In a policy report by SCC Scotish Consumer Council, written by Cowan Ervine outlining why there is a need for a ” Class Action ” route in Scotland. “
The overriding reason for advocating the introduction of class actions is that it is essential in the interests of upholding the rule of law. I t is unacceptable that consumers or others should be given rights which they cannot effectively enjoy, Such a situation is reproach to a legal system. The importance of a remedy has been recognised in the introduction of small claims procedures and other methods of improving access to justice. The class action is another important way of doing so. It enables litigation to be conducted more efficiently and makes a remedy a practical possibilty, particularly where large numbers of people have lost small amounts which it would not be economic to litigate about individually.” There is also the deterrent argumentin favour of class action. As the Australian judge, Mr Justice Kirby, then chairman of the Austalian Law reform Commmission, put it:
” Why should a defendant secure benfits by unlawful conduct, relying on the inadequacy of the legal system and the timidity and lack pf organisation of those wronged?”
” Not infrequently, there are situations where many indivdulas lose small amounts as the result of unlawful actions by traders but few find it worthwile to take action. The result is that the wrongdoer makes a windfall profit. An example of this kind of situation was the Hoover flights saga in the early 1990s when the company failed to honour an offer in a marketing promotion to provide free flights. Many thousands of consumers appear to been dissapointed but few seem to have resorted to the small claims court.” 7 a class of their own.
The fly in the ointement was a group of Hoover customers lead by Harry Cichy & Sandy Jack, see Sandy Jack V Hoover, they formed a pressure group that would see the Hoover flights Saga,
kept in the limelight and received masive media attention.
Maytag the owners of Hoover at the time, even had to contend with Cichy & Jack taking their cause back to Maytag HQ at Dependabilty Square, Newton Iowa. Maytag became the laughing stock of Wall Street. It is only recently that the true numbers of Hoover applicants that qualified has come out. Had there been a Class Action in place in Scotland the first Action by Sandy Jack, wouk have indeed been a Class Action and not a Snall claims action! Maytag sold Hoover and the rest as they say is History.
Maytag Hoover,Class action proposals by the SCC Scottish Consumer Council.
” Why should a defendant secure benifits by unlawful conduct, relying on the inadequancy of the legal system and the timidity and lack of organisation of those wronged.” by Mr Justice Kirby.
” Harry Cichy was told not to mess with the Corporation.” Quote by Harry E Cichy.
” I do not suffer fools gladly.” Quote by Sandy Jack.