In December 2020, a report was placed by the Parliamentary Joint Committee on Corporations and Financial Services. This report detailed serious concerns around both the litigation funding and overall regulation of the class action industry. There was a view that litigation funders did not need to meet enough regulatory requirements, leading to them receiving proceeds ‘disproportionate to the cost and risk undertaken by those funders’. As a result, the class members received less for their shares.
As of October 2021, the Corporations Amendment (Improving Outcomes for Litigation Funding Participants) Bill 2021 (Cth) was brought forward and introduced to the House of Representatives, directly referencing the report mentioned by the Parliamentary Joint Committee. The Bill is seeking to address these concerns by updating the Corporations Act 2001 (Cth) in a new section 9AAA that provides clearer definitions around class action litigation funding schemes. This will be paired with additional requirements for the constitution of managed investment schemes that are class litigation funding schemes.
This is all designed to award a more equitable share to the class action plaintiffs, ensuring group members are secured to receive a ‘fair and reasonable’ share.
Parliament is seeking to change the law on Class Actions to make them more fair for the people. The change suggests anything less than 70% to the group members would be deemed unfair.
Get My Refund agree on this change, especially when opted out of a class action you could be entitled to more!
How Do Some Class Actions impact the Ability for Consumers to Get Justice?
Often victims of junk insurance policies or unreasonable financial and credit products see their only resort to seek compensation as being through class actions. Individuals overcoming large, faceless corporations is an overwhelming prospect, after all, and so this process of litigation spear-headed by legal specialists is promising – so how do Class Actions impact the ability for consumers to get the justice they are owed? It stems from the inherent issues with the class actions process:
- The lengths and timeframes and costs taken from settlements before consumers retrieve their funds.
- Special consideration for things like hardship is not considered with this current bill
- Class actions are difficult for consumers to understand what they are signing up for, companies like GMR help customers understand what they are entering into and what the process is going to entail.
Perhaps most importantly, any members who sign up to a class action and have failed to opt-out within the short time frame, their rights will be automatically waived to ever seek justice as an individual
How Get My Refund are Fighting for Change
Here at Get My Refund, we exist to work outside of restrictive class actions, while still providing support to individuals who think they have suffered from improper financial products, and retrieving what is owed to them. It is for this reason we are fighting for this Bill to be amended; to protect potential group members of class actions, especially those who continue to pay large amounts out of the money that should be rightfully theirs due to the costs of class actions.
Through our proven strategies outside of traditional class action processes, we ensure better outcomes for everyone involved, outlining all of the relevant factors that are unique to an individual consumer’s situation. This is evident in some of our recent successes.
Get My Refund pay more, How?
Get My Refund’s Internal reports regarding the Swann Class Action Settlement, where consumers who opted to utilise the Get My Refund services received more than 640% more money than those operating in the class action. WHY? We do not charge high lawyers fees and court costs and look at every single client as an individual to get the maximum back.
What’s more, we don’t just limit our scope to one loan like class actions – our team can review every loan or product you have encountered to ensure you have the best availability to justice.
To learn more or get started, call us at Get My Refund today by calling (02) 9156 1000.