Shine Lawyers

A judge has refused a lead applicant’s novel bid for financial information to use at settlement discussions in a group proceeding against Dixon Advisory.

Class actions throw up all manner of ethical conundrums, but a recent Federal Court decision has shined a light on the question of whether funders and law firms should take out loans to run class actions and whether they can charge the costs to group members.

Shine Lawyers has lost its bid to recover $32 million in interest on a loan it took out to run two pelvic mesh class actions against Johnson & Johnson, with a judge finding it would make a “marginal settlement less than reasonable”.

The High Court has found a Whitsundays resort is not vicariously liable for the actions of an employee who urinated on his roommate in staff accommodation after a night of drinking, finding the act had “no real connection” to his employment.

Auditor Ernst & Young has filed cross-claims against Blue Sky in a shareholder class action accusing the collapsed investment firm of misleading shareholders by misstating its assets under management.

Shine Lawyers’ bid to recoup “exorbitant” interest on a loan it took out to run pelvic mesh class actions against Johnson & Johnson has raised new ethical dilemmas beyond the usual “sweaty palms and huge vexation” in most group proceedings, a judge has said.

Three years on from their debut, group costs orders — which entitle law firms to a percentage of any recovery in class actions — have raised a host of novel issues that are keeping lawyers and the court busy.

A Shine Lawyers class action over norovirus outbreaks on Carnival’s Sun Princess cruise ship has called an attempt to see documents outlining its strategy for the case “abusive” and “bizarre”, as the cruise operator continues its fight to have the suit struck out. 

As the knives come out in a contest between four law firms battling to run an $80 million class action against Star Entertainment, a court-appointed barrister has named his favourites – one of which has proposed a contingency fee of just 14 per cent.

Three firms fighting for carriage of a $80 million class action against Star Entertainment say a group costs order would guard against ‘costs blowouts’ in the case and have urged a judge to ditch a no win, no fee proposal brought by fourth-to-file firm Shine Lawyers.