UKRAINE Trends and Developments Contributed by: Karina Panchenko, Alyona Bodnar and Dmytro Derkach, Miller Law Firm
Key trends embedded in the Draft Law Shift from individual to collective judicial protection Ukrainian legislation is moving away from individual claims toward mechanisms that enable the protection of rights for large groups of people. The Draft Law introduces a collective action frame- work allowing claims to be filed on behalf of groups of consumers or other persons whose rights have been violated – ensuring that a single decision may affect many. Harmonisation with European standards The Draft Law has been built around Directive (EU) 2020/1828. Ukraine aims to establish a group-litiga- tion mechanism similar to those operating across the EU, including cross-border representative actions when violations affect consumers in several countries. Enhanced role of “qualified entities” as group representatives Only non-profit organisations with at least one year of proven experience in consumer protection and inde- pendent from commercial entities will be eligible to act as representatives of affected consumer groups. Such organisations will be selected and registered by the State Service of Ukraine on Food Safety and Con- sumer Protection, ensuring that only competent and credible entities bring actions to court. Opt-in and opt-out models The bill provides both participation options. Consumers may either consent to be represented in the collective action (opt-in) or withdraw and pursue individual litigation (opt-out). This flexibility aligns Ukraine with modern European procedural approaches. Expansion of substantive scope Representative actions may address both undefined groups of consumers (eg, misleading advertising) and identified groups (eg, mass poisoning incidents).
The mechanism thus covers a broad range of situa- tions – from systemic unfair commercial practices to
cases involving collective harm to health. Transparency and consumer information
Qualified organisations will be obliged to inform con- sumers at each stage of proceedings – filing, trial pro- gress, and final outcomes – promoting public trust and accountability. Reducing court workload and increasing efficiency The introduction of representative actions is expected to save time and costs for consumers and significantly reduce the number of repetitive individual claims. This reflects a broader trend towards optimising judicial resources and enhancing public confidence in the legal system. Overall, the draft law represents a new level of regu- latory development, bringing Ukraine closer to the European model. It seeks to strike a balance between protecting consumers and ensuring predictability for businesses, offering clear rules for compliant compa- nies and systemic liability for those violating consumer rights. Implementation challenges The success of the new mechanism will depend on three fundamental factors. 1. Judicial practice. How Ukrainian courts interpret the notion of “collec- tive interest” and determine the admissibility and pro- cedural scope of representative actions will shape the effectiveness of the reform. 2. Institutional capacity of qualified representative organisations. Whether or not such entities can efficiently perform their role as procedural representatives of consumer groups possessing the necessary expertise, resourc- es, and public trust, will be decisive. 3. Information transparency. The creation of an effective notification system for potential participants will be essential to ensure open- ness and genuine access to justice.
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