This policy brief addresses the difficulty consumers face when trying to resolve minor disputes with business, for which the courts prove too slow and costly. It comes in response to the EC proposed legislation in November 2011 for an EU-wide alternative dispute resolution mechanism.

By consolidating the emerging alternative dispute resolution systems, the policy brief proposes a new model to both enable consumers to effectively enforce their rights, and to help identify problems and prevent them from becoming mass issues.

This policy brief addresses alternative dispute resolution mechanisms in Europe to propose an integrated, holistic approach to encompass the range of mechanisms for resolving disputes, including ombudsmen, compensation schemes, business codes of conduct, complaint boards, and other pathways.

In response to the increase in collective redress, a European alternative to US-style class actions is presented by way of a model for the alignment of the various existing systems to promote good practice.

Drawing on the scientific findings of behavioural psychology research, the authors find that there is little empirical evidence that traditional theories of deterrence affect future business behaviour, and that a collaborative, positive approach between business and regulators is most effective in improving behaviour along ethical lines. 

This policy brief outlines major developments and issues in consumer dispute resolution systems in Europe that were highlighted at the conference 'Consumer ADR: Delivering Fairness and Justice for Consumers, Business and Markets' held at Wolfson College, Oxford on 18 and 19 March 2019.