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Funders feel the heat as AMP ruling shows returns to class members matter most
Analysis 2019-05-24 3:05 pm By Christine Caulfield

A judge’s decision to pick Maurice Blackburn’s no win, no fee class action against AMP over three funded class actions puts the pressure on litigation funders, which will now face more competition from law firms prepared to go it alone, experts say. The ruling also shows the value courts place on funding arrangements that seek to maximise returns for class members, which means class action beauty parades are sure to get less ugly.

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High Court declines funder’s appeal of $64M Banksia settlement approval
Appeals 2019-05-24 1:23 pm By Cat Fredenburgh

The High Court will not review an appeals court’s decision to approve a $64 million settlement in litigation over the failure of Banksia Securities while rejecting the funder’s commission and legal fees.

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“I’d be happy to mediate it myself”: Judge cheers talks in Fitch class action
Class Actions 2019-05-23 7:52 pm By Miklos Bolza

Parties in an ongoing four-and-a-half year long investor class action against Fitch Ratings have agreed to a second round of mediation after a prior attempt was adjourned without success.

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Judge signs off on $30M settlement in liquidator’s LM Investment case
Restructuring & Insolvency 2019-05-23 3:16 pm By Christine Caulfield

A Queensland Supreme Court judge has given the green light for a $30 million settlement of a liquidator’s case against failed financial services firm LM Investment Management, saying the result was appropriate and “a matter of some public interest”.

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No win, no fee funding model carries Maurice Blackburn to victory in AMP class action contest
Class Actions 2019-05-23 10:29 am By Christine Caulfield

Maurice Blackburn’s shareholder class action against AMP — the only action not backed by a litigation funder — has been picked as the winner in a fierce battle of law firms vying to lead a high stakes case over the wealth manager’s fees for no service scandal.

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PWC claims privilege against self-incrimination in fight over Vocation audit files
Class Actions 2019-05-22 8:42 pm By Christine Caulfield

Accounting giant PricewaterhouseCoopers is resisting a notice to produce audit files in a consolidated shareholder class action over the collapse of education and training company Vocation, arguing its partners face a real risk of criminal and civil penalty proceedings and are entited to claim privilege against self-incrimination.

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Regulator flexes new super powers over troubled IOOF entities
Financial Services 2019-05-22 8:34 pm By Amelia Birnie

The threat of civil penalties is growing for troubled financial services provider IOOF, after the prudential regulator used its new superannuation powers to issue directions to two IOOF entities for failing to comply with licence conditions.

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Law firms to learn fate in AMP class action beauty parade
Analysis 2019-05-21 11:25 pm By Christine Caulfield

A ruling by a judge deciding a four-way contest to run a shareholder class action against AMP is expected this week, a judgment significant not just because it is the first time a court in Australia has been asked to choose among so many competing representative cases.

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ANZ brings on class actions ace as new group GC
People In The News 2019-05-21 8:43 pm By Christine Caulfield

ANZ has recruited seasoned class actions lawyer Ken Adams to be its next group general counsel as the bank faces two cases over a botched share placement and braces for the possibility of more litigation in the wake of the Banking Royal Commission.

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AMP admits to breaches in ASIC’s insurance churn case
Financial Services 2019-05-21 12:43 pm By Miklos Bolza

AMP’s financial planning unit has admitted it breached the Corporations Act when at least one of its representatives engaged in so-called insurance policy churning, in a case brought by the Australian Securities & Investments Commission that will now head to a hearing on penalties next month.

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