US Chamber Institute for Legal Reform looks closely at Australian litigation funding industry

A new report sponsored by the U.S. Chamber Institute for Legal Reform has taken a look at the six-year-old litigation funding industry in Australia, focusing on the potential of such arrangements to create conflicts of interest. The report, authored by Michael Legg of the University of New South Wales asks whether it is possible to make decisions based entirely on the best interests of your client when you have to answer to someone else who is paying the bills. Legg says that there is anecdotal evidence to suggest that Australian Lawyers recognize the potential for conflict, with sime advising clients to seek independent legal advice on the terms of the funding agreement. But that raises the question of “how is it that the lawyer can be said to act for the client if they are unable to advise on the fundamental contractual arrangement between the client and the funder.”

US Chamber Institute for Legal Reform looks closely at Australian litigation funding industry blogs.wsj.com Mon, Feb 13, 2012