmonization allowing Member States to enhance ADR schemes. The EESC encourages traders, especially SMEs, to participate voluntarily in ADR and recommends measures to increase their involvement, especially in key sectors like travel, finance, and telecommunications.

The legislative proposal aims to modernize ADR by including non-EU traders and addressing unfair practices. It emphasizes timely responses from traders and the role of designated bodies in assisting consumers with ADR procedures. The proposal also suggests digital tools to replace the infrequently-used Online Dispute Resolution (ODR) platform.

The EESC highlights the importance of ADR in settling disputes and promoting consumer trust. It suggests improvements in reporting mechanisms and calls for sector-specific approaches to address vulnerable groups. The EESC also stresses the need for adequate enforcement of consumer rights, fair financial contributions from non-EU traders, and increased cross-border cooperation among ADR schemes.

Overall, the EESC supports the proposals but recommends clarity on access conditions, monitoring of ADR entities' performance, and strategies to ensure compliance with ADR decisions. It suggests exploring voluntary adherence options and additional legislative measures to strengthen participation and commitment to ADR processes.

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Source: https://www.eesc.europa.eu/en/our-work/opinions-information-reports/opinions/alternative-dispute-resolution