Lawyers reveal benefits of derivative and class actions

At the initiative of the Committee on Procedural Law of the Ukrainian Bar Association, a discussion was held on specific procedural tools for protecting rights – derivatives and class actions.

As “Law and Business” was told at APU, ​Ksenia Pogruzhalska​, senior lawyer in the international law firm on Dispute Resolution Practice ”Baker McKenzie ”, ​Yevgen Dyadyuk​, ”Redcliffe Partners” Senior Lawyer, attorney, Ph.D. and ​Boris Malyshev​, an expert in public law and human rights, Doctor of Law.

In particular,  Malishev spoke about the concept of bill No. 10292 and class actions as a tool for protecting environmental rights. In general, he noted that after a substantial update of the content of the Code of Civil Procedure two years ago, the issue of introducing a special procedure for considering cases to protect the rights and legitimate interests of numerous groups of people remained open.

Boris  Malishev emphasized :“The current version of the Civil Procedure Code of Ukraine does not allow the court to effectively consider cases where a significant number of citizens are the plaintiffs”.

At the same time, the proposed bill will solve the problem of class action in the courts of Ukraine, will streamline the scope of this type of lawsuit, significantly relieve the courts of Ukraine in the event of filing such claims, will create additional guarantees for the protection of human rights and freedoms, formalize the scope of public control over the public sector with the help of judicial instruments, will bring the procedural legislation of Ukraine closer to international standards of public access to justice. Dyadyuk, in turn, identified several separate types of class action lawsuits, including a class action and a lawsuit in defense of an indefinite number of people.Their ability to simultaneously protect a large number of people unites them.

The senior lawyer of the international law firm on Dispute Resolution Practice “Baker McKenzie “ told more about the specifics of derivatives and class actions.

As Pogruzhalska noted, derivatives and class actions can be highly effective in protecting the rights of not only one person, but a wide range of persons whose rights are simultaneously violated by the actions of the common defendant.

These days, an interesting judicial practice is being formed, on the basis of the conclusions of the Supreme Court to consider different disputes, and the number of cases in derivative claims is growing.

She is convinced that a class action lawsuit can gain enormous popularity among the public, especially in the areas of environmental and consumer protection.

She is convinced that the institution of class action can become very popular among the population, especially in the areas of protecting environmental rights and protecting consumer rights.

Pogruzhalska said : “The possibility of filing a class action greatly facilitates the process of initiating a dispute involving tens / thousands of people and aims to simplify the process of considering such claims. Group disputes have long been popular abroad (for example, the USA is the undisputed leader in the number of disputes and amounts payable), and practice is being formed in Europe (for example, in the Dieselgate
Volkfwagen case) ”.

The lawyer noted that nowadays, our legislation does not contain regulation of the class action institute, however, taking into account that certain steps have already been taken towards the development of legislative norms, there are reasons to expect changes in the situation in this part.

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