No Class Action Without Legislation? The Court of Justice Cuts Both Ways On Class Actions in ASG 2

On January 28, 2025, the Grand Chamber of the Court of Justice issued a much-awaited preliminary ruling that clarifies when national laws that prohibit the transfer of antitrust compensation claims to bring a collective action breach EU law.

The Court of Justice held that, to respect the principle of effectiveness, national procedural rules cannot limit recourse to such group actions where it is the only procedural way for individuals to bring a claim for compensation.  While it is clear that the Court of Justice did not consider Member States are under an obligation to always allow for group action lawsuits, the implications for private enforcement are yet unclear.  This will likely be the subject of additional litigation and preliminary rulings.

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