CHAPTER 9


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Legal Aid Report 3

CHAPTER 9

The effect on the wider community

Introduction

9.1 The failure of the Commonwealth Government to take into account the complex nature of the provision of legal aid services and the interdependency of the groups that provide these services has had a profound effect on a wide range of individuals and groups.

9.2 In considering item 3(b) of the September 1996 terms of reference achieving national equity and uniform access to justice the Committee was advised by a number of organisations and individuals that the impact of funding changes and the related emphasis on efficiency and management was both long and short term. Similar comments were also made to the Committee in respect of a focus it had adopted for the current phase of its inquiry – access to litigation and legal services by disadvantaged individuals and groups. Witnesses stated that the reduction in funding and the increased difficulty in obtaining any funding or sufficient funding to complete a case did have an immediate impact on the individual and indeed, on a range of groups such as legal aid commissions, community legal centres and others, as described in the previous Chapter. However, both the individual and society in general were affected in the long term by reduced access and by the difficulties involved in seeking and using funds.

9.3 In the short term, people were specifically disadvantaged in a number of ways – for example through having to represent themselves in a difficult family law matter; live with a criminal record which was undeserved; or be unable to proceed with a discrimination case because of lack of funds. In the longer term, the effects of these circumstances could be felt in a number of ways, for example, through loss of employment opportunities because of a criminal record, or poor housing because of not being able to obtain a suitable property settlement in a family law matter. They could also be felt by the community at large, through greater demands being placed on society, for example, demands for health and social services, and an increased need for unemployment payments:

in the legal aid context we are by definition talking about the very people who are least able to represent themselves in a court of law. By virtue of being poor they are also among the group that is the least educated and the least healthy, and the group that has the greatest personal difficulty managing their lives. These are the problems that they bring into the courtroom. [1]

9.4 The Committee believes that the existing legal aid arrangements in Australia are failing to achieve adequate access to justice by those in need in the Australian community. In real terms the means test has become more difficult to meet, and there is a much stricter approach taken to the merits test. [2] The inevitable consequence is that fewer people are able to access legal aid: `The funding cuts of 30% proposed by the Commonwealth Government will lock almost 50,000 Australians out of the courts over the next three years'. [3]

9.5 From the evidence put to the inquiry, it is also clear to the Committee that these shortages have real human costs. This Chapter examines the effects of the changes to the legal aid regime on individuals, and those in disadvantaged groups.

9.6 Just as importantly, the lack of access and the somewhat random nature of funding allocation depending on availability rather than on the merits of a case, was seen as eroding society's respect for the law:

In reality, this [ordinarily] prudent self-funded litigant test is not applied. The real test is: how much money is there in the kitty, and what can we afford to pay now? [4]

9.7 When access is a lottery rather than a right, law itself is further devalued; and the exclusion of people from equitable access can lead to a loss of faith in principles which were once highly regarded. [5]

9.8 The Committee believes that the community in general will be adversely affected by the decrease in funding. This is evidenced by the limited capacity of the community to be involved in public interest issues; by the decreased comment on a range of concerns such as environmental matters and a consequential loss of participation in the democratic process; and by a change in attitudes to basic principles such as the belief in a right to a fair trial.

Community awareness of legal services

9.9 As noted above, the community demand for legal services, including services funded through legal aid, has increased substantially. This increase has been occurring at the same time that funding for legal aid and other services has either been reduced in real terms, or has been restricted to specific issues.

