Clicky

Change is still a way off on ALRC proposal: Honan

Despite the Australian Law Reform Commission’s (ALRC’s) recent recommendations to the Federal Attorney-General from its Inquiry into Class Action Proceedings and Third-Party Litigation Funders, Honan Insurance Group says change is still a way off.

Head of legal, Blair McNamara, said the ALRC’s recommendation to regulate third party litigation funding in Australian and to lift the prohibition on lawyers charging contingency fees would impact current conditions.

“I do not see contingency fees being for lawyers as a drastic or alarming development so long as the change is supported by appropriate safeguards”, said McNamara.

Related News:

He said whilst corporate Australia may not universally see such a change as positive, it was important to note:

  • The ALRC recommendation is limited to class action litigation only filed in Australian courts;
  • A lawyer’s percentage-based fee should absorb all legal costs and disbursements; and
  • Percentage-based fee agreements are only permitted with leave of the Court.

The head of legal said change was a way off given the reform proposal was at federal level, and any change to removing prohibitions on contingency fees would need to transpire at state and territory level.




Related Content

Insurers warned on outsourced service providers

In a message which will resonate with life insurers, general insurers have been cautioned over their use of outsourced service suppliers to handle com...Read more

AUB Group NZ buys brokerage firm

AUB Group has announced the acquisition of the remaining 50 per cent shareholding of BrokerWeb Risk Services (BWRS), one of the largest New Zealand&nb...Read more

ASIC bans inadequately trained planner

A Hobart financial planner who was not adequately trained, despite holding a Dipoma of Financial Planning from Kaplan, or competent to provide fi...Read more

Author

Comments

Add new comment