Litigation Funding in Australia

43 Pages Posted: 28 Mar 2010  

Michael Legg

University of New South Wales (UNSW) - Faculty of Law

Louisa Travers

Clayton Utz

Edmond Park

Clayton Utz

Nicholas Turner

Clayton Utz

Date Written: March 27, 2010

Abstract

Litigation funding has been argued to be an important development in Australian civil litigation that provides access to justice, allows for the spreading of the risk of complex litigation and can improve the efficiency of litigation by bringing commercial considerations to bear. Since the High Court decision in Campbells Cash and Carry Pty Limited v Fostif Pty Ltd (2006) 229 CLR 386, the Australian litigation funding industry has enjoyed significant growth. However, the operation and proper constraints on litigation funding remains a live issue with concerns that the relatively unregulated nature of the litigation funding market creates the possibility for harm to consumers and the abuse of court processes. This paper reviews the development of litigation funding in Australia and the proposals for its regulation, including the decision in Brookfield Multiplex Limited v International Litigation Funding Partners Pte Ltd (2009) 180 FCR 11 where the Full Federal Court found that the litigation funding arrangements under consideration constituted a 'managed investment scheme' that was subject to the requirements of the Corporations Act 2001 (Cth).

Keywords: General Law, Litigation Funding

Suggested Citation

Legg, Michael and Travers, Louisa and Park, Edmond and Turner, Nicholas, Litigation Funding in Australia (March 27, 2010). UNSW Law Research Paper No. 2010-12. Available at SSRN: https://ssrn.com/abstract=1579487

Michael Legg

University of New South Wales (UNSW) - Faculty of Law ( email )

Kensington, New South Wales 2052
Australia

Louisa Travers

Clayton Utz ( email )

Sydney NSW 1215
Australia

Edmond Park

Clayton Utz ( email )

Sydney NSW 1215
Australia

Nicholas Turner (Contact Author)

Clayton Utz ( email )

Sydney NSW 1215
Australia

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