There has been tremendous growth over the past 10 years in the number of individuals and companies investing in the Australian share market. Coupled with the introduction of class action regimes in various jurisdictions across Australia (and recently the permissibility of litigation funding in Australia), this means that whenever a large company encounters difficulty, there will most likely be significant media exposure and, hot on its heels, plaintiff law firms investigating class actions on behalf of shareholders.
Behind the United States, Australian companies now have one of the world’s highest likelihoods of facing a class action suit. The very real threat of being exposed to US-style litigation, and all the accompanying costs, now ranks prominently among the business risks faced by many of our clients.
Allens Arthur Robinson's industry-leading class actions specialists have advised on many significant class actions proceedings, including in Australia and overseas. We have specific expertise in relation to shareholder class actions, including having advised on the Aristocrat proceeding – the largest shareholder class action in Australia to be brought to trial and settled.
A proactive approach
Our experts work closely with clients to respond to the increasingly sophisticated wave of class action proceedings led by plaintiff law firms and litigation funders.
In addition to our demonstrated ability to successfully defend clients in such actions, our experience with representative proceedings in various contexts (including product liability, environmental damage and anti-competitive matters) means we have a proven track record in working with clients to devise effective and comprehensive strategies to address the wide range of commercial and reputational issues raised by the threat of these proceedings.
We also continue to be involved in the development of the law in relation to class actions. We have been actively involved in the discussion surrounding the civil justice reforms currently being considered by the Victorian Law Reform Commission, and have made several submissions in relation to class actions and litigation funding as part of the consultation process. This demonstrates our intimate understanding of many of the complex issues that underpin law reform in this area and also reflects our commitment to developing the law in a responsible manner that protects our clients' interests.
