New Chapter for consumer power – Motor codes appointed to deliver ADR
Newly implemented EU legislation will ensure that consumer power gets stronger. The not well known Alternative Dispute Resolution (ADR) legislation came into force on July 9th 2015. This legislation strengthens the consumers arm by requiring all UK businesses to signpost dissatisfied customers to a recognised Alternative Dispute Resolution service.
Industry commentators called it the ‘quiet legislation’ as until recently little was known of the legal act which potentially has far reaching implications businesses, in particular UK automotive industry. In the first instance every business that sells goods or services to consumers needs to be aware that they must signpost dissatisfied customers to an officially recognised Alternative Dispute Resolution provider. Businesses have been given until October 1st.
The government appointed the newly named Charted Trading Standards Institute (CTSI) to oversee the implementation of the legislation and to appoint recognised ADR providers across UK industry. Motor Codes, the consumer arm of SMMT were appointed in the first tranche of ADR approved providers.
Mark Terry, Managing Director at Motor Codes said that whilst the legislation ushered in new chapter of consumer power but there is little to fear if businesses approach it in the right way and seek to work with their appointed ADR provider.
All businesses must comply with this legislation, there’s no get outs and they must be able to signpost their customers to a recognised ADR provider. In the case of the UK motor industry, Motor Codes is very well placed to provide effective ADR because we have been providing a range of resolution services since 2004 and are currently serving consumers through a network of 8000 garages across the UK.
