Southern Response class action to be bankrolled by Australian law firm

Southern Response class action to be bankrolled by Australian law firm
Photo credit: Newshub.

Australia's largest class action law firm is now bankrolling the case against Government-owned Southern Response.

Law firm Maurice Blackburn will fund the Christchurch class action - alleging the earthquake insurance settlement company "short changed" homeowners by about $300 million.

Southern Response was set up by the Government after AMI Insurance collapsed under the weight of claims following the 2011 Christchurch earthquake.

Grant Cameron, the claimant's representative in New Zealand, and the lawyer in charge of the class action, said the money makes all the difference in the world to those fighting.

Cameron told Newshub he believes Maurice Blackburn sees a case where the Government hasn't acted appropriately.

"Although the decisions originally were made by National, the Labour Government needs to act swiftly to address the problem.

"At this stage, there's possibly around 3000 people affected - but we expect that probably over 90 percent of those people have no idea that they did not receive full payments that they should of.

"It doesn't matter how long it goes, it will be resolved in court - it has to."

Cameron said those who think they might have been affected can find information by going to

"They can learn how to become involved if they want to," he told Newshub.

In December, a report was released stating Southern Response used taxpayer money to get private investigators Thompson and Clark to attend several closed meetings being held by insurance claimants considering legal action against the agency.

Greater Christchurch Regeneration Minister earlier said the actions of Southern Response highlighted in the report did not meet her expectations as minister.

"These actions were wrong, plain and simple. They are unacceptable to me and unacceptable to this government," she said.