The Dutch Act on the Resolution of Mass Damage in Collective Action or "WAMCA" has been in force for five years. Since 1 January 2020, this law has made it possible to claim damages on an opt-out basis in the Netherlands. This new, fourth quantitative analysis compares developments regarding the WAMCA in 2024 with those in 2020, 2021, 2022 and 2023.
At the beginning of 2024, we anticipated that environmental WAMCA cases would increase, and that privacy-related cases would continue to be significant. We also expected processing times to improve. Based on our fourth quantitative analysis, we can now confirm that environmental cases did indeed see a slight increase. However, we observed a significant decline in privacy and data abuse-related cases, with only 3 filed in 2024 compared to 7 in 2023. Most notably, 2024 saw only 15 new WAMCA cases filed, the lowest number since the law's enactment, well below the previous annual average of 23 cases. Processing times remain extended, often exceeding two years before court determinations on admissibility and lead plaintiff appointments.
Authored by Deminor General Counsel Netherlands & Co-head of Investment Recovery, Joeri Klein, Finch Dispute Resolution Partner, Koen Rutten.
Click to listen to the WAMCA Podcast 2025
Or read the full transcript below:
1. Introductions
Joeri Klein (Deminor General Counsel Netherlands)
Welcome to this podcast where we evaluate opt-out actions in the Netherlands for the year 2024 and what we can expect from those opt-out actions in the year 2025.
I am joined today by Mr Koen Rutten. He's a partner at the Dutch litigation boutique law firm, Finch. Today, Koen and I will be discussing the opt-out regime known as the WAMCA, or the Mass Damage Settlement Act in Collective Action. This bill was enacted on 1 January 2020, and it marked a very significant development in the Dutch collective redress system, because it allows claim foundations to litigate for damages on an opt-out basis on behalf of the class.
Over the past four years, Koen and I have provided quantitative analysis of cases filed under this act through annual white papers. Today, we will focus on the key developments that occurred in 2024. We will also make some comparisons to previous years and identify expected trends for 2025.
But before we get to all that, I would first like to ask Koen if he could share a bit about his background, his strong interest in these kinds of cases, and his overall experience with WAMCA cases.
Koen Rutten (Partner at Finch Dispute Resolution)
Yes, I'm a Dutch lawyer, and I've been involved for almost 20 years in all types of class actions and bundled claims in the Netherlands. My special interest in these types of proceedings mainly comes from wanting to solve problems for large groups of harmed people. I'm involved in several WAMCA cases; one is already pending against Avast, and in the upcoming months, I will file two other cases.
Besides that, I'm the chairman of the Dutch Association of Class Action Lawyers, which lawyers mainly work on the plaintiff side. So that's a little bit about my background and my interest in WAMCA cases.
2. Reviewing the volume of new WAMCA cases in 2024
Koen Rutten
Okay, Joeri, I have a first question: How many new WAMCA cases were filed in 2024, and is this an increase or a decrease compared to previous years?
Joeri Klein
Yes, that's definitely one of the topics that has the interest of our audience.
What was a surprise for 2024 is that we saw only 15 new WAMCA cases filed. This marks the lowest number of new cases filed in a year since the WAMCA was enacted. As a comparison, in 2020 we saw 18 new cases filed; that was the first year the WAMCA was in effect. That number rose dramatically to 33 cases in 2021. Then, in 2022 and 2023, we saw 20 new cases filed in each of those two years.
So, on average, we saw around 23 new cases being filed annually between 2020 and 2023. With only 15 new cases in 2024, we are significantly below this average of 23 cases filed per year in previous years.
We can, of course, see that this fits a downward trend, in the sense that in 2021 there were 33 cases, and in the years thereafter, 20 new cases. So in that sense, we do see that the number of new cases being filed has been going down over the past few years.
3. Causes behind changes in the number of cases filed
Joeri Klein
So, when we look at this steep decline in cases, Koen, what do you think could be the reasons behind this drop in the number of new cases filed? What might explain this?
Koen Rutten
Yes, it seems that there might be a cost issue. WAMCA cases have proven to be quite costly, with substantial budgets required for a single instance of litigation. Part of these costs stem from the strict governance requirements that apply to the foundation handling the litigation.
Additionally, since the WAMCA is still relatively new, there is a lack of established case law to guide the interpretation of certain provisions in the law. This creates uncertainty about how judges will approach specific situations.
Furthermore, WAMCA cases tend to have long processing times, and this may have led claimants to make use of other options to structure collective litigation, such as traditional opt-in litigation by means of assignment models or mandate models.
It could also be, which would be worse, that claimants in some cases decided not to pursue their claims due to the lack of an efficient redress mechanism being available to them. Especially for cases involving smaller losses, the opt-in alternatives do not work well.
And finally, we have not yet seen a WAMCA case that ended successfully with a substantial amount of damages being awarded. So it is also possible that people are waiting for the first actual results on the merits to be successful.
4. Comparing WAMCA processing times
Koen Rutten
Joeri, do you still see long processing times before courts issue a ruling on admissibility and the appointment of the lead plaintiff? Are proceedings, in your view, moving faster compared to previous years, or are they still moving rather slowly?
