We are continuing to monitor global trends in class actions that are likely to be of interest to financial institutions, particularly in light of the growing trend of so-called class action tourism.
Having covered updates in France and Germany, we now share an article from our Milan team, considering the widespread criticisms that have been made of the current Italian regime and the key aspects of anticipated reforms.
Although a decade has passed since the introduction of class actions in Italy, only a handful of actions have been brought before the Italian courts and even fewer have been successful. There has been much debate as well regarding the very low amount of damages ultimately awarded by the courts to consumers. A drastic change has been called for, and some hope has also been pinned on the new European legislation fostering collective redress. This has been the driving force behind a comprehensive reform of the Italian class action system, aimed at expanding and encouraging the use of class actions. The implementation of these reforms has however been postponed twice, and it will now be another six months before the new class action rules come into force. Once the rules take effect, businesses should expect to see an increase in the number of collective claims brought against them.