§ Ms WalleyTo ask the Secretary of State for Trade and Industry if he will make a statement on the role of(a) trade associations and (b) the Office of Fair Trading in respect of the referral of disputes to arbitration. [55586]
§ Mr. Ian McCartneyA number of trade associations offer consumers who have unresolved complaints with their members the option of using arbitration to settle the matter.
The Director General of Fair Trading encourages trade associations and others operating voluntary regulatory systems to adopt independent dispute resolution mechanisms to deal with such complaints and advises consumers of the existence of such schemes. He has no formal role in the referral of specific individual disputes to such arbitration or Ombudsmen schemes.
Use by consumers of arbitration schemes is optional. The consumer may decide to litigate. There are advantages of both arbitration and litigation and it is for consumers to decide which option suits them best.