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Commercial Regulatory Issues

EU Stakeholder Survey Aims to Inform Litigation Finance Policy

By Tom Webster |

The following is a contributed piece by Tom Webster, Chief Commercial Officer at Sentry Funding.

An EU stakeholder survey is gathering practical information on the operation of third-party funding across the European Union. The study, ‘Mapping Third Party Litigation Funding (TPLF) in the European Union’, was given an extended deadline of 3 September 2024.

Conducted by Civic Consulting and the British Institute of International and Comparative Law (BIICL), the research will help the European Commission analyse the legal framework and practical operation of litigation funding in the EU and make policy decisions in the area.

The survey seeks views from stakeholders with experience of third-party funding, including funders, lawyers, consumer organisations, other businesses, public authorities, members of the judiciary and others. As well as questions seeking to discover the extent of funding activity in each EU jurisdiction and typical levels of investment, it also asks for views on both positive and negative effects of litigation funding.

In relation to positive effects, the survey asks a number of questions including whether respondents have observed that current litigation funding practices lead to better access to the courts for parties who could not litigate without funding; whether there is a deterrent effect on companies that serve consumer markets due to the threat of mass claims relating to unsafe products or unfair practices; and whether respondents have seen a filtering effect on claims as those with a low chance of success will not be funded.

In relation to negative effects, questions include whether respondents have observed conflicts of interest; undue influence on decisions such as settlements and appeals; and the funding of frivolous claims.

The EU survey is just one of a number of projects currently examining the litigation funding sector. Also focusing on the EU market, the European Law Institute is undertaking a substantial research project with the aim of establishing a set of principles to identify the issues that should be taken into account when entering into litigation funding agreements.

Meanwhile in the UK, the Legal Services Board recently published a report on litigation funding in England and Wales (https://legalservicesboard.org.uk/wp-content/uploads/2024/05/A-review-of-litigation-funding.pdf), and the Civil Justice Council has embarked on a wide-reaching review of the sector (https://www.judiciary.uk/related-offices-and-bodies/advisory-bodies/cjc/current-work/third-party-funding/) which will include recommendations in relation to the future regulation of the industry.

About the author

Tom Webster

Tom Webster

Commercial

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Community Spotlights

Community Spotlight: Craig Allsopp, Joint Head of Class Actions, Shine Lawyers

By John Freund and 4 others |

Based in Sydney, Australia, Craig Allsopp is the Joint Head of Class Actions at Shine Lawyers. Craig has over two decades of experience in class actions and large-scale litigation in both the private and public sectors. His unwavering commitment to justice has left an indelible mark on Australia’s legal landscape, positioning him as a trailblazer in shareholder dispute resolutions. Craig’s distinguished career is studded with triumphs that have shaped legal precedent. In every case he sees through, Craig strives to obtain justice for thousands of people impacted by the misconduct of corporations, the big banks and other major financial service institutions, and Australian governments. In particular, Craig has worked on some of Australia’s highest profile shareholder and social justice class actions.

Craig's dedication to legal excellence and social justice is demonstrated by the profound impact he has on the legal landscape. He has set a standard for advocacy and achieving substantive change in the pursuit of fairness and accountability, particularly in corporate and government sectors.

Company Name and Description: Shine Lawyers is an Australian law firm specialising in personal injury compensation and class actions. As one of Australia’s leading class actions firms, Shine Lawyers passionately fights to obtain justice for those who have been wronged and suffered loss at the hands of institutions or corporations.  

Company Website: https://www.shine.com.au/ 

Year Founded: 1976

Headquarters: Brisbane, Queensland, Australia

Area of Focus: Class Actions

Member Quote: Third-party litigation funding has significantly improved access to justice in Australian class actions allowing individuals to pursue representative claims against corporations and governments for various alleged misconducts.

Case Developments Commercial

Westpac Announces A$130m Settlement for Flex Commissions Class Action

By Harry Moran and 4 others |

The Banking Royal Commission established by the Australian government uncovered a wide range of misconduct and failing by the country’s financial institutions, with a slew of litigation and class action claims being brought in the aftermath. Six years on from the commission’s final report, some of these class actions are only now reaching a conclusion.

An article in Reuters covers the news that the Westpac Group has agreed to settle a class action brought against it by car loan customers, over “flex commissions” paid to car dealers by Westpac and St George Finance. The provisional settlement, which is subject to court approval, is for A$130 million and would see the class action resolved without Westpac accepting any admission of liability.

The claim was brought by law firm Maurice Blackburn in 2020 on behalf of consumers who entered into a finance agreement for the purchase of a car issued under Westpac or St George’s credit licence, between 1 March 2013 to 31 October 2018. In its announcement, Westpac said that it has not paid these flex commissions to car dealers since 2018, and had ceased providing new lending through its dealer introduced auto finance business since 2022.

At the time of reporting, Maurice Blackburn had not yet issued a statement on the announced settlement.

The full announcement from Westpac Group can be read here. More information about the class action can be found on the Supreme Court of Victoria’s website.

Commercial People Moves

Omni Bridgeway Appoints David Breeney as Global Chief Financial Officer

By Harry Moran and 4 others |

An announcement from Omni Bridgeway confirms the appointment of David Breeney as Global Chief Financial Officer (GCFO), having officially taken over the role on 1 March 2025. The appointment sees Breeney move up from his previous position as Deputy CFO, having first joined Omni Bridgeway as Global Head of Financial Control in November 2023.

Prior to his time at Omni Bridgeway, Breeney spent 12 years at asset management firm Challenger Limited, where he served as Financial Controller for funds management and real estate. In the announcement, Omni Bridgeway said that “the background and experience of Mr. Breeney align well with the stated strategy of accelerated transition towards a fund and asset management model.”

The announcement also revealed that the departing GCFO, Guillaume Leger, will be leading the establishment of a capital formation team to coordinate fund capital raising activities of the group. After a period of three months in this role, Leger will be leaving the company and Omni Bridgeway will look to hire a permanent senior capital formation professional as a replacement.A separate announcement from Latitude Group Holdings confirms that Guillaume Leger will become the company’s new Chief Financial Officer on 16 June 2025.