Councils are litigious – so much so they are in the top ten issuers of statements of claim in the NSW Local Court system. This not only clogs the system and increases costs to government but exacerbates problems for ratepayers who are already experiencing financial hardship. Financial Rights recommends that a detailed procedure is required before litigation can be commenced by a local council that is consistent with model litigation best practice and best practice hardship policies. Financial Rights also recommends legislating a right to apply for financial hardship in the Local Government Act 1993 among other recommendations to ensure those suffering from financial hardship do not experience a worsening of their situation through their interactions with local councils.