9.10 This increase in demand reflects community expectations which have arisen in part because of education on rights of review and on rights generally, awareness of a number of public interest issues such as the environment, and because of the specific provision in legislation for a range of appeal rights. [6]

Increased involvement of the community in utilising rights

9.11 Witnesses stated that in the past few years the community had become more involved in a number of issues and more aware of their right to question decisions which impacted on them, [7] such as equal opportunity and discrimination:

[Discrimination] is a very complex area of law. The law itself is developing apace. People's awareness in the community generally of their right to access equal opportunity laws, discrimination laws, is growing as the legislation becomes better known in the community. [8]

9.12 Community awareness of rights was also being increased by some legal practices taking up cases that had perhaps received insufficient attention through official channels. These include unsolved murders, police involvement in deaths, and coronial inquiries. [9] Other issues where there was a seen to be a growing public awareness, and to some degree a belief in a right to some legal advice or assistance, included social security payments and similar benefits such as Austudy, family law, criminal matters, civil law issues, and environmental matters at a number of levels: [10]

One need only look at recent surveys to find that the vast majority of people are concerned about environmental protection and believe that government needs to do more to effectively regulate environmentally harmful activities. These concerns demand citizen involvement in formulating governmental environmental policy. [11]

9.13 To some extent, the Commonwealth as well as the states had attempted to link public rights to a public capacity to access justice. As issues such as discrimination, equal opportunity and the environment became a part of the community experience, funding had also been provided to facilitate legal action. Some of this funding had been provided separately from `legal aid' grants, and is still maintained in this separate form. [12] However, information received from the Attorney-General's Department on this funding suggests that it may not be known to legal practitioners for example, only $73,278 was paid in 1996-97 for assistance in sex and race discrimination cases. [13]

9.14 Funding is also provided in some states for specific areas of discrimination or need, such as mental health or intellectual disability, and this funding may be provided through a health rather than a justice program. [14] Other specialist areas had been funded through mainstream legal aid, or in some cases, through community legal centres. Specialist legal services for aged people, for example, were provided by a community legal centre receiving both state and Commonwealth monies, [15] as a part of the aged care advocacy services made available across the country within the aged care program. [16] Specialist discrimination services were also available at a generalist community legal centre. [17]

Need for appropriate services

9.15 This does not of course mean that all individuals and groups in society are equally aware of, or able to exercise, their rights. The Committee is aware that the need for legal aid and for other legal services – including information – is particularly important for specific groups in society who have no other resources to deal with issues. It is these groups which are disproportionately affected by changes; thus an issue which may seem relatively minor to a person with greater financial and other resources, may have a substantial effect on the short and long term well-being of another.

Case Study

An Indigenous women and her husband were persuaded to buy a car from the local car sales agency and the car salesman arranged the credit through a credit agency. Both the women and her husband were in receipt of Social Security payments and had informed the salesman, but he completed the credit application for them and wrote that both the woman and her husband were working as Aboriginal artists, earning $40,000 a year each. The woman and her husband were not able to keep up the high repayments and had to declare bankruptcy. The car that was sold to them for $28,000 was only valued at $14,000 and with the interest rate, their total debt had blown out to $56,000 over 2 years. [18]

9.16 The Committee is also aware that being informed of the existence of rights and being educated to exercise them is no guarantee of such rights being utilised. A major problem for many of those to whom legal aid services are directed is that they are often tentative about rights and extremely inexperienced in implementing them:

There are unique access issues for people with disabilities that have to be taken into account. The first is that people with disabilities are usually poor … just having a disability costs money. … Most of our clients have spent time in care in institutions, such as in community residential units and in hospitals for substantial periods, so they are disadvantaged in that way as well.

It also means that they have quite limited educational opportunities. … In the past, people with disabilities were not in the community, so they did not have access to normal educational resources. They are often less educated and less able to operate systems.

