ASIC is inviting feedback on a proposal to extend the operation of two legislative instruments related to litigation funding until 31 March 2030.
ASIC Credit (Litigation Funding-Exclusion) Instrument 2020/37 and ASIC Corporations (Conditional Costs Schemes) Instrument 2020/38 (the Instruments) provide relief for litigation funding arrangements, conditional costs schemes and proof of debt arrangements that are not covered by the exemptions in the Corporations Regulations 2001.
These instruments are due to expire on 31 January 2026.
ASIC proposes to extend the operation of these Instruments to provide certainty for litigation funders, lawyers and members of litigation funding and proof of debt funding arrangements whilst the Government considers its policy position for these arrangements.
Providing feedback
Please send your submissions to rri.consultation@asic.gov.au by 5pm AEDT on Friday, 14 November 2025.
Refer to CS 31 Proposed extension of relief for litigation funding arrangements and conditional costs schemes
Background
ASIC Credit (Litigation Funding-Exclusion) Instrument 2020/37 provides relief from the application of the National Credit Code in Schedule 1 to the National Consumer Credit Protection Act 2009 to litigation funding arrangements and proof of debt arrangements.
ASIC Corporations (Conditional Costs Schemes) Instrument 2020/38 provides relief from the requirements in Chapter 5C (managed investment schemes) and Chapter 7 (financial services licensing and disclosure) of the Corporations Act 2001 to litigation funding arrangements where the members wholly or substantially fund their legal costs under a conditional costs agreement.
