The situation in the Civil Chamber of the Supreme Court of Spain has become critical: overwhelmed by a deluge of lawsuits, judges are forced to seek new solutions. The decision to refer thousands of cases to mediation directly affects the interests of thousands of Spaniards who have been waiting for justice for years. This is the first time such a massive number of disputes has been transferred to alternative resolution methods, which could change the approach to class actions in the country.
The sharp increase in workload is due to mass lawsuits related to banking disputes and contract terms, as well as cases involving the cartel of truck manufacturers. In the past year alone, the Chamber received more than 13,000 new cases, bringing the total number of unresolved disputes to nearly 28,000. Judges admit the system is not designed for such volume, and resources have long been exhausted.
Class action crisis
Judges note that 60% of all cases represent what they call a mass judicial workload. Most involve disputes with banks and complaints about unfair contract terms. Especially prominent are lawsuits against truck manufacturers, which center on illegal collusion among major European companies over price fixing and delays in introducing eco-friendly technologies. Spanish buyers were granted the right to claim compensation, triggering a wave of lawsuits.
The Supreme Court has already established a clear stance on the key issues in these cases. However, each new appeal requires separate consideration, which has led to an overload. The judges emphasize that their job is to handle unique, complex disputes rather than repeat the same decisions in thousands of identical cases.
Mediation as a solution
With 16% of all unresolved cases related to the truck cartel, the court has taken an unprecedented step: more than 4,000 such disputes will be referred to mediation. This means the parties must attempt to reach an agreement outside the courtroom, using established legal precedent as a guideline. The judges believe that most of these cases raise no new legal issues and can therefore be resolved faster and more efficiently.
Mediation remains voluntary, but the court warns: if the parties decide to continue their dispute in court, they risk being liable for all legal costs. The Supreme Court believes the participants already have enough information to predict the likely outcome, making it pointless to further delay the process.
Implications for the system
In recent years, the court has repeatedly urged parties to negotiate and avoid litigation, but not everyone has responded to this call. Currently, more than 4,200 cases remain under review, with another 350 waiting to be assigned a hearing date. All of these will now be handled through mediation, which should reduce the burden on judges and speed up proceedings for other cases.
The recently adopted law aimed at increasing the efficiency of the judicial system has assigned a special role to mediation and other alternative dispute resolution methods. In certain cases, parties are required to attempt to reach an agreement before going to court. This innovation is intended to combat abuse and bad faith conduct during proceedings.
In recent years, Spain has experienced a surge in class actions, particularly in the financial and consumer rights sectors. Similar crises previously occurred in cases involving banking mortgage agreements and disputes over utility services. At that time, courts were also compelled to seek alternative solutions to prevent the system from becoming paralyzed. The introduction of mandatory mediation and the development of alternative procedures has been a response to current challenges and an effort to maintain access to justice for all citizens.
