Alternative Dispute Resolution Mechanisms
Alternative Dispute Resolution Mechanisms (ADR) are an out-of-court mechanism that allows consumers to resolve disputes with the trader thanks to the intervention of an impartial third party (the ADR body). Compared to court procedures, it is an easy, fair and cost-effective mechanism to enforce consumer rights, especially when it involves low-value disputes.
Although the EU tried to harmonise the ADR framework by setting common minimum standards, the functioning of this mechanism is quite heterogenous in Europe. Among others, there are difference regarding the obligation for traders to engage in such procedures (not always mandatory) and the nature of the outcome (not always binding).
Currently, there are more than 400 notified bodies, which can be used to deal with consumer complaints in areas such as transport (especially air travel), clothing, holiday accommodation, ICT goods and services, and financial services.
How to act
- Before submitting a complaint to an ADR body, you should contact the trader directly and try to solve the issue with them.
- If the dispute refers to a product or service you bought online, you can use the Online Dispute Resolution (ODR), a platform created by the European Commission to directly resolve disputes with traders. You can use this platform to reach out a trader directly or agree on an Alternative Dispute Resolution (ADR) body to mediate.
- If you cannot resolve the problem directly with the trader, you might submit your complaint to the ADR, in most cases by using an online form available in its website. In some cases, you might have to do so by post.
- You can have an overview of the existing national ADRs in the following website. You can also find more information in ADRs work in a dedicated European Commission’s website.
- Although there is little European consumer legislation with specific provisions on persons with disabilities, you can use ADRs to enforce passenger rights regulations. In Germany, Söp is recognised by the German Federal Government as a consumer conciliation body in the transport sector. In Spain, the Spanish Aviation Authority (EASA) has started working as ADR for air passenger rights.
- Recital 99 of the European Accessibility Act encourages Member States to establish alternative dispute mechanisms to address non-compliance with this directive prior to an action being brought before courts or competent administrative bodies.