In May, the High Court of Australia delivered its judgment in Lendlease Corporation Ltd v Pallas & Anor. The decision addressed conflicting judgments of the New South Wales Court of Appeal and the Full Court of the Federal Court with respect to the giving of notice, prior to mediation, to group members in a class action seeking group member registration and foreshadowing a class closure application. The Court of Appeal had formed the view that the Court did not have power to issue such a notice having regard to the conflicts of interest that would result for the representative plaintiff in seeking to represent both registered and unregistered group members at mediation. This was considered by the Court of Appeal to be anathema to an “opt out” scheme. The High Court has allowed an appeal from that decision, recognising that potential and actual inconsistencies of interest between representative plaintiffs, their lawyers, group members, defendants and defendants’ lawyers may wax and wane over the life of a class action. These inconsistencies of interest are to be closely managed by the Courts.
The full decision is available here.
Zoe Hillman appeared as Court appointed contradictor in the case, led by Kate Morgan SC.
