Warning Over 'Frivolous' Compensation Claims
Personal injury compensation companies may face regulation if bad practices continue, Lord Chancellor warns
10th November 2004
The Lord Chancellor, Lord Falconer, has warned that new regulation of the personal injury claims industry may be necessary if companies continue to promote 'frivolous' claims.
He said that advertising of some 'no win no fee' services led people to believe they could gain compensation for any injury sustained, even if there was no fault or negligence attached.
This 'have a go' approach to claiming compensation for all injuries is both costly and creates a climate of fear amongst companies or even bodies such as schools and charities.
Falconer has warned that the industry has a final chance to regulate itself, or government action will be considered.
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