The Competition Appeal Tribunal Rules 2015

Collective settlements where a collective proceedings order has not been made

96.—(1) An application for a collective settlement order shall be made to the Tribunal by—

(a) a person who proposes to be the settlement representative in relation to the collective settlement; and

(b) the person who, if collective proceedings were brought in respect of the claims would be a defendant in those proceedings (or where more than one person would be a defendant in those proceedings, such of those persons as wish to be bound by the proposed collective settlement).

(2) The application for a collective settlement order referred to in paragraph (1) shall—

(a) identify the proposed settlement representative;

(b) provide a summary of the basis on which the proposed settlement representative seeks to be authorised to act in that capacity in accordance with paragraphs (9) to (11);

(c) identify the person or persons who would be a defendant or defendants in collective proceedings and who it is proposed will be parties to the collective settlement;

(d) provide a description of the proposed settlement class;

(e) provide an estimate of the number of class members and the basis for that estimate;

(f) provide details of the claims to be settled by the proposed collective settlement;

(g) provide a summary of the basis on which the claims, if they had been made in collective proceedings, would satisfy the requirements of rule 79; and

(h) annex—

(i) a draft collective settlement order;

(ii) a draft of the summary referred to in paragraph (5); and

(iii) a draft of the notice referred to in paragraph (15).

(3) Unless the Tribunal otherwise directs, the signed original of the application for a collective settlement order shall be accompanied by five copies of the application and its annexes certified by the proposed settlement representative or its legal representative as conforming to the original.

Response to an application for a collective settlement order

(4) On receiving an application for a collective settlement order, the Tribunal may give any directions it thinks fit, including for the hearing of the application.

(5) The Registrar shall publish a summary of the application for a collective settlement order on the Tribunal website.

Determination of the application for a collective settlement order

(6) The Tribunal may make a collective settlement order only—

(a) if it considers that the person who proposes to be the settlement representative is a person who, if the order were made, the Tribunal could authorise to act as the settlement representative in relation to the collective settlement in accordance with paragraphs (9) to (11); and

(b) in respect of claims which, if collective proceedings were brought, would be eligible for inclusion in such proceedings in accordance with rule 79.

(7) At the hearing of the application for a collective settlement order, the Tribunal may make—

(a) a collective settlement order; and

(b) any other order or give any other directions as it considers appropriate.

(8) Any member of the proposed settlement class may apply to make submissions either in writing or orally at the hearing of the application for a collective settlement order.

(9) The Tribunal may authorise a person to act as the settlement representative only if it considers that it is just and reasonable.

(10) In determining whether it is just and reasonable for a person to act as the settlement representative, the Tribunal shall consider whether that person—

(a) would fairly and adequately act in the interests of the class members; and

(b) does not have, in relation to the common issues for the class members, a material interest that is in conflict with the interests of the class members.

(11) In determining whether the proposed settlement representative would act fairly and adequately in the interests of the class members for the purposes of paragraph (10)(a), the Tribunal may take into account all the circumstances, including—

(a) whether the proposed settlement representative is a member of the settlement class, and if so, its suitability to manage the settlement;

(b) if the proposed representative is not a member of the settlement class, whether it is a pre-existing body and the nature and functions of that body; and

(c) whether the proposed settlement representative has prepared a plan for the collective settlement that satisfactorily includes—

(i) a method for notifying the class members of the fact and progress of the collective settlement; and

(ii) where the proposed collective settlement involves payment of an aggregate amount, a procedure for determination of claims by class members to be paid out of that amount that takes into account the size and nature of the settlement class.

The collective settlement order

(12) A collective settlement order shall authorise the settlement representative to continue to act in relation to the collective settlement and shall—

(a) state the name and address of the settlement representative;

(b) state the name of each party to the collective settlement who would be a defendant had collective proceedings been brought;

(c) describe or otherwise identify the settlement class;

(d) describe or otherwise identify the claims to be settled by the collective settlement;

(e) specify the domicile date; and

(f) order the publication of a notice to class members in accordance with paragraph (15).

(13) A collective settlement order may include any other provision the Tribunal considers appropriate.

(14) In describing or otherwise identifying the settlement class for the purposes of paragraph (12)(c), it is not necessary for the order to name or specify the number of the class members.

Notice of the collective settlement order

(15) The settlement representative shall give notice of the collective settlement order to class members in a form and manner approved by the Tribunal.

(16) The notice referred to in paragraph (15) shall—

(a) incorporate or have annexed to it the collective settlement order;

(b) contain a summary in easily understood language of the claims to be settled by the collective settlement;

(c) include a statement explaining that the subsequent making of a collective settlement approval order will bind—

(i) a class member domiciled in the United Kingdom on the domicile date who does not opt out of the collective settlement; and

(ii) a class member who is not domiciled in the United Kingdom on the domicile date who opts in to the collective settlement; and

(d) give such other information as the Tribunal directs.

Variation or revocation of the collective settlement order

(17) The Tribunal may, either of its own initiative or on the application of a class member or party, make an order for the variation or revocation of the collective settlement order.