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Class action reform would ‘limit competition, spur competing cases’

The sweeping changes to class action funding proposed by the Morrison government last week risk more competing cases, defence lawyers running “scorched earth defences”, and reduced competition between firms and funders, lawyers warn.

They could also inadvertently increase the power of large plaintiff law firms by trying to stop “cosy relationships” between legal outfits and litigation funders, they say.

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Hannah Wootton is a Rear Window columnist, based in Melbourne. Connect with Hannah on Twitter. Email Hannah at hannah.wootton@afr.com

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    Original URL: https://www.afr.com/companies/professional-services/class-action-reform-would-limit-competition-spur-competing-cases-20211006-p58xvr