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CBA notified of class action in Federal Court
A commercial law firm has filed class action proceedings in the Federal Court on behalf of individuals affected by the “serial misconduct” of a Commonwealth Bank subsidiary.
Naomi Neilson
The Commonwealth Bank of Australia’s (CBA) subsidiary Count Financial Limited has been notified of class action proceedings in the Federal Court of Australia by firm Piper Alderman on behalf of individuals affected by “serial misconduct”.
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The proceedings relate to commissions paid to Count Financial and the representative financial advisers in respect of financial products, including insurance, and the certain obligations of its financial advisers to provide ongoing advice between 2014 and 2020.
Piper Alderman confirmed that participating in the class action will not cost individuals, noting that it is being funded by Woodsford Litigation Funding on a no win, no fee basis.
“Importantly, this claim does not overlap with other class actions you may have heard about against Count Financial,” the firm specified on its site, adding: “Piper Alderman is seeking to recover money for you that nobody else is.”
The claims allege, among other things, that Count Financial contravened an obligation under the Corporations Act 2001 to act in their customer’s best interests when providing financial advice, ensure that their financial advisers do not contravene legal obligations to their customers and ensure that adviser remuneration was free from conflict.
Count Financial was a wholly owned subsidiary of CBA until October 2019 when it was acquired by CountPlus Limited. CBA will continue to support and manage all customer remediation matters arising from any past issues at Count Financial and has provided an indemnity to CountPlus Limited of $300 million.
