One of the eight basic consumer rights is the right for redress, where the consumer should be awarded adequate compensation for just claims. This is the main reason why the Consumer Claims Tribunal was set up.

However, this does not mean that whenever a consumer has a complaint he or she should contact the tribunal to obtain redress. The tribunal is only the last option available for consumers when everything else fails. A consumer can submit a case at the tribunal only after lodging a complaint with the Consumer and Competition Division and the mediation of the division’s officers fails.

Only consumers can take their claim 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 his or her own personal needs. The limit of compensation a consumer can claim is of e3,494.06 (Lm1,500). If the amount a consumer wants to claim exceeds this limit, the consumer has to take his case to the civil courts. The tribunal may also award the consumer up to e232.94 (Lm100) compensation for moral damages caused by any pain, distress, anxiety and inconvenience suffered. 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 e116.47 (Lm50) to be paid to the other party.

The main advantages of this tribunal are its low fees and effectiveness. To lodge a complaint with this tribunal the costs are minimal and there is no need to hire a lawyer to represent you during the sitting. The fee to be paid varies according to the value being claimed. While the lowest fee is that of e9.32 (Lm4) when the claim does not exceed e582.34 (Lm250), the highest fee is that of e25.62 (Lm11) when the claim amounts to between e2,331.70 (Lm1,001) and e3,494.06 (Lm1,500).

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. From the statistics drawn up by the tribunal’s secretary, during the year 2007, 77 sittings were held and 471 cases were heard. Most of the cases were heard only once, but there were some that needed more than one sitting. In these sittings, 270 decisions were given, out of which 229 were in favour of the consumer. Hence consumers should not feel discouraged from taking their unsolved complaints before this tribunal. In these decisions the total amount of compensation given to consumers was that of e125,529.07 (Lm53,889.63).

A claim before the tribunal is made by filling a form known as “Notice of Claim”, which can be obtained from the registry of the tribunal. Traders who have a claim against them can use the same form to make a counter-claim. In case of difficulty while filling this form, consumers or traders can seek the help of the secretary of the tribunal. Once the claim is lodged by the consumer the trader is notified and thus offered the possibility to counter the claim made against him. At this point the secretary will appoint a date, time and place when the hearing before the arbiter will be heard. These details are then communicated to both parties by post.

At the hearing both parties are given the possibility to tell their side of the case, 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 in the hearing. Should a lawyer be engaged, one must then pay his costs even if the case is won. It is also important to be present for the hearing on time and to bring all evidence that concerns the dispute, such as any letters, invoices, bills, sales slips, contracts, photographs, and other similar documentation. Witnesses could also be summoned during these sittings. Should a witness refuse to attend, and the tribunal deems the evidence important, it may issue a “Summons to Witness” ordering the witness to attend.

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 then decide the case against the missing party.

Once the hearing is over the arbiter does not give his decision there and then, but this is sent by post to both parties within a few weeks of the sitting. Whoever wins the case may enforce the tribunal’s decision just like a court judgement. First, however, the losing party should be given reasonable time to abide by the tribunal’s decision. The losing party has the possibility 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 from the date of the decision of the tribunal.

The Consumer Claims Tribunal is a fundamental tool to effectively protect consumers against traders whose only concern is financial benefit at all costs. This tribunal gives a boost to consumer confidence which is an essential fuel for the smooth running of the trading machine.

More information about the Consumer Claims Tribunal can be obtained by contacting the tribunal’s secretary on tel: 2122-7070 or by calling personally at the tribunal’s premises at: 47A, South Street, Valletta.

Odette Vella is Senior Information Officer, Consumer and Competition Division

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Points to remember

• Prior to submitting a case before the Consumer Claims Tribunal, consumers should first speak to the trader and then lodge a complaint with the Consumer and Competition Division.

• Only consumers can take their claim before this tribunal.

• The limit of compensation that can be claimed at this tribunal is of e3,494.06.

• No need to hire a lawyer to represent either the consumer or the trader.

• During the hearing both parties have the possibility to tell their side of the case.

• All evidence that concerns the dispute should be brought up during the hearing.

• The tribunal’s decision can be enforced just like a court judgement.

• Appeals can be made within 20 working days from the date of the decision.