Another thing we have found is social isolation. The disability itself can be isolating, let alone the social context in which you live. … Those … issues are very important when you are talking about access to legal services and litigation. If there is a thrust of our position, it has to be on community education. It plays an important role in the provision of legal services. [19]

9.17 For this reason, legal education programs need to be structured to take into account the specific needs of their clients. Further, they must also be supported and supplemented by appropriate resources to provide the type of services required. Many of these services will need to take account of the powerlessness and disorientation of relatively recent migrants groups:

Financial difficulties, unemployment, isolation from family and other support networks, language problems, culture shock & discrimination are experiences common to all migrants. Refugees are often not in Australia by choice and in some cases may be suffering from torture in their country of origin and/or incarceration. Migrant women are often even more disadvantaged than their male counterparts, registering higher levels of unemployment, lower workforce status and lower English proficiency rates. [20]

9.18 To provide quality services which enhance access costs money, a factor which is often unrecognised by government. For example, the shortage of interpreters for people of non English speaking background will seriously affect the access of many individuals to information much less litigation.

Case Study

I had my first experience today of a Croatian woman coming to the door and saying she wants family law legal advice. I cannot give it to her with a face to face interpreter because it is quite clear that it is federal, unless I can manage to get one of the 23 TIS interpreters available for all of New South Wales on any one day. I tried to suggest that she should ring one of our solicitors and use the Telephone Interpreter Service. She said that it is a complex question to do with a family law settlement that has already happened, and that it would require someone to sit down with her to read the orders and explain them to her and explain whether or not she has any options from there on in. So she has nowhere to go, unless we pay for the interpreter service. [21]

Rural and regional services

9.19 Several witnesses identified a range of difficulties experienced in obtaining access to legal services in rural and regional areas. Many of the problems experienced by people outside the urban population are similar to those experienced by city residents, including the shortage of funds and the difficulty involved in finding an appropriate service.

9.20 However, it was also believed that people in many rural areas experienced additional difficulty because some of the alternative resources which might be found in more populous areas were not available. The hardship for persons in rural and regional areas is often exacerbated by a lack of community services including preventative programs, self help programs, legal education and advice services.

9.21 Other problems occurring in rural areas included:

9.22 A considerable emphasis was placed in evidence on the particular problems of women in rural and regional areas, including:

9.23 Evidence was also given that the belief that legal aid was not available affected people in rural and regional areas as well as in urban areas, and this led to further claims upon community legal centres: `The lawyers have told them that they are not likely to get legal aid and there is no point in applying for it'. [25]

9.24 The shortage of legal aid may certainly exacerbate these problems. For example, in remote areas it may not be possible to get legal aid to locate children who had been removed contrary to a court order, or the cost of enforcing an order might be prohibitive. [26] Some evidence also suggested that in some areas there was little support for women seeking help in locating their children, even though help might be available:

Police from local stations have admitted that at times they failed to inform the distressed woman that she could contact the Federal Police but simply asked her to leave the police station as they were unable to assist. [27]

9.25 Where a local culture devalues some members of the society and provides protection to those who have broken the law, the difficulty of providing assistance through legal aid becomes even more complex.

Recommendation 21

The Committee recommends that Commonwealth and state and territory governments give priority to the provision of appropriate legal aid services to meet the specific needs of different communities.

Complex legislation increases need for legal assistance

9.26 There was little specific information on the extent to which Commonwealth or state legislation itself had precipitated a demand for legal aid because of increasing change or complexity. Some evidence was provided which suggested that legislation, both state and Commonwealth, was a factor in increasing demand for help:

Improvements in the legal system which reduce the amount of assistance required … would include a reduction in the complexity and volume of legislation. [28]

9.27 Other evidence suggested both that some legislation could be improved and the individual or group it concerned required some legal assistance in dealing with it. For example this appeared to be the case in respect of legislation concerning aged care, especially residential care, an area which has been subject to considerable change. The diffidence of some older people and their concern about intimidation could contribute to the need for experienced advocates and specialised services. [29] Like other groups in society, older people may need assistance in becoming aware of rights and then of those processes by which to enforce those rights:

People feel powerless. They do not feel that they have the right to follow things up. They do endure things because of that. Their perception is that the law is not something that is available to them either because of their difficulty in framing what they need or from the point of view of not having the money to go to law. [30]

