find the latest legal job
Corporate Counsel and Company Secretary
Category: Generalists - In House | Location: Newcastle, Maitland & Hunter NSW
· Highly-respected, innovative and entrepreneurial Not-for-Profit · Competency based Board
View details
Chief Counsel and Company Secretary
Category: Generalists - In House | Location: Newcastle, Maitland & Hunter NSW
· Dynamic, high growth organisation · ASX listed market leader
View details
In-house Projects Lawyer | Renewables / Solar | 2-5 Years PQE
Category: Generalists - In House | Location: All Australia
· Help design the future · NASDAQ Listed
View details
Insurance Lawyer (3-5 PAE)
Category: Insurance and Superannuation Law | Location: Brisbane CBD & Inner Suburbs Brisbane QLD
· Dynamic organisation ·
View details
Real Estate & Projects Lawyer (6+ years PAE)
Category: Property Law | Location: Sydney CBD, Inner West & Eastern Suburbs Sydney NSW
· Top tier firm with offices nationally · High profile clients
View details
Class actions unlocked by new govt regulation

Class actions unlocked by new govt regulation

At least 10 class actions being stymied by a litigation funding stalemate were unlocked yesterday as the Federal Government confirmed it would introduce new regulation to undo a Federal Court decision made last year.

AT least 10 class actions being stymied by a litigation funding stalemate were unlocked yesterday as the Federal Government confirmed it would introduce new regulation to undo a Federal Court decision made last year.

The decision, announced yesterday by the minister for financial services, superannuation and corporate law, Chris Bowen, undoes the court ruling, which meant class actions backed by litigation funders are not required to register and operate as managed investment schemes.

Class action law firm Maurice Blackburn has welcomed the Government’s decision, which will reverse the legal impact of last year’s Full Federal Court Brookfield Multiplex decision.

“[The decision] restores access to justice for thousands of retail investors and cartel victims who, because of the Court decision have been unable to join class actions,” said Bernard Murphy, Maurice Blackburn chairman.

Minister Bowen said he had asked Treasury to ensure the new regulations are made at the end of the financial year, which is also the deadline for the relief the Australian Securities and Investments Commission has given class actions that would be disrupted by the ruling.

Maurice Blackbrurn said the announcement reflects the view of those consumers consulted by the government.

“Today’s announcement reflects the overwhelming view of all those involved - that the managed investment regime in corporations law is not an appropriate way to regulate litigation funding,” said Murphy.

“The Full Federal Court ruling only came about in the first place because the defendant in a class action being run by Maurice Blackburn wanted to derail that case.

“The flow-on effect of the ruling effectively stopped the funding of new class actions, which was a terrible outcome for shareholders and other consumers who were denied an appropriate avenue to recoup losses caused by corporate wrongdoing,” he said.



Like this story? Read more:

QLS condemns actions of disgraced lawyer as ‘stain on the profession’

NSW proposes big justice reforms to target risk of reoffending

The legal budget breakdown 2017

Class actions unlocked by new govt regulation
lawyersweekly logo
Promoted content
Recommended by Spike Native Network
more from lawyers weekly
Unite
07:04
Professionals unite in support of marriage equality
The presidents of representative bodies for solicitors, barristers and doctors in NSW have come toge...
Aug 21 2017
Is your firm on the right track for gig economy gains?
Promoted by Crowd & Co. The way we do business, where we work, how we engage with workers, ev...
Scales of Justice, Victorian County Court, retiring judges
Aug 21 2017
Replacements named for retired Vic judges
Two new judicial officers have been appointed in the Victorian County Court, following the retire...
APPOINTMENTS
Allens managing partner Richard Spurio, image courtesy Allens' website
Jun 21 2017
Promo season at Allens
A group of lawyers at Allens have received promotions across its PNG and Australian offices. ...
May 11 2017
Partner exits for in-house role
A Victorian lawyer has left the partnership of a national firm to start a new gig with state governm...
Esteban Gomez
May 11 2017
National firm recruits ‘major asset’
A national law firm has announced it has appointed a new corporate partner who brings over 15 years'...
opinion
Nicole Rich
May 16 2017
Access to justice for young transgender Australians
Reform is looming for the process that young transgender Australians and their families must current...
Geoff Roberson
May 11 2017
The lighter side of the law: when law and comedy collide
On the face of it, there doesn’t seem to be much that is amusing about the law, writes Geoff Rober...
Help
May 10 2017
Advocate’s immunity – without fear or without favour but not both
On 29 March 2017, the High Court handed down its decision in David Kendirjian v Eugene Lepore & ...