March 2026 – Bulgaria has adopted changes to its national legislation implementing EU rules on collective consumer representative actions. A new procedure for collective consumer claims is now in place.
1. Background
Bulgaria implemented Directive (EU) 2020/1828[1] through amendments to the Consumer Protection Act (the “CPA”) and Civil Procedure Code (the “CPC”).
Prior to these amendments, collective consumer rights could be protected through a general class-action procedure under local law. The changes to the CPC introduce a new regime designed to provide consumers with more efficient protection mechanisms, thereby complementing the existing framework.
2. New collective consumer claims procedure
Only specific qualified entities may submit claims for the protection of collective consumer interests under the new rules. These qualified entities are:
- Consumer protection organisations included in a formal list by the Bulgarian Minister of Economy and Industry. To be eligible for inclusion on the list, among others, an organisation should be registered as a non-profit legal entity for the public benefit and should be active in consumer protection matters for at least one year prior to its registration. The organisation should be independent from third parties who have economic interests from collective redress claims and should disclose information on its activity, funding, and organisational and operational structure. The organisation should also operate an active consumer reception office.
- The Bulgarian Commission for Consumer Protection
- Organisations or public entities recognised in other EU Member States
These qualified entities may submit national or cross-border claims for collective consumer protection seeking (i) prohibition or suspension of a practice that harms collective consumer interests; and (ii) collective redress measures such as compensation, repair, replacement, price reduction, contract termination, or price refunds. These claims can be brought before the Bulgarian regional courts with jurisdiction based on the location of the infringement or the seat of the respondent. Before filing a claim, qualified entities should notify traders in advance and allow them to remedy their alleged misconduct within a 14-day period in order to avoid litigation.
Once submitted, the court reviews the claim in a reduced time period. If the court finds a claim to be admissible, it determines the appropriate means for broad consumer notification (e.g., mass media announcements) and sets the time period in which consumers may opt-in. Consumers may request to opt-in by filing an application with the court within this period. If fewer that ten consumers opt-in, the court terminates the proceedings. Consumers who have opted-in may not pursue individual claims on the same grounds.
The courts may impose preliminary measures to protect the interests of consumers, such as the prohibition or suspension of certain trade practices. During the proceedings, claimants are not required to prove the alleged damages or losses incurred by consumers.
3. Key takeaways for businesses
The main takeaway is that the new procedure is more effective than the general class-action regime. It allows both public entities and consumer protection organisations (including from other Member States) to bring claims against traders, which could potentially lead to significant losses.
Businesses operating in the telecommunications, energy supply, financial services, retail, travel, or healthcare sectors may be particularly exposed to this risk, as compliance gaps or commercial practices in these industries could affect a large number of customers.
To mitigate potential risks, businesses may consider reviewing and updating their standard consumer agreements, terms of use, complaint-processing mechanisms, and any other consumer-related processes. Such reviews should become a regular practice in light of the evolving regulatory framework and frequent legislative changes. Kinstellar’s team in Sofia can provide the needed assistance to help businesses ensure compliance and avoid litigation.