9.28 An Administrative Appeals Tribunal representative advised that complexity of legislation was an issue requiring the layperson to have some legal help:

within social security there can also be very complex matters which involve a number of different amendments to the legislation and relate to transitional provisions and application and accrued rights, and assistance from solicitors can be very helpful. When you add to that issues about lack of funds, lack of education, language difficulties and those sorts of things, they can also be remedied to a large degree by assistance from a solicitor. [31]

9.29 Legislative complexity was also seen as a problem for veterans, as was noted by witnesses for both the Returned and Services League and for the Vietnam Veterans Association. In part this was compounded by some veterans being frail, [32] although the amount of legislation and its detail appeared to be a major factor affecting the capacity of people to act for themselves without legal expertise:

A Vietnam veteran has a limited capacity to cope with the demands of a complex, bureaucratic claims system and the detailed rules of law made pursuant to a lengthy and constantly changing Veterans' Entitlements Act. … At the appeals level, good legal representation is vital. A veteran or war widow alone is no match for the experienced departmental legal expertise used and which is supported by the Australian Government Solicitor's Office. [33]

9.30 The NSW Environmental Defender's Office also advised that environmental legislation was complex and was continually changing, a matter which the office sought to address in part through its education and information service. [34]

9.31 In other instances, legislation itself might be relatively straightforward, as with discrimination law, but people's vulnerability or lack of experience, might require they have expert assistance: `the processes themselves are reasonably adequate, but the resources given to those processes are not'. [35] In such circumstances people with high levels of education or a higher socio-economic status had no particular advantage. For people who were under other pressures, the need for sound advice and also real assistance with the litigation stage was even higher.

A lot of people in this jurisdiction [family law] do not have much understanding of what is going on; they are very emotionally involved. If they do not have a source of objective legal advice, then you often find them getting involved further and further in litigation, or certainly not resolving it. [36]

9.32 Some witnesses stated that they did not see complex or regularly amended legislation as a major causal factor of the demand for legal aid. However, they also believed this did not mean that there was not confusion in the community about aspects of legislation. For example, changes to funding for other services had often meant that a greater demand was made of legal aid bodies to assist in a range of areas, including:

9.33 In evidence to the Committee, the South Australian Legal Services Commission detailed the types of issues under Commonwealth law that could cause substantial problems and where sound advice was often required very quickly. Even though a litigation service in a particular area might not be funded under the guidelines, the individuals affected were still required to take some action. [38] In these circumstances, as the Law Council of Australia stated, funding cuts could seriously disadvantage those people who had fewer coping mechanisms:

Priorities and guidelines of an exclusionary nature result in unacceptable and undesirable inflexibility to respond to community demand or need. An example of this situation is illustrated by aid being restricted in lower Court pleas where the accused does not face a `real likelihood' of imprisonment. Yet these are the very Courts in which the elderly, the disadvantaged or the disabled within the community are most likely to be found. These are the Courts where they most need assistance to be able to cope with the stresses and strains associated with a Court appearance even though on an objective legal aid analysis there is no `real likelihood' of imprisonment. [39]

9.34 Some of the confusion and uncertainty experienced by people who had limited access to information services could be reflected in the number of appeals made to bodies such as the Social Security Appeals Tribunal:

one of the things we do in introducing people to the appeal process … is to talk to them about their understanding of the legislation and why the decision has apparently been made this way … we try to clarify the points of law that are being discussed in the preamble to the hearing. [40]

9.35 Some witnesses believed that access to justice through the appeal mechanism was a process still important to the community. In areas of law where the interpretation of the legislation may vary, and in a situation in which there were limited costs involved, the availability of an inexpensive body such as the SSAT may increase access to justice outside of the legal aid system. [41] A certain percentage of appeals to the SSAT may have resulted in people understanding the legislation they were complaining about, and the SSAT process may also have a flow on effect, reducing the extent of complaints, appeals, or overpayments, and developing further understanding:

[administrative law sections - ALS] have time to analyse and look at the decision in terms of whether they think there has been an error at law or whether there has been new information introduced which has led to a different decision. … In terms of the normative benefits that can flow from our decisions, the ALS is obviously a conduit back into Centrelink and back to original decision-makers, so hopefully there is feedback into the department to say, `This is a better interpretation of the law than was the original decision.'

