Health Minister Joe Cassar said in Parliament that during the last 18 months, the government had reduced the price of 176 medicines, with some prices cut by up to €31.
Businessmen will have to pay more attention to the quality of the product and service
The regulation of medicine prices had come about after the government had noted the people’s complaints regarding what he called “unjust medicine prices” and had set up a committee to regulate such prices.
This committee had created a mechanism through which medicine prices were compared to the average of EU countries. In cases where the price was found to be higher than the average, the office for consumer affairs negotiated a better price with the manufacturer.
Between January 2009 and October 2011, a total of 1,672 complaints had come up before the tribunal for consumer complaints. Of these, 848 were resolved: 619 were for consumers and 229 were for business owners. The total compensation awarded amounted to more than €225,000.
Dr Cassar said the Bill was clear evidence that the government had the consumer at heart. The introduction of class action had been very much needed since it gave importance to the consumer who now felt part of a family which could together go to court and take action to seek compensation.
During the last five years, a number of Bills had been presented with the aim to safeguard consumer’s interests.
Minister Mario de Marco said the Collective Proceedings Bill created the concept of class action – a procedural system different from the norm in local courts where individual cases are presented.
The government was proposing another remedy to strengthen consumer rights. Consumers would be able to take collective action in cases of unjust competition or liability. The Bill also distinguished between group and representative action. Collective action could be taken in case of infringement of the Competition, consumer affairs and security of products acts.
Dr de Marco said that the court could order the continuation of proceedings under certain circumstances.
The Bill presented a number of benefits and would help increase individual access to justice because they may not have been in a position to proceed.
It could facilitate more prevention and act as a deterrent against companies infringing consumer law and also increase judicial economy. This was a step forward to strengthen consumer rights.
Mr Edwin Vassallo (PN) said the Collective Proceedings Bill was important for the creation of balance between the interest of the consumer and the businessmen and should also bring regularity in the internal market. He said the mixture between the two interests was important, and legislation had to be enacted also in the interest of competition. One should seek to ensure the internal market was efficient.
Local councils should seek to encourage consumer associations to become more organised.
Mr Vassallo said that employees should understand that working in authorities meant giving a service and they should ensure businessmen would not become entangled in bureaucracy. It made no sense to continue thinking that businessmen were against consumers, he said.
Joseph Falzon (PN) said that the Bill would lead to significant changes in the way businesses look at the law where the consumer was concerned because individuals could form a group to take collective action. Businessmen would have to pay more attention to the quality of the product and service given. Wholesalers would also have to be cautious because retailers could group together to take action. The Bill would lead to a change in mentality.
The Bill would be beneficial because those giving a service or providing products had to maintain standards. It enabled the minister to extend the Bill much more than on security of products. It provided for private and for public enforcement.