PARLIAMENTARY EARLY DAY MOTION
CIVIL LITIGATION COSTS REFORM (26 April 2011)

That this House expresses concern that the Government's proposals for reform to the costs regime for civil litigation will have particularly devastating consequences for human rights claims against multinational corporations (MNCs); notes that the costs of taking such cases often significantly exceeds the amount of compensation awarded; believes that, far from perpetuating a litigation culture, the no win no fee model enables a more level playing field between claimants and MNCs and that claimants' lawyers shoulder a significant financial burden throughout the duration of each case as well as the risk of losing all the costs incurred if the case is unsuccessful; calls on the Government to re-think the abolition of success fees so that MNCs will continue to have to pay a success fee in the event that a case against them is successful; opposes the introduction of contingency fees, so that claimants will not be forced to pay for costs out of their compensation; and further calls for the definition of proportionality used to include specific reference to international victims of MNCs' activities.

Sponsored by:
Lisa Nandy (Labour)