Joeri Klein
Yes, indeed; when you refer to long processing times in previous years, unfortunately, I have to confirm that it's still the case for those filed in 2024. Processing times remain long. It often takes over two years for the court to determine admissibility and to appoint the lead plaintiff, that is, the claim foundation authorised to litigate the WAMCA case on behalf of the class.
We see this even more in cases that involve carriage disputes; these are situations where multiple claim foundations compete to be appointed as the lead plaintiff. When that applies, we see even longer processing times compared to cases involving only one claim foundation.
As a result, the first two years of WAMCA proceedings largely focus on procedural formalities, without any discussion on the merits of the case. Even when these decisions are issued, appeals are still possible, and those appeals can further hamper the progress of the case on the merits. It could be that the courts await the outcome of these appeals before continuing.
I can see that courts do make an attempt to process certain steps more expediently, and we also see that certain topics are becoming more crystallised, I would say.
But, all in all, the processing times for these cases are still very long. It is a rather inefficient process, unfortunately.
5. Types of cases filed in 2024 under the WAMCA
Joeri Klein
Koen, we've already discussed that we saw fewer new cases being filed in 2024 compared to previous years, marking a downward trend. What did you observe in the type of cases that were filed in 2024? Are these types of cases similar to those in preceding years, or do you see a shift in the nature of the proceedings that were initiated in 2024?
Koen Rutten
In certain types of cases, we do see a shift. I prepared a short list of the types of cases that were started in 2024.
In tenancy law, we saw three cases. For general interest and environmental cases, there were also three cases. In the category of privacy and data abuse, three cases were commenced. Two cases were public interest and human rights cases, and there were two more general commercial-type cases. One investment loss or securities litigation case was started, and finally, one intellectual property or anti-counterfeiting case was initiated in 2024.
The most relevant or significant change, I believe, is the significant decline in privacy and data abuse-related cases. Seven such cases were filed in 2023. This decrease appears to stem from uncertainties regarding the amount of damages that can be awarded for these violations, as well as doubts about whether non-material damages can be claimed collectively on an opt-out basis.
There is also a slight increase in environmental cases compared to previous years, which is not surprising given the growing societal focus on this issue. Additionally, we are noticing a trend of more intention-related cases being filed under the WAMCA.
No tenancy-related cases were filed in the years prior, so not in 2020 or 2021. Just one was filed in 2022, and two were filed in 2023.
6. WAMCA trends expected in 2025
Koen Rutten
And Joeri, if we're looking ahead now, what kind of developments or trends do you anticipate for 2025 when it comes to the WAMCA?
Joeri Klein
I think that we will see a downward trend in the number of new cases being filed, or at least a status quo compared to 2024. As of mid-March, the date of the recording of this podcast, we have only seen one new WAMCA case being filed so far.
So it seems that claim foundations, and potentially also the litigation funders behind these claim foundations, have adopted a more cautious strategic stance. I think they have taken a wait-and-see approach. That likely means they are closely monitoring the progress of the existing WAMCA cases before they are willing to commit more resources to new claims.
By monitoring the existing cases, they can better evaluate the potential risks associated with new claims and assess how these cases will pan out overall.
I think another cause could be the long processing times that we discussed earlier. For litigation funders, the length of a case is a very important factor to take into account. The longer a case lasts, the more costly it becomes.
I think it's important that we start seeing some of these cases being successfully resolved.
As you already put it, Koen, we have not seen major successes under the WAMCA yet. So that might also put a brake on the number of new cases being filed in 2025.
What is positive news for the future of the WAMCA is that it is currently being assessed. There is an ongoing WAMCA evaluation being conducted by the Scientific Research and Documentation Centre. Stakeholders from all areas of the legal community are being consulted about their views and experiences with the WAMCA.
I think the results of this evaluation will probably lead to amendments to the WAMCA that aim to improve its effectiveness and address some of the shortcomings we discussed today, and that have also been identified in the legal literature in the Netherlands.
If those improvements are implemented, I believe we might see another rise or increase in the number of new cases being filed.
A further trend we could see, and as you also touched upon, Koen, is a rise in environmental litigation. I think we will see more of these types of cases, as this topic continues to attract a lot of societal attention.
And I think that's it in terms of my expectations for 2025.
7. Final note
Joeri Klein
Do you have anything to add beyond what we've discussed, or do you think we've covered the topics sufficiently?
Koen Rutten
I think we've touched on the most relevant topics in this podcast.
Maybe one small thing to add, something I expect, and which also seems to be a bit of a trend when I speak to judges at conferences, is that they are starting to feel more comfortable with the WAMCA as well. That might lead to an increase in efficiency or speed up the processing times. So, they may be able to reach decisions, especially on admissibility, more quickly than in the past.
But let's see if that actually turns out to be the case, because that would, of course, be relevant for the entire market.
So that's the only thing I wanted to add.
Joeri Klein
Well, that's a very good addition, Koen, and I'm happy to hear that, because I think these opt-out actions in the Netherlands are something special, something to be a little bit proud of.
But at the same time, there are certain aspects that could be further improved, and it seems that there are various initiatives ongoing to achieve those improvements.
Koen, thank you very much for being here today and for sharing your insights, views, and opinions on the WAMCA and the topics we discussed.
Thank you all for listening, and we'll host another session at the beginning of 2026.
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Interested in last year's whitepaper? Click here to download the Whitepaper.