Equally, as a national convenor, I quite often have matters referred to me from states and territories which I will take up nationally as issues which warrant either a look at the legislation or, indeed, policy and how the legislation is administered. [42]

9.36 Similar flow on effects can also result from other courts and tribunals of course, a point noted by the Administrative Appeals Tribunal which suggested that in these key cases it would probably be preferable for applicants to have legal representation:

there are often cases in social security and other jurisdictions when there are very important principles to be enunciated and a very important issue to be determined which is going to be of precedent value. … In those cases, if it was felt by the tribunal that the case would be more appropriately managed and assisted with legal aid assistance, I think it would be helpful for us to be able to indicate that, and that indication to lead to the provision of such a service. [43]

The effect of funding changes on individuals

Evidence on the effect of changes to legal aid

9.37 As noted in Chapter 2, there is limited research on the issue of need for legal aid and other legal services. Similarly, limited research has been undertaken on the effects on the community and individuals of the changes to legal aid. The actual measurement of the impact was rarely referred to, and it was not apparent that any monitoring process had been established to determine if the changes had a measurable and an appreciable impact on individuals or groups.

9.38 Much of the material provided to the Committee on effects of changes was anecdotal, although these anecdotal instances were seen to represent a wide range of experience and to be common to many service providers. [44] It was also noted that the term `anecdotal' might suggest that the evidence was less strong than was believed: `I think calling it anecdotal … would be perhaps selling it short'. [45] The Family Law Practitioners Association in Queensland referred to research it was sponsoring:

The research arose out of seeing [the advertisement on the Legal Aid inquiry] Those who met realised that all we had to say was a lot of anecdotes which, although put together seemed quite compelling, at a policy level we did not believe that it was going to have a great deal of impact … we needed to get something more systematised to have some impact. So we have a fair idea of what the answers are going to be but we hope that the answers will come to you with some greater authority ... [46]

9.39 It was also noted that given the limited research on needs, the capacity to measure impact was also limited:

The Federation considers that a national study of unmet legal need is a necessary precursor to a satisfactory impact statement. It is only after such a study is undertaken that the true impact of funding cuts and changes in arrangements can be assessed. [47]

9.40 The Committee was advised that various research projects were underway or would commence soon, and that these would provide further information on the issues of need and also the effect on people of changes. [48] This information will be a welcome addition to the available data, and should provide greater insight into the effects of decreased funding. In the absence of this research, the following assessment of the impact of reductions in funding is based on submissions and oral evidence, and on additional material forwarded to the Committee.

The effect on `Commonwealth persons'

9.41 Under long standing legal aid arrangements, the Commonwealth had assumed a particular responsibility for categories of people, specifically migrants, indigenous people, veterans and people in receipt of Commonwealth benefits. [49] With the division of responsibility in legal aid now primarily one between of Commonwealth matters and state/territory matters, the position of the Commonwealth person has become less clear.

9.42 A major change that is said to have occurred in terms of the access of the Commonwealth person to legal aid is that access to legal aid funds is related to the nature of the case, that is, whether it is a Commonwealth or a state matter. The Commonwealth looks after Commonwealth persons only insofar as they are involved in a Commonwealth matter. It does not provide funding, regardless of financial circumstances, in respect of state matters. In this sense, the Commonwealth is seen to have placed much responsibility for its traditional clientele back on the states: [50]

It is essentially a policy decision. A previous government in setting up the ALAO used the notion of a Commonwealth person to support the argument that the Commonwealth had a legitimate role to play in the provision of legal aid. That is not the position of this government. [51]

9.43 Apart from veterans, who have retained much of their former special status, the Commonwealth person appears to have been seriously disadvantaged as a result of the legal aid changes. In fact, the concept of the Commonwealth person has been undermined, both because of the separation of funding into state/territory and Commonwealth matters; and because there is little acknowledgment made of any special needs of specific groups.

