Date: Fri, 4 Aug 2006 15:10:03 +0100

From: Richard Lewis

Subject: New Compensation Act for UK

Members may be interested in the new UK Compensation Act. The politics of tort continues apace?

(The new regulator of the claims companies is to be the former director of the Association of British Insurers).

OPSI website: 26 July 2006
Compensation Act receives Royal assent
The new Compensation Act 2006 has received Royal assent and is available to download from the OPSI (formerly HMSO) website.
The amended Part 1, section 3 incorporates wording to overturn the recent House of Lords decision of Barker v Corus.

http://www.opsi.gov.uk/acts/act26-07.htm

According to the DCA

The Compensation Act is an important step in tackling false perceptions of a compensation culture. It will ensure that there is proper regulation of those who manage compensation claims.

For too long people have been pressured into making claims by "hard sell" tactics and misled by inappropriate and aggressive advertising. This legislation will make those who sell such services conform to strict rules of conduct and deal with their clients honestly.

Victims of mesothelioma, a form of lung cancer, will also benefit from the new Act. It will ensure that those suffering from mesothelioma due to another's negligence will be able to receive full compensation from any responsible person as quickly and easily as possible. The responsible person will then be able to claim back contributions from other responsible persons.

The Act also confirms that courts considering what standard of care is reasonable in a claim for negligence or breach of statutory duty can take into account whether requiring particular steps to be taken to meet the standard of care would prevent or impede a desirable activity from taking place. This will improve awareness of this aspect of the law and will help to ensure that normal activities are not prevented because of the fear of litigation and excessively risk averse behaviour.

Professor Richard Lewis
Cardiff Law School
Cardiff University
Museum Avenue
Cardiff
Britain
CF10 3AX

webpage: http://www.law.cf.ac.uk/staff/LewisRK

direct line 029 2087 4341

Secretary:
Sharron Alldred 029 2087 4351

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