IMCO Committee adopts its position on ADR

4 March 2024: The European Parliament’s Internal Market and Consumer Protection (IMCO) Committee adopted its position on the Alternative Dispute Resolution (ADR) proposal on 22 February. Given the high number of air passenger rights complaints, MEPs want to make it mandatory for airline carriers to participate in ADR.

The adopted text also includes measures to bundle together similar cases against the same trader (with the consumer’s consent) and to facilitate direct interactions between consumers and traders, in order to help streamline the dispute resolution process.

ADR entities will not only monitor the outcomes of ADR procedures but also list traders who systematically or unduly refuse to comply with the outcomes of the ADR procedures. Irrespective of whether the outcome is binding, the trader would have to provide a written explanation.

MEPs consider it vital to maintain high-quality ADR entities to build trust among consumers and traders, and therefore suggest regular updates to the expertise and training of staff in the ADR entities.

Background – The ADR directive was established in 2013 and has not been updated since. In October 2023, the Commission proposed to discontinue the platform and to adapt the ADR directive to the evolving digital market landscape.

Next steps – The text will now be voted an upcoming plenary session.