Measurements of effect on individuals and groups

9.44 Although little detailed consideration appears to have been given in policy development to the short and long term effects of the limited access that disadvantaged people (including Commonwealth persons) have to legal aid, the evidence provided to the Committee indicated a substantial number of problems likely to arise or become worse because of limited access to help and because of the apparent lack of reason or fairness in government policy. These problems include lowering of self-esteem and loss of control; economic disadvantage; cynicism, despair and anger; possible greater need for other services in both the short and long term; and reduced involvement in the community.

9.45 The Committee considers that the failure to acknowledge the substantial difference between the needs of the `ordinarily prudent self funding litigant' [52] and those of the people to whom legal aid is directed is a major factor in creating stress and disillusion.

Lowering of self-esteem

9.46 The limited opportunity which people have to bring a meritorious case is likely to be both a source of frustration and anger, and to limit the individual's capacity to see themselves as a person of value.

The inability of persons who face discrimination to remedy that discrimination because of economic disadvantage and lack of legal aid is of particular concern. The failure to provide legal aid compounds the disadvantage they already face and, on a human level, exacerbates the pain and suffering caused by the act of discrimination. [53]

Despair and anger

9.47 Many witnesses also testified to the emotional effect of denial of services, including tension, anger and frustration: [54]

Apart from the dollar costs … you need also to bear in mind the human costs – the cost in stress to the litigant, the person who sits in my office and cries or screams or thumps the table or threatens suicide because they cannot see how they can get justice without representation and they simply know of no alternatives open to them, and the cost more broadly in alienation of people from the legal system under which they live, and their growing disillusionment with the system as able to provide any justice for them. People no longer expect to get justice out of courts of law, and that is why we see them looking inappropriately for it in other ways. [55]

9.48 Some of the anger and tension experienced by people results from their having to act for themselves because they cannot get legal aid, and also because although they may have some assistance it may be insufficient to provide an acceptable outcome. [56] It is also possible that unresolved issues are creating further tensions in the community:

What we have experienced in community legal centres is a lot more anger in clients, particularly in the area of family law. … I would like to see more research undertaken at some time into the link between family law and criminal law, and how many people in the community are actually committing crimes that are related to family law, that are criminal matters. I then talk about stalking, restraining orders, breaches of family law matters, abducting children, and assaults. I think all those can be, and some definitely relate to, family law matters, and the anger that is coming out of family law matters which are unable to be resolved. [57]

9.49 The Committee was told that there were human costs, in terms of a heightened antagonism and an added level of stress and frustration to the unrepresented party and, at times, to the other party who might be forced to hear inflammatory statements from the bar table from the unrepresented party that judges feel obliged to let them make but would not permit from their counsel. [58] The potential for violence is increased. [59] In addition, there may be severe stresses on victim witnesses having to undergo cross-examination by someone charged with being the perpetrator, or in situations where the unrepresented party cross-examines their spouse in Family Court proceedings.

Revolving door syndrome

9.50 Another source of anger and frustration was identified as resulting from referrals from one service to another, with limited chance of obtaining help from any. This has been described in a number of ways, including shopping for help, [60] the revolving door syndrome or the referral merry-go-round. [61]

There seems to be a referral merry-go-around. People are being shunted from place to place. Not only community legal centres are having increased demand; other community services are. People are ending up going from place to place and not being able to get any help anywhere. Some politicians find them in their offices. Eventually, they are referred back to the CLC, which they have seen previously. By the time they get there, they cannot even remember that they were there in the first place. It is quite disturbing to think that these people are being shunted around, particularly when they are in a stressful legal situation to start with. [62]

