Hon Simon Power
Minister of Justice

27 November 2009
Media Statement

Legal aid review released

Justice Minister Simon Power says he is deeply concerned by the findings of Dame Margaret Bazley's review of the legal aid system and the Government will act very quickly on its recommendations.

He announced the release of the final report on the review today.

Mr Power initiated the review in April. Its purpose was to consider how the legal aid system could best be structured so it delivers high-quality legal services to those who need them most and in a way that is cost effective and sustainable.

The report presents Dame Margaret’s findings on the state of the legal aid system and recommendations on how it can be improved. It follows the release of a public discussion document in September.

Among the issues which Dame Margaret has identified as causing 'system-wide' failings and a system that is 'open to abuse' are:

• Poor relationships between the Law Society and the Legal Services Agency (LSA).
• Reluctance by the LSA to exercise discretion available to it.
• An Act that restricts the ability of the LSA to provide services efficiently, and protects the market share of lawyers who provide legal aid services.
• Variable quality of legal aid services.
• Over-reliance on complaints as an indicator of lawyers who are failing to perform.

She also points to lawyers who 'appear to be acting corruptly', and says some of the poor practices include lawyers:

• 'Gaming' the system by delaying pleas to maximise legal aid payments.
• Demanding 'top-up' payments from clients.
• Being ill-prepared for cases.

"I'm deeply concerned about what Dame Margaret has found," Mr Power said.

"When someone as experienced in providing services to the public as Dame Margaret talks about system-wide failings, a system open to abuse, and appalling behaviour, we know we have a problem.

"What she has identified goes to the very centre of the integrity of our legal system.

"Things must change, and fast.

"I'm particularly concerned by her comments on the operation of the LSA, and at the way some lawyers are taking advantage of the system.

"I realise this report will create uncertainty for many in the legal aid system, and particularly for those in the LSA.

"I can assure those people, as well as taxpayers, that the Government will move very quickly to remove this uncertainty.

"I will be raising some of the recommendations in Cabinet on Monday to ensure we maintain certainty around the delivery of legal aid.

"We will act on the remainder of the recommendations early in the new year."

Dame Margaret’s report, ‘Transforming the legal aid system’, can be found at www.justice.govt.nz

ENDS

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