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Class actions work, and that’s why they’re under attack

Australians support class actions and litigation funding. It’s time critics stopped siding with powerful interests over public accountability.

John Walker and Pip Murphy John Walker, considered a pioneer of litigation funding in Australia, and Pip Murphy are chair and CEO of the Association of Litigation Funders of Australia.
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Class actions are a crucial tool for holding powerful institutions to account and Australians want them protected, argue John Walker and Pip Murphy. Shutterstock.

Australia’s class action regime is renowned globally for being accessible, efficient and fair. The guidelines for third-party funding are clear, and our adverse costs regime discourages frivolous or speculative claims.

In more than 30 years of operation, class actions in Australia have delivered over $8 billion in compensation to group members, most of whom were consumers, employees, small businesses or retail shareholders.

While not perfect, the system works. It is one of the few avenues through which everyday Australians can seek redress from powerful institutions with vast financial and legal resources.

What often goes unspoken, however, is the conduct of those on the other side of the courtroom: the corporate and government defendants. These defendants routinely use every legal tactic available to delay proceedings, deny wrongdoing and increase the costs of litigation. The longer a case drags on, the greater the pressure on plaintiffs to settle for less.

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