Q&As

In a consumer contract dispute, what status does an Ombudsman have in terms of alternative dispute resolution, particularly with regard any costs penalties for failure to engage in alternative dispute resolution?

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Published by a LexisNexis Dispute Resolution expert
Published on: 24 August 2017
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ADR for consumers

The Alternative dispute resolution for Consumer Disputes (Amendment) Regulations 2015, SI 2015/1392 (the 'Amended Consumer ADR Regs') implements the EU alternative dispute resolution (ADR) Directive 2013/11/EU which aims to promote the use of ADR in consumer disputes by encouraging the use of approved ADR entities that ensure minimum quality standards. The EU ADR Directive 2013/11/EU is the European Parliament's response to recognition both that ADR is an effective, low-cost and speedy means of resolving consumer disputes (thus promoting trade) and yet that the provision of ADR services throughout the union is currently fragmented and inconsistent.

The Alternative Dispute Resolution for Consumer Disputes (Competent Authorities and Information) Regulations 2015, SI 2015/542 (the Consumer ADR Regulations) do not make ADR of consumer disputes mandatory, however, ADR must be made available where both parties agree to use it and the regulations therefore include requirements as to making available information about

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Jurisdiction(s):
United Kingdom
Key definition:
Ombudsman definition
What does Ombudsman mean?

The Ombudsman ensures the good administration and transparency of EU institutions. The main objective of the ombudsman is to support the EU institutions in becoming more effective, transparent and accountable and is completely independent and impartial in the performance of its duties. The Ombudsman can open an investigation on its own initiative or following a complaint, if an institution or body of the EU fails to respect fundamental rights, legal rules or principles, or the principles of good administration. For more information on the Ombudsman, see the European Ombudsman website.

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