Fungible Contracts and Class Actions

Abstract This chapter explores the concept of fungible contracts, especially within consumer transactions. It introduces the idea of a consumer exchange, where fungible contracts—such as mobile data, insurance, and telecom services—could be traded in a manner like commodities like shares or metals. The chapter highlights the nature of fungible assets, focusing on their interchangeability and standardized contracts, which often limit consumer choice due to their ‘stickiness’. It examines how leveraging these contracts can benefit consumers by improving competition and enhancing consumer protection. Finally, the chapter suggests that recognizing fungible contracts and establishing a consumer exchange could create a framework for class actions and collective redress, fostering more efficient consumer rights enforcement and market transparency.