A new law on class action lawsuits comes into effect today, Monday. Under the regulations a minimum of ten people may press charges against a given company, and split court costs.
An employee of a legal counselling firm, Karol Ciszak, believes the effectiveness and popularity of collective lawsuits in the country is all up to the efficiency of Polish courts.
“It will certainly be a great challenge for Polish courts,” Ciszak told Polish Radio, “as they have never dealt with representative action before. It’s a new institution and we’ll see how it works in practice. There may be many plaintiffs, and so the active role of courts may be decisive in the application and in benefits gained in the Polish judiciary.”
The Polish model of class action lawsuits rules out, however, that the damages may exceed the costs of losses incurred, as is the case in the United States, and will rather resemble the Swedish model, where the number of such lawsuits remains very low.
That is why to many companies the greatest risk involved is the dent in one’s reputation. Property developers, airlines, insurance companies, and are just some of the industry branches exposed to such legal action.
Meanwhile, the citizens of Piaseczno, central Poland, have filed the very first class action lawsuit. They demand to determine the authorities responsible for poor flood prevention measures in their area, which have left their houses under water in storms that hit central and southern parts of the country in June. (aba/jb)
Source: IAR
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