The Consumer Claims Tribunal

One of the eight basic consumer rights is the right to redress, whereby the consumer should be awarded adequate compensation for just claims. The Consumer Claims Tribunal (CCT) was specifically set up to provide compensation to consumers when mediation and amicable settlement fails.

In fact, consumers cannot file a claim with the CCT before first lodging a complaint with the Consumer Affairs Directorate within the Consumer and Competition Division. The tribunal is the last resort when everything else fails.

It is only consumers that can appear before this tribunal and the claim should be about goods or services bought or hired. These should be bought from a trader and used by the consumer for personal needs. The limit of compensation a consumer can claim is €3,494. If the amount a consumer wants to claim exceeds this limit, the consumer has to take the case to the civil courts.

The tribunal may also award the consumer up to €232.94 compensation for moral damages caused by any pain, distress, anxiety and inconvenience. However, it is the responsibility of the consumer and the trader not to waste the time of the tribunal by presenting vexatious or frivolous cases. If this happens the tribunal may order a penalty of not more than €116.47 to be paid to the other party.

The main advantages of this tribunal are its low fees and effectiveness.

To lodge a complaint, costs are minimal and there is no need to hire a lawyer to represent you during the sitting.

This tribunal is also an efficient way to obtain redress because within a few months the claim is heard before an arbiter and a decision taken.

At the hearing, both parties are given the possibility to tell their side of the story, and this is done under oath. Either party should therefore be well prepared for the hearing, so that their case is presented in the best possible way, especially if lawyers are not involved.

Should a lawyer be engaged, one must then pay the costs even if the case is won. It is also important to be present for the hearing on time and to bring all evidence concerning the dispute, such as any letters, invoices, bills, sales slips, contracts, photographs and other similar documentation. Witnesses may also be summoned during these sittings.

It is in the interest of both parties to attend the sitting, because if either fails to attend without giving an acceptable reason, the tribunal may decide the case against the missing party. Whoever wins the case may enforce the tribunal's decision, just like a court judgment.

First, however, the losing party should be given reasonable time to abide by the tribunal's decision. The losing party has the opportunity to appeal against the decision. However, appeals are only accepted if the arbiter acted contrary to the rules of natural justice and, as a result, seriously prejudiced the outcome of the case. More so, appeals can only be made within 20 working days of the date of the tribunal decision.

If the losing party fails to comply with the tribunal's decision within three months, they commit an offence and are liable to a €500 fine.

More information about the CCT can be obtained by calling the tribunal's secretary on 2122 7070.

Ms Vella is senior information officer, Consumer and Competition Division.

customer@timesofmalta.com, odette.vella@gov.mt