The European Union has published new rules on alternative dispute resolution (ADR). The revised directive marks the definitive end of the central European ODR platform. The focus is shifting to national and sector-specific ADR bodies.
The new rules replace regulations dating from 2013. Since then, ecommerce in Europe has increased significantly, especially with respect to cross-border ecommerce. The revision is intended to better align out-of-court dispute resolution with current ecommerce practices.
End of the ODR platform
In practice, the European Online Dispute Resolution (ODR) platform proved to be largely ineffective. Consumers found it difficult to locate, and sellers disengaged. Focusing on better-known national and sector-specific bodies reflects the way complaints are already handled in the various member states. The directive requires member states to actively organize ADR in sectors with a high volume of complaints, replacing the one-size-fits-all European system.
One size fits all did not work in European practice
The revision emphasizes a clear delineation of responsibilities, transparency, and accessibility. National and sector-specific ADR bodies must be set up in a way that is accessible and effective.
Informing consumers about ADR options
Online retailers are no longer required to refer to the European ODR platform, but they will remain obliged to clearly inform consumers about available ADR options. This will now be done on a country-by-country and sector-by-sector basis, which may lead to additional complexity, especially for online stores operating internationally.
New procedural obligations
The directive was officially published at the end of last year in the Official Journal of the European Union and will formally enter into force on 19 January 2026. From that point on, member states will have time to transpose the new rules into national legislation. This process will take several years, and the new rules are expected to apply only from 2028.
The new rules are likely to apply from 2028
The directive introduces new procedural obligations. If an online store is contacted by an ADR body, a fixed response period of 20 working days will apply. Failure to respond will be considered a refusal to cooperate and may lead to sanctions. This creates a new legal incentive for sellers both within and outside the European Union to respond to complaints from European consumers.
