Is litigation funding legal in Australia?

Is litigation funding legal in Australia?

Even after the statutory abolition of maintenance and champerty in most states of Australia, courts may still intervene in funded litigation where funding agreements are considered to be contrary to the public policy considerations upon which the previous prohibitions were based at common law.

What is Consumer litigation funding?

Consumer litigation finance, also known as lawsuit funding, lawsuit advances and settlement funding, is a highly regulated industry that often lends personal injury plaintiffs money for living expenses until their cases settle.

Is litigation funding privileged?

Courts Seldom Apply the Attorney-Client Privilege to Protect Litigation Funding Materials. Courts are less willing to shield materials shared with a litigation funder from discovery if the materials are protected only by the attorney-client privilege.

What is a litigation funding firm?

Litigation funding offers law firms and commercial plaintiffs access to the capital they need without the risk of repayment if the case is lost. This non-recourse financing is used by law firms to offer contingency fee arrangements to clients without taking on the risk and expense of a loan from a bank.

Do litigation funders require Afsl?

If you carry on a business of providing financial services for a litigation funding scheme, you will generally need to hold an AFS licence. You must have your AFS licence from the day you start providing financial services.

Are litigation loans discoverable?

Federal courts which have addressed the discoverability of litigation loans typically hold that information concerning the loans is non-discoverable, usually on relevancy and work product grounds.

What happens if privileged information is voluntarily disclosed to a third party?

Voluntary disclosure of privileged communications to a third party results in waiver of the attorney-client privilege unless an exception applies. The work-product doctrine is broader than the attorney-client privilege and protects any documents prepared in anticipation of litigation by or for the attorney.

Who invests in litigation funding?

There are three primary participants in third-party litigation funding: plaintiffs, investors, and attorneys. Plaintiffs are individuals or companies involved in lawsuits that need to fund litigation expenses, working capital or personal expenses.

What is managed investment scheme?

A managed investment scheme is a scheme that enables a group of investors to contribute money that is pooled for investment to produce a financial benefit. All contributions from investors are pooled or used for a common purpose to further produce benefits.

Why do you want to be a litigator?

Anyone who is willing to dive deeply into the facts of a case and willing to take the time to master the procedural rules can succeed in a litigation career. Litigation can be a great legal career for the service-minded as well, because it allows you to help people in moments of great need.

Are litigation funding documents protected from discovery?

In contrast to work-product protection, courts have been less willing to shield from discovery materials shared with a litigation funder that are solely protected by the attorney-client privilege.