Spain hospitality sector – class action lawsuit for loss of earnings

A bar that closes in Menorca.

On Thursday of this week fifty initial claims for loss of earnings is presented to the Spanish Ministry of Industry, Trade and Tourism by hospitality companies. Additional claims will be registered in the coming weeks leading up to the anniversary of the initial alarm condition (March 14th).

The claims are the first step in one Class action Bring to the Supreme Court for damage caused by actions taken by the Spanish and regional governments. The hospitality industry has created a platform called Hostelería de Todos which is sophisticated Compensation for closings and has hired a leading law firm that has experience of such collective actions.

To date, around a thousand companies have joined and a website has been set up to make claims – Inicio ( Spokespeople insist that this is not political as they “don’t care who is in government; we just want good managers”. They also stress that “we have the right to be compensated for the closings”. “We adjusted our business and took action, but the national and regional governments are not giving a figure. And we are still paying taxes. We are the scapegoats for administrations Relief from responsibility for actions they fail to take, such as hiring medical staff and track-and-tracers, and expanding intensive care units. “

It is accepted that the case will be difficult and that it will be difficult The solution takes a long time. Still, the platform believes that the requirements will be successful by aggregating them as an individual case. “It cannot be that everything is about restrictions and that there is no kind of help. We cannot just pay taxes.”

As reported last week, the restaurant association within the Pimem Association of Small and Medium-Sized Enterprises and the recently formed Arema Restaurant Association announced their own legal action against the Balearic government. Thirty-three companies have filed for judicial review with the Supreme Court of the Balearic Islands to seek compensation for loss of earnings.

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