Leigh Mallon, James Kitching & Tobias Caspary explore opt-out “class-actions” for competition law damages actions in the UK
In recent years there have been a number of legislative and regulatory changes aimed at simplifying the process by which those who suffer loss as a result of competition law breaches can obtain compensation. The latest amendments to the Competition Act 1998 (CA 1998), via the Consumer Rights Act 2015 (CRA 2015), were passed in the last weeks of the most recent UK Parliament. The changes, which are expected to come into force on 1 October 2015, include:
- increasing the types of competition law cases that the Competition Appeals Tribunal (CAT) hears; and
- introducing a right to bring opt-out collective actions and to enter into opt-out collective settlements for infringements of competition rules.
These changes are likely to result in a significant increase in the number and type of competition-based damages claims brought in the UK with a corresponding increase in the likelihood that businesses will find themselves as claimants or defendants in such actions. This article outlines the key procedural
