The new remedies for the alternative dispute resolution of consumer disputes

Abstract

The new remedies for alternative dispute resolution (ADR) for consumer disputes introduced by Governmental Ordinance 38/2015 offer a simple, fast and low-cost out-of-court solution to disputes between consumers and traders. Ensuring access to simple, efficient and fast ways of resolving domestic and cross-border disputes which arise from sales or service contracts remains the main objective of Directive 2013/11/EU, thus transposed into national law by the mentioned ordinance.

The development of properly functioning ADR is necessary to strengthen consumers’ rights to a fair trial within a reasonable time, including in the area of online commerce. The dissemination of ADR can also prove to be important in the context in which there may be a substantial backlog of cases pending before the courts of law.

The new alternative remedies apply to disputes between consumers and traders concerning contractual obligations stemming from sales or services contracts, both online and offline. The definition of ‘consumer’ covers natural persons who are acting outside their trade, business, craft or profession. However, if the contract is concluded for purposes partly within and partly outside the person’s trade (dual purpose contracts) and the trade purpose is so limited as not to be predominant in the overall context of the supply, that person should also be considered as a consumer.