Do Mass Tort Negligence Class Actions Adequately Compensate Victims and Effectively Deter Tortfeasor Wrongdoing?

Nikki Chamberlain () and Michael Legg ()
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Nikki Chamberlain: Faculty of Law, University of Auckland, Auckland 1142, New Zealand
Michael Legg: Faculty of Law and Justice, University of New South Wales, Sydney, NSW 2052, Australia

Laws, 2025, vol. 14, issue 5, 1-21

Abstract: The objectives of the class action procedural device and the tort of negligence overlap are that they both seek to compensate victims for their loss and, according to some, they both seek to deter tortfeasor wrongdoing. However, in practice, does the class action procedure facilitate the fulfillment of these dual aims? This article explains how the class action aids compensation and deterrence, but also addresses the significant issues that hinder the class action’s effectiveness in meeting its compensatory and deterrence aims in an Australian and New Zealand context. It concludes by laying the foundation for further research to improve the effectiveness of class actions or by possibly adopting supplementary or alternative remedial/regulatory procedures.

Keywords: class actions; complex litigation; collective actions; litigation funding; litigation; access to justice; compensation; deterrence; negligence; regulatory actions (search for similar items in EconPapers)
JEL-codes: D78 E61 E62 F13 F42 F68 K0 K1 K2 K3 K4 (search for similar items in EconPapers)
Date: 2025
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