9.51 The Federation of Community Legal Centres also noted that this situation could cause particular problems for people who were elderly or mentally ill:

In this regard it is important to note that for persons seeking legal assistance through legal aid or community legal centres the legal problem with which they present is often the tip of complex difficulties involving health, housing, financial crisis. Not being able to access assistance can often be the breaking point. [63]

9.52 In some instances the revolving door syndrome reflects an inability on the part of the legal system or the broader welfare and information services to provide any assistance. However, it also can reflect lack of management skills – if there is no likelihood of help available, the individual in need will not be any better for making countless trips and phone calls. This was recognised by some organisations which emphasised that, instead of forwarding people without much thought, they sought to identify an appropriate source of assistance – if there was one – and help the client to make contact. [64]

They need strategy. Once they have their strategy, quite often, from experience, they can resolve the matter. But it is really trying to make sense of what is a very wooded forest that is difficult. That, I think, is our biggest role. Then if it goes past that stage – they have a strategy and they need to get an agreement – our conferencing program works there. So it is really at that initial stage of trying to determine their options and a strategy so they can then perhaps use other community agencies to help the communication of determining a result from that strategy that is important. [65]

9.53 Unthinking referral to some services could in fact be disadvantageous, especially where the individual could not benefit from a particular service:

It is all very well to refer people to mediation or some other form of dispute resolution, but people still need legal advice. You cannot go into a mediation process without proper legal advice. They cannot get that advice through an overworked welfare rights system. They possibly can at community legal centres, but these do not have many resources, and they cannot always provide solicitors' advice such as you would get on a grant of aid through our advice service. … People are often not able to get sufficient legal advice, or any advice. The revolving door is going to be more and more apparent. [66]

Cynicism and disillusion

9.54 A number of witnesses also referred to the fact that people were generally becoming more cynical about the availability of legal aid: `There is almost a self-perpetuating cynicism developing amongst members of the community that they do not expect either themselves or members of their community to get justice'. [67]

We are finding that the level of despair in the tone of voice of people … is significant. It reflects that sort of community concern … and, to be somewhat selfish about it, it does result in a backlash against the legal profession. When somebody like myself says, `Look, we'd love to help you. We'll give you this sort of advice. We can help you with our community advisory services. We can do this, this and this', there is this cynicism, `Well, you really don't care about me, do you?' [68]

9.55 This also has the effect of limiting demand because people believe that it is not worth making the effort to apply for funding.

9.56 One immediate effect of such cynicism and disinclination to apply for funding is a widespread lowering of faith in the legal system. From the perspective of the individual, rights are not rights unless they are enforceable. The growing perception in the community is that legal aid is unavailable to most people and that justice works only for the wealthy and that the carefully developed system of rights that was supposed to be for all members of the community is being demolished. The average person, as well as the Commonwealth person, may believe that government considers people are not worth investing in.

9.57 The Legal Services Commission of South Australia stated to the Committee:

It is something of a sad indictment on the state of legal aid in this country when you get this headline and story introduction in the Brisbane Courier Mail of Thursday 19 February:

Aged must sell home to get legal aid

Forty per cent of Queensland's aged pensioners would have to sell the family home or other assets to be eligible for legal aid under tough means tests, a study has found. [69]

Need for other services

9.58 Legal service bodies considered that there was insufficient recognition of the fact that, when legal aid was not available, the demand for service did not disappear but simply moved to another place. It is expected that the denial of appropriate assistance will lead to greater demand being made of welfare services for accommodation, food, money and other support. The flow-on effects of not being able to present a reasonable case are often long term and considerable: `Loss of even a percentage of subsistence income can have dramatic consequence (for example loss of rental property, incurring increasing debt, inability to purchase medication, inability to take access to children).' [70]

9.59 Again, the Committee believes it is important to note that in such circumstances the reality of the person requiring legal aid is different to the reality of a prudent self-funding litigant, a concept which embraces many middle to upper middle class values. The long term effect of changes which may appear minor to one person may be devastating to the person needing legal aid.

