Multimillion Dollar Companies Backing Environmental Activists for Profit: Report

‘No-win-no-fee’ litigation backers are gambling millions on challenges to big projects across Australia in the hope of taking a major share of any payout.

Demonstrators hold up placards outside the Australian Open venue during a climate protest rally in Melbourne, Australia on Jan. 24, 2020. Manan Vatsyayana/AFP via Getty Images

Many of the high-profile challenges by environmental activist groups against major projects are being backed by litigation funders—large, mostly foreign-owned companies that fund legal fees and other expenses in return for a significant share of any damages and costs awarded to the plaintiffs.

A report by the Menzies Research Centre, Open Lawfare, revealed the cost of delays caused by actions filed against various developments was $1.2 billion (US$809 million) in 2016.