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The Use of Cost Litigation Rules to improve the Efficiency of the Legal System

Office of Regulation Review submission

This submission to the Australian Law Reform Commission review of the litigation cost rules was released in March 1995. The submission comments on whether changes should be made to how costs are awarded in proceedings before federal courts and tribunals.

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Contents

Preliminaries
Cover, Contents, Preface

1   An Economic Perspective on Litigation

2   Government Assistance in Setting Precedents

3   Possible Reform of the Litigation Cost Rules
3.1   The cost indemnity rule (the English rule) and the party-party rule (the American rule)
3.2   The benefits from encouraging settlement
      One way cost shifting - an offer-of-judgement rule
      Mutual cost-shifting
3.3   Are there sufficient sanctions against predatory litigation?

4   Conclusion

References

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