At the end of April 2018, a new Class Actions Act will enter into force, systematically regulating class actions, that are already known in Slovenian legal system, however never fully brought to life.
The ClassActionsActregulatesareasinwhichclassactioncanbefiledincaseswhenrightsare violatedorhaveanegativeimpactonalargenumberofentities. Provisions governing procedural aspectsingreaterdetail, introduceintolegalorderoftheRepublicofSlovenia somenovelties thathavenotbeenknownbefore.
AttheendofApril,morespecifically21April2018,theClassActionsAct(ZKolT,Ur.l.RS,No. 55/2017),adopted26September2017,willenterintoforce.Thereasons fortheadoptionofthe lawstemmainlyfromtherecommendationsandorientationsoftheEuropeanUnionandthe requirementsofitssecondarylegislation. Although classactionshave alreadybeenregulatedin Slovenianlegalsystem,namelyinconsumerdisputes,they have notbeenfullyimplementedinto practiceforvariousreasons.Additional systematicapproachwasneeded,and accordingtothe legislator itisnowcoveredwith solutionsgovernedby ClassActionsAct.Thesesolutionsarenot intendedsolelytofacilitatecollectiveprotection of rightsofindividualssufferingdamageincourt proceedings,butalso to createadeterrenteffectonthe behaviourofpotentialinfringers.They are,asarule,economicallyorotherwisesignificantlystrongerthanindividualvictims,whowill nowhavetheopportunitytoacttogether. ClassActionsAct anticipatestwotypesoflawsuits: collectiveinjunctions andcollective compensatoryactions.Whiletheformerwasalreadypartof theSlovenianlegalsystem- itwasregulatedwiththeprovisionsoftheConsumerProtectionAct – thelatterrepresentsacompletenovelty. Itsaimistoobtaincompensations forthedamage suffered,forwhich,within thecurrentindividualsystemofjudicialprotection,thebeneficiaries rarelydecidedtolodge actions.Classactionsshouldbeincomparisonwithindividuallawsuits, lesserburdenforindividuals.
Inaccordancewiththenewlyadoptedlaw,itwillbe possibletolodge classactionsforviolations of following legal areas:
- consumerprotection;
- competition – concerning infringementofprovisionsprohibitingrestrictivepractices;
- financialinstruments- regarding violationsoftherulesoftradingonregulatedmarketsand inrelationtoprohibitedpracticesofmarketabuse;
- workers’ protection;
- liabilityfordamagescausedbyenvironmentaldisasters.
Thelawintroducesasystemofrepresentative action,whichinpractice meansthatclassactions couldbelodgedbyprivatelaw legalentities , engagedinanon-profit-makingactivityrelatedto thecontentofaclassactionandalsoby seniorstateattorneys.Undercertainconditions,entities fromotherEUMemberStateswillalsobeabletofile class actions. SincethepurposeofClass Actions Actisnotonlytofacilitatejudicialprotectionforindividualsandtoenablethemtoobtain compensations,butalsotopreventunfairlitigation,itgovernsseveral proceduralguarantees intendedmainlyforprotectionof interestsofbusinessentitiesintheserelationships.Theseare:
- preliminary processoftheexaminationandapprovalofacompensatorycollectiveaction,
- prohibitionof punitivedamages,
- intermsofreimbursementofproceduralcostsprincipleofsuccessisused(thepartythat losesbearsthecostsoflitigation),
- prohibition onfinancingclassactionsbyfundproviderthatisacompetitorofthe defendant.
Potentialplaintiffswillbeinformedaboutthepossibilityofjoiningaclassactionthrougha registerkeptbyHighCourtofRepublicofSlovenia,publiclyavailableonthewebsitesofjudiciary.
Asfiduciaries ofawarded collectivedamages are exclusively predicted notariespublic, and the partieswillbepriortoappointmentofthenotarypublic,providedwithanoptiontonominate chosennotarypublic. AccesstothefulltextofClassActions ActinSlovenelanguageisavailable onthelinkbelow:
https://www.uradni-list.si/glasilo-uradni-list-rs/