IGA News

New ADR Regulations For Businesses

New ADR Regulations For Businesses

01 June 2015

As of 9th July 2015, businesses will be required to have an Alternative Dispute Resolution (ADR) process in place. You will have received an email from the RMI with details of the EU’s new Directive on this, and letters are being sent out in case you have missed it.

ADR offers a cheaper, faster and less formal way of resolving unsettled consumer complaints than via the courts.

Businesses must give consumers information about their certified ADR provider that could help them in the event of an unresolved dispute by displaying a document stating their involvement in a scheme, as well providing information on the company website and in sales and service contracts. Consumers will also have the right by law to ask a business if they are part of an ADR scheme.

As a member of the IGA, you are automatically covered by our National Conciliation Service (NCS) which provides ADR to our members, so if you are unable to resolve a dispute with a customer we can impartially mediate the problem.

Our ADR scheme gives both you and your customers peace of mind that if anything goes wrong, there will be an inexpensive independent dispute resolution available.

Trading Standards Institute (TSI) is now the regulatory body for ADRs, and the RMI is applying to them for certification. The NCS is expected to be approved and certified by 9thJuly 2015, so it will fully comply with TSI’s strictly enforced standards and procedures and provide customers further peace of mind when using your business.

For further information about our ADR scheme, please call our member helpline on 0845 305 4230.