A Settlement Agreement in Class Actions in Civil Proceedings: in Search of a Balance of Interests

Abstract

The existence of a gap in the legal regulation of the procedure for concluding a settlement agreement on class actions in civil proceedings requires the development of mechanisms to eliminate it as soon as possible due to the fact that the existing model of group proceedings regarding the commission of this administrative action prevents the balance of interests of all participants in the process. In search of an optimal balance, the author suggests several mechanisms for resolving the problematic issue. First, the author indicates the need for legislative consolidation of the possibility of approving the conclusion of a settlement agreement by the person conducting the case in the interests of the group with its members, describes several options for approval, depending on the nature of the material legal relations on the basis of the dispute (approval by the majority of the members of the group with the homogeneity of public relations or unanimous approval with an indivisible legal relationship). In continuation of the goal of observing the interests of each member of the group, the problem of taking into account the will of persons who disagree with the terms of the settlement agreement (when applying the majority criterion) is solved by determining for them the further path of development of the process and the fate of the stated requirements. There are categories of disputes in respect of which the conclusion of a settlement agreement is possible only by its approval by all members of the group. In conclusion, it is proposed to supplement the norms of the Civil Procedure Code of the Russian Federation regarding the procedure for concluding a settlement agreement in proceedings on the protection of the rights and legitimate interests of a group of persons.