Partner Simon Bushell comments in the Financial Times in relation to recent data, published by Thomson Reuters Practical Law, which indicates that large corporates are reducing the amount of money set aside for legal claims and regulatory fines.
Simon’s comments were published in the Financial Times, 22 April 2019. Read the full article here.
“Britain’s biggest companies are reducing the amount of money they set aside for legal claims and regulatory fines, as some of the post-crisis wave of scandals and related litigation recedes.
In the past decade, courts and regulators have imposed large fines for scandals including rigging interest rates and mis-selling financial products. This drove up the amount FTSE 100 companies set aside against potential legal costs to £34bn in 2016. The following year, however, that had dropped to £24.8bn — a fall of 27 per cent — according to Thomson Reuters Practical Law, which compiled the data from company reports.
Simon Bushell, a partner at law firm Signature Litigation, said data breaches also had the potential to generate class actions for “very sizeable damages”.
The big question was if the right to compensation under new data protection laws could be “bundled together collectively as the basis for a class action”, he added.”