Before exploring the new legislation, it’s important to understand the existing framework for personal injury claims. If you’ve been injured in an accident that wasn’t your fault, you may be entitled to compensation.
To make a personal injury claim, three conditions generally need to be met:
- An accident occurred, causing you to suffer a personal injury.
- Someone else was at fault or negligent, leading to the accident. This could be another person or an organisation.
- The claim is made within the legal time limit, which is typically two years from the date of the accident.
Common types of personal injury claims include road traffic accidents, accidents at work, and accidents in public places.
The process usually begins by submitting an application to the Personal Injuries Resolution Board (PIRB), which assesses the claim and may propose a compensation amount. If the offer is rejected by either party, the claim can then proceed to court. Compensation is calculated based on “general damages” for pain and suffering and “special damages” for financial losses like medical bills and loss of earnings.
New Law: The Representative Actions Act 2023
A major development in Irish law is the Representative Actions for the Protection of the Collective Interests of Consumers Act 2023, which came into effect on 30 April 2024. This Act introduces a formal system for what are commonly known as “class actions” in other countries.
The legislation allows groups of consumers whose rights have been infringed by a “trader” to take collective legal action through a designated organisation. A “trader” is defined broadly as any person or company acting for purposes related to their business or profession.
This new framework empowers consumers to seek two types of outcomes:
- Injunctive Measures: To stop a trader from continuing an unlawful practice.
- Redress Measures: To obtain remedies such as compensation, repair, replacement, or a refund.
These actions apply to infringements that occurred on or after 25 June 2023 and can be brought even if the harmful practice has already stopped.
The Role of Qualified Entities (QEs)
A key feature of the new system is the role of “Qualified Entities” (QEs). Unlike the US class action model, which can be driven by law firms, representative actions in Ireland can only be brought by a QE. These are non-profit, consumer-advocacy organisations designated by the Minister for Enterprise, Trade and Employment.
To become a QE, an organisation must:
- Have at least one year of activity in protecting consumer interests.
- Be a non-profit entity.
- Be independent and not influenced by outside interests.
- Operate with transparency regarding its purpose and funding.
Consumers who wish to join a representative action for redress must “opt-in” by applying to the QE and paying a small fee (capped at €25). Once admitted, they are bound by the outcome of the case but are not liable for legal costs, even if the action is unsuccessful. This protection makes it much safer for individuals to seek justice.
Potential Impact on Medical Negligence Law Cases
The Representative Actions Act is primarily focused on consumer protection. The types of claims allowed include those related to financial services, data protection, package holidays, and medical devices.
The inclusion of medical devices is particularly significant for medical negligence law. It opens the door for groups of people who have been harmed by a faulty medical device to bring a single, collective action for redress. This could apply to cases involving defective implants, prosthetics, or other medical equipment where numerous individuals have suffered similar injuries.
While the Act does not cover all types of personal injury claims (like road traffic accidents or workplace injuries), it marks a crucial first step toward collective redress in Ireland. It provides a potential pathway for large-scale personal injury actions in specific consumer-related contexts.
Challenges and Future Considerations
One of the biggest hurdles for large-scale litigation in Ireland is funding. Currently, funding legal actions by third parties who have no direct interest in the case is prohibited, a principle known as maintenance and champerty.
The new Act states that representative actions can be funded by third parties “insofar as permitted in accordance with law,” which, for now, is extremely limited. This creates a significant challenge for QEs, which must bear the substantial costs of taking a case to the High Court.
Minister for Justice Jim O’Callaghan has expressed reluctance to allow third-party funding, citing concerns that it could be used to “enrich lawyers” and “commodify” justice. However, many legal experts, including Emily Egan McGrath SC, argue that a regulated funding mechanism is necessary to make these new representative actions practical, especially in complex cases. The Law Reform Commission is due to report on this issue, and its findings will be crucial in shaping the future of class actions in Ireland.
Seeking Justice in a Changing Legal World
The introduction of the Representative Actions Act 2023 is a landmark development for consumer and personal injury law in Ireland. It provides a new, more accessible path to justice for groups of people who have been wronged by the same entity. While challenges around funding remain, the legal landscape is clearly moving toward greater collective power for individuals.
If you have suffered a personal injury or believe that you have been the victim of medical negligence, it is more important than ever to seek expert legal advice. Understanding your options, whether as an individual claimant or as part of a group, is the first step toward securing the compensation you deserve.
At HOMS Assist, our team of dedicated solicitors has extensive experience in personal injury and medical negligence law. We are committed to guiding you through the legal process with empathy and professionalism, ensuring your interests are protected at every stage.
Contact us today for a confidential consultation to discuss your case. You can call us at 1800 207 207 or complete our online enquiry form.
