The basic formulation of the so-called fast electron hypothesis is presented. According to this hypothesis, the optical flares of UV Cet-type stars are caused by the inverse compton effect, i.e., nonthermal interactions of infrared photons with fast electrons (E equal to about 1.5 MeV), as well as nonthermal bremsstrahlung. The spontaneous appearance of fast electrons on the outer regions of the star is the essence of the flare. The fast electron hypothesis elicits two important predictions: (1) the possibility of X-ray emission during the stellar flares and (2) the inevitability of negative infrared flares. Both predictions are confirmed by direct observations. The importance of negative infrared flares is especially striking; it may be taken as convincing evidence that the inverse Compton effect may really work in the stellar atmospheres. 25 references.