Law Student Files Suit Against the Australian Government Over Financial Risks of Climate Change

Must Read

Himachal Pradesh High Court Supports Promotion Based on Seniority of Post Rather Based on the Eligibility Test

In the case of Ramesh Chand Versus State of Himachal Pradesh & Others, the petitioner, reached the court as...

NCDRC Dismisses PIL against Urologist, Holy Family Hospital, Says Mode Of Treatment Or Skill Differs From Doctor To Doctor

The National Consumer Dispute Redressal Commission (NCDRC) dismissed a petition against Holy Family Hospital and a Urologist, alleging negligence...

Himachal Pradesh High Court Disposes Suit for Possession and Permanent Prohibitory Injunction Due To Mutual Consent

In the case of Parveen Kumar vs Smt. Vijay Laxmi and Ors, the Petitioner, Parveen had filed a suit for declaration,...

Supreme Court Appoints Committee To Examine Arbitrariness of Sealing of Resorts in Elephant Corridor, Tamil Nadu

A Full Bench headed by the Chief Justice of India, in the matter of Hospitality Association of Mudumalai V. In...

Madhya Pradesh High Court Rules That Export Ban on N95 Masks & PPE Kits Does Not Violate Fundamental Right of Traders

The Madhya Pradesh High Court held that the formulation and regulation of trade policies were within the subjects of...

Delhi High Court Issues Notice To Two Pleas Filed Praying for Recognition of Same-Sex Marriage

The Court heard two writ petitions which urged that the Special Marriage Act and the Foreign Marriage Act be...

Follow us

A 23- year-old Melbourne law student sued the Government. This was for failure to disclose the risks involved in climate change and the value of government bonds. This is a class action suit and a first of its kind. The Australian national Government is being sued. This is for lack of transparency in the risk handling.

Background

Kathleen O’Donnell v Commonwealth of Australia &Ors. is the first suit of its kind. The applicant brought the action in the Federal Court of Australia. The application also names the Secretary to the department of treasury as a respondent, as well as the CEO of the Australian Office of Financial Management. The applicant is an investor in eAGBs (Exchange-traded Australian Government Bonds). The applicant also represents other investors of eAGBs. The action comes as a response to the recent extreme events of climate change that have occurred in Australia. Australia has been battling bushfires which killed an estimate of 1 billion animals. As well as alarming changes in the Great Barrier Reef.

Australian Government Bonds

The bonds are like shares but with the Government instead. Money is invested and lent to build infrastructure and fund other purposes. Some of the purposes are health, crisis management and national security. Australia has the concept of investment through compulsory superannuation. The government bonds are an investment where superannuation occurs. They are usually considered to be the safest form of investments.

Arguments 

The applicant connects the climate change in Australia to the value of the government bonds that have been invested in. It seeks the material impact analysis of the risks in investment. The disclosure of the information would alter the value of the bonds for the investors. The investors have a right to this information. The application does not seek damages. But seeks a declaration of breach of duty by certain officials. The application also seeks an injunction on the promotion of the bonds. The promotion is to be resumed only after the information update of risk.

Implications

The Australian Financial Industry Regulator discussed the foreseeable risks of climate change and Government Bonds in 2017. The Government has been regulating companies to disclose climate change impacts on shareholders. But has been withholding to do the same. Experts project for a floodgate of litigations to open after this suit. The link between climate change and the financial risks in the real world of investing is exponential. This would mandate the Government to be more transparent as an implication of this suit. The case is backed by many heavy hitters in law and has the potential to make big changes.


Libertatem.in is now on Telegram. Follow us for regular legal updates and judgments from the court. Follow us on Google News, InstagramLinkedInFacebook & Twitter. You can also subscribe to our Weekly Email Updates. You can also contribute stories like this and help us spread awareness for a better society. Submit Your Post Now.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Latest News

Himachal Pradesh High Court Supports Promotion Based on Seniority of Post Rather Based on the Eligibility Test

In the case of Ramesh Chand Versus State of Himachal Pradesh & Others, the petitioner, reached the court as he was aggrieved by the...

NCDRC Dismisses PIL against Urologist, Holy Family Hospital, Says Mode Of Treatment Or Skill Differs From Doctor To Doctor

The National Consumer Dispute Redressal Commission (NCDRC) dismissed a petition against Holy Family Hospital and a Urologist, alleging negligence in diagnosing the septicemia and...

Himachal Pradesh High Court Disposes Suit for Possession and Permanent Prohibitory Injunction Due To Mutual Consent

In the case of Parveen Kumar vs Smt. Vijay Laxmi and Ors, the Petitioner, Parveen had filed a suit for declaration, possession and a permanent prohibitory...

Supreme Court Appoints Committee To Examine Arbitrariness of Sealing of Resorts in Elephant Corridor, Tamil Nadu

A Full Bench headed by the Chief Justice of India, in the matter of Hospitality Association of Mudumalai V. In Defence of Environment and Animals...

Madhya Pradesh High Court Rules That Export Ban on N95 Masks & PPE Kits Does Not Violate Fundamental Right of Traders

The Madhya Pradesh High Court held that the formulation and regulation of trade policies were within the subjects of the Central Government. Any reasonable...

Delhi High Court Issues Notice To Two Pleas Filed Praying for Recognition of Same-Sex Marriage

The Court heard two writ petitions which urged that the Special Marriage Act and the Foreign Marriage Act be interpreted to also apply to...

Supreme Court Allows Appeal Challenging Allahabad High Court Order Granting Interim Bail on Medical Grounds

An appeal was filed before the Supreme Court, challenging the Judgment & Order of the Allahabad High Court in the matter of State of U.P...

Bombay High Court Allows Petition Seeking Lawyers and Legal Clerks To Travel in Local Trains

The present hearing arose out of a batch of Public Interest Litigations that was filed in the Bombay High Court to permit the members...

Provisions for Retirement of Teachers Must Be Read With the Larger Interest of Students in Mind: Supreme Court

Supreme Court in Navin Chandra Dhoundiyal v State of Uttarakhand reinstated the appellants to their position as Professor on basis of re-employment till the...

Parties Cannot Deny Specific Performance Merely Due To Delay: Supreme Court

The Supreme Court, in Ferrodous Estate v P Gopirathnam, revisited the law on the specific performance of a contract. It reiterated that mere delay...

More Articles Like This

- Advertisement -