Cap. 635 · Representative Actions (Consumers) Act (Cap. 635)
Cap. 635 Art. 12Redress settlements.
Title II
(1) For the purpose of approving settlements, in a representative action for redress measures:
(a) the plaintiff and the defendant may jointly propose to the Civil Court a settlement regarding redress for the consumers concerned; or
(b) the Civil Court after having consulted the plaintiff and the defendant, may invite the plaintiff and the defendant to reach a settlement regarding redress within a reasonable time limit:
Provided that the plaintiff is to consult with the represented consumers on behalf of whom the plaintiff filed the representative action prior to moving forward with a settlement.
(2) Settlements referred to in sub-article (1) shall be subject to the scrutiny of the Civil Court. The Civil Court shall assess whether it has to refuse to approve a settlement that is contrary to mandatory provisions of the law, or includes conditions which cannot be enforced, while taking into consideration the rights and interests of all parties, and in particular those of the represented consumers. The Civil Court may refuse to approve a settlement on the grounds that the settlement is unfair.
(3) If the Civil Court does not approve the settlement, it shall continue to hear the representative action concerned.
(4) Approved settlements shall be binding upon the plaintiff, the defendant and the individual represented consumers concerned.
(5) The redress obtained through an approved settlement in accordance with sub-article (2) shall be without prejudice to any additional remedies available to consumers under European Union or national law which were not the subject of that settlement.