Loss of involvement in the community

9.60 People who are already marginalised by reason of low income, unemployment, ill health, disability or a range of other factors, are also affected by becoming less able to participate in a range of community activities or to feel they are a participant in democratic institutions.

9.61 This situation is likely to be compounded for migrants who, because of language difficulties and other problems have trouble understanding the structure of a new society and the ways in which they may join it.

Effects in the family law area

9.62 The changes to legal aid funding were accompanied, according to some evidence, by changes in the broader legal system which compounded the effect. For example, the failure of the Commonwealth to appoint Family Court judges to fill vacancies, combined with the funding limits on family law legal cases, increased waiting times and meant that funds could be expended prior to a hearing. [71] The effect of a number of these changes on the profession, including the legal aid bodies and the community legal centres, has been noted in Chapter 5 above. The effects on the main parties, such as the unrepresented litigant, the person with limited funds who can barely afford a trial (including those people affected by delays and expenses caused by unrepresented litigants) and children, is substantial. They contribute to the substantial stress, anger and disillusion referred to above, and are likely to have a long term detrimental effect on society as a whole. Where cases took a longer period of time to resolve tensions that already exist are likely to increase. [72]

9.63 As noted in Chapter 5, capping was also presenting many problems, particularly when people had limited opportunity to obtain assistance.

Case Study

Until August 1995, a mother had sole custody and guardianship of her ten year old boy. Due to long-term harassment from her former partner she took her son interstate. The father found them and was able to obtain an interim continuing access of one to two hours per week supervised. The father sought further variation of custody and access arrangements. The child's representative supported the child staying with the mother. Four days before the final hearing legal aid was discontinued for the mother and child representatives, because of a $15,000 `cap' on the grant of legal aid. The mother continued unrepresented for two and a half weeks in a case that should have taken three to four days and ends up with joint residence of the child. [73]

9.64 Where people are unrepresented and do not have the required skills or experience to cope, they may have a detrimental outcome. [74] Moreover they may be subject to further intimidation or abuse:

Especially in cases involving, it seems, women who perhaps have just been through a marriage or a relationship where there has been a power imbalance, it is just exacerbating that problem for them where the other side will continually make interlocutory applications, which of course have to be defended. [75]

9.65 In some instances it was clear that it was a person's life experience, lack of skills and limited education which might be the predominant cause of a problem in benefiting from legal services. However, it was also believed that one of the difficulties of the legal system was that many clients could not rapidly move from being dependent to becoming capable (and therefore able to use resources effectively):

It is certainly not a case of an informed, aware, empowered client directing their legal counsel in terms of what they wish to happen in the course of their case. It happens to them, and they do not know how or why. [76]

9.66 Problems that may once have been resolved at an early stage, with some help, [77] may become intractable if funding is not made available or if it is withheld awaiting the trial. [78] In cases where domestic violence is involved, women may be disadvantaged by delays in obtaining funding, and this can result in emotional and physical damage, or death or serious physical abuse. Insufficient funding may also limit the opportunity for cross examination and the opportunity to clarify important issues which could affect the well being of a number of people. [79] It was pointed out in this context that the funding caps on family law matters were inequitable when compared with the substantially larger cap for criminal cases, because the consequences of inadequate funding in family law may well be major:

We are saying that we must allocate sufficient funds so an innocent person does not go to gaol, but we are not balancing that by saying that we need to allocate sufficient funds to ensure that children are safe and people are not being killed or subject to continuing violence. [80]

9.67 The Committee has heard that stretched resources can increase pressure to use alternative dispute resolution techniques in cases where it is inappropriate, with potentially grave consequences for women:

I think this is going to be the effect of cuts on women in family law matters: they are going to be either forced into mediation or forced into settling or have to go on unrepresented. For a start, mