RHA gets green light for legal action on truck cartel

London UK; The Road Haulage Association has been given the green light to proceed with legal action on behalf of hauliers seeking compensation from major European truck manufacturers that operated a price-fixing cartel between 1997 and 2011. The manufacturers were fined over GBP2.5bn. The RHA claim, which over 18,000 operators have already joined or are planning to join, is currently valued at over GBP2bn.

Once the Competition Appeal Tribunal has confirmed the terms of the collective proceedings order, there will be an opportunity for more truck operators to join the claim (including those who have already started individual actions) and the Tribunal agreed with RHA’s assessment that many more firms would probably do so. The RHA’s action will cover the following claims by businesses of any size engaged in road haulage operations (on a hire and reward or own-account basis) in respect of trucks of 6 tonnes and over registered in the UK:

  • Claims for new trucks purchased or leased between 17 January 1997 and 31 January 2014 – both short and long-term leases are included;
  • Claims for used (pre-owned) trucks purchased or leased between 17 January 1997 and 31 January 2015; and
  • Claims for increased costs due to the truck manufacturers’ coordinated delay in introducing new Euro emissions technologies during the cartel period and to 31 January 2014.
  • However, the Tribunal imposed some limits on the scope of the RHA’s collective proceedings, including:
  • Trucks purchased or leased outside the UK (foreign trucks)
  • Operators providing road haulage services exclusively on a cost-plus/open book basis where the cost of the trucks has been paid for in full by the recipient of the road haulage services; and
  • Claimants who have brought individual actions (unless they discontinue those claims and opt into RHA’s claim).

Richard Smith, managing director of the RHA said: “The RHA is delighted that the Tribunal has approved its application to represent the UK haulage industry in recovering damages on behalf of operators impacted by the truck cartel. There has been a significant amount of work and effort since launching the claim four years ago and this judgment represents a huge endorsement of the RHA’s determination to stand up and fight not only for its members but the industry as a whole.

It is my understanding that our claimant group is the largest of its type in Europe and I would encourage anyone who has not yet signed up to do so.”

Representing the RHA, Steven Meyerhoff, director at Backhouse Jones said “This judgment, in which the RHA has succeeded on almost every single point (despite the truck manufacturers’ attempts to derail the action) demonstrates that the Competition Appeal Tribunal’s opt-in regime is very much suited for well thought-out applications on behalf of large and small businesses seeking redress for anti-competitive behaviour.

The RHA has ticked all of the boxes and we look forward to progressing the claim as quickly as possible in order to obtain redress for those operators who are part of the claim.”