Alternative Method for Funding Money Damages Claims

Dear Colleague

The Department of Justice yesterday published a Consultation on An Alternative Method for Funding Money Damages Claims. The Consultation (20 pages) can be downloaded from the DoJ’s Website: https://www.dojni.gov.uk/consultations/alternative-method-funding-money-damages-claims  i

The Consultation follows the Report of the Access to Justice Review Part II (the Stutt Report) and deals specifically with the recommendations therein concerning an alternative method of funding ‘money damages’ claims.  While the Stutt Report is subject to a separate consultation (which was launched on 3 November 2015) the Department considers it appropriate to hold a specific consultation on funding ‘money damages’ claims to focus on the detailed recommendations in the Report and ensure the complex issues involved are given appropriate consideration. The Stutt Report can be accessed at https://www.dojni.gov.uk/sites/default/files/publications/doj/access-to-justice-review-part-2-report.pdf (in particular see Chapters 22-24).

The recommendations in the Stutt Report set out an alternative method of pursuing claims with a Conditional Fee Agreement, otherwise known as a “no win, no fee agreement” but with measures to prevent a significant increase in costs. The Consultation Document states that these proposals could allow for most areas of ‘money damages’ cases to be removed from the scope of legal aid, saving money without disadvantaging potential claimants.  It further says that the proposals are designed to increase access to justice by allowing those who do not financially qualify for legal aid, but cannot afford to pursue claims independently, the means to do so.

The Department states that it is very keen to hear a wide range of respondents views on how best to give effect to the recommendations outlined in the Stutt Report and to allow it to evaluate the impact they will have on the different stakeholders

As the proposals will impact significantly on the conduct of civil litigation, the Society would welcome any comments members of the Association may wish to make to help inform the Society’s response to the consultation. These should be sent to Dr Frank Geddis, Head of Research and Policy at the Society email – frank.geddis@lawsoc-ni.org

Please note the consultation period closes on 19 February 2016.