Judgment of the Court (Fourth Chamber) of 16 January 2025.Banco Santander SA, venant aux droits de Banco Banif SA v Asociación de Consumidores y Usuarios de Servicios Generales-Auge, en représentation de ses associés : Andrea y Alberto.Reference for a preliminary ruling – Markets in financial instruments – Directive 2004/39/EC – Article 52(2) – Action brought in the interests of consumers – Consumer organisations having a legitimate interest in protecting consumers – Standing to bring legal proceedings to defend the individual interests of their members – Loss of standing in the case of investments in high-value financial products – Exemption from court fees and from the obligation to pay the costs incurred by the opposing party – Procedural autonomy – Principle of effectiveness.Case C-346/23.

This judgment concerns the interpretation of Article 52(2) of Directive 2004/39/EC on markets in financial instruments and consumer protection rights.The essence of the act in 3-5 sentences:
The Court ruled on whether consumer organizations can represent individual members in financial disputes regardless of the members’ wealth or investment amounts. It established that while Member States must allow consumer organizations to bring legal proceedings to protect consumer interests, they have discretion in configuring the procedural mechanisms. The judgment clarified that consumer organizations cannot be restricted from representing members based on their financial means or investment types, but criteria like wealth can be considered for legal aid eligibility.Structure and main provisions:
– The judgment analyzes whether Article 52(2) precludes national laws that restrict consumer organizations’ standing based on members’ wealth and investment types
– It examines the scope of “interests of consumers” under the Directive
– It addresses both procedural standing rights and legal aid eligibility
– Key changes: Clarifies that Member States cannot restrict organizations’ standing based on wealth/investment criteria, but can consider these for legal aidMost important provisions:
1. Consumer organizations must be allowed to represent all consumer-investors without discrimination based on wealth or investment types
2. Member States have discretion in configuring procedural mechanisms but cannot exclude certain consumers from representation
3. While standing cannot be restricted based on financial means, such criteria can be considered for legal aid eligibility
4. The ruling preserves individual consumers’ rights to bring actions and seek legal aid independently

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