Art.110

Article 110 – Amendment to Directive (EU) 2020/1828

General SME Relevant ~2 min read · 389 words

Article 110 amends Directive (EU) 2020/1828 on representative actions for the protection of the collective interests of consumers. It is the final amendment article in the series and ensures that consumers can use the collective redress mechanisms of the consumer representative actions directive to pursue AI Act violations that harm their collective interests.

⚠ Medium compliance impact for SMEs

WHAT THE ARTICLE IS ABOUT

Collective consumer redress extended to cover AI Act violations

Article 110 amends the EU’s representative actions directive — which allows qualified entities such as consumer organisations to bring collective redress actions on behalf of groups of consumers — to cover infringements of the AI Act. This amendment is particularly significant because it gives consumers a practical mechanism to pursue AI Act violations that affect large groups, beyond individual complaints under Article 85.

WHAT IT SAYS

Consumer organisations can bring collective actions for AI Act violations

Directive (EU) 2020/1828 on representative actions for the protection of consumers’ collective interests is amended to include AI Act violations within its scope
Qualified entities — typically consumer associations and non-profit organisations meeting specific criteria — may bring representative actions before national courts for AI Act infringements that harm consumers collectively
Consumers affected by the same AI Act violation may benefit from collective redress without individually litigating
The amendment connects the AI Act’s individual rights (Articles 85–86) to a collective enforcement mechanism

WHO IS AFFECTED

Consumer-facing AI providers and the consumer organisations that can challenge them

Providers and deployers of AI systems used in consumer contexts — retail, financial services, insurance, online platforms
Consumer organisations and qualified entities that may bring representative actions
Consumers affected by AI Act violations in products and services they use
National courts that adjudicate representative actions

WHAT IT MEANS FOR SMES

Collective consumer actions are a real litigation risk for consumer AI providers

If your business uses AI in consumer-facing products or services, this amendment means that AI Act violations affecting large numbers of customers could trigger a collective action by a consumer organisation — not just individual complaints
Representative actions can seek injunctions (forcing you to stop the violating practice) and redress (compensation for affected consumers) — both can be commercially significant
Consumer AI applications in e-commerce, insurance, financial services, and similar sectors are most exposed
The existence of collective redress significantly increases the incentive to comply proactively — the litigation risk from consumer AI failures is now systemic, not just individual

Article 85 — Right to lodge a complaint (individual remedy that this amendment complements with collective action)
Article 86 — Right to explanation (individual right whose systematic denial could trigger collective action)
Article 50 — Transparency obligations (systematic violations could form the basis of collective actions)
Article 99 — Penalties (collective action civil liability runs alongside administrative fines)

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