The causes, purpose and impact of the growth in ‘mass claims’ was hotly contested at the main conference of London International Disputes Week today.

Seema Kennedy, executive director of Fair Civil Justice, a lobby group funded by the US Chamber of Commerce, criticised ‘predatory litigation’ by ‘assertive, aggressive law firms… and CMCs [claims management companies]’. The UK jurisdiction, she said, has become ‘fertile for intermediaries’.

Panel members at a morning session on the rise of mass claims were unable even to agree on the data. Kennedy claimed the ‘boundary fares’ claim at the Competition Appeal Tribunal (CAT) had delivered £216,000 to consumers against £20m in legal costs. Not so, Matrix Chambers barrister Nicholas Gibson KC countered – claiming a figure of ‘£5.5m-6m’ on fees.

Gibson noted that consumer redress was not the sole aim of group claims being taken to the CAT. ‘Disgorgement of profits by wrongdoers’ was an equally important public policy goal.

Kennedy criticised the growth in ‘private enforcement’ through litigation in industries that are closely regulated. But Mishcon de Reya partner Shazia Yamin retorted: ‘It shouldn’t be a choice between courts and regulators…Regulators are underfunded… the courts fill in where ”accountability” is otherwise lacking.’

The impact on business confidence and investment of a growth in mass claims was also disputed. Sophie Thomson, BP’s head of competition and regulatory law, said the company spent £26m defending a claim that was dismissed. That equated to a figure of 100,000 homes receiving fast broadband services through new fibre optic cables.

Shell USA’s executive vice president, legal policy and advocacy, Kimberley Phillips, told the conference that climate change challenges demanded ‘legislative policy change’, rather than the ’piecemeal litigation’ faced by companies like Shell.

On the question of whether a growth in mass claims has a ‘chilling effect’ on business innovation, Yamin said: ‘The question is, chilling what? Innovation that depends on a lack of accountability is not innovation [worth having]’.

Today’s conference, at London’s QE2 centre, is attended by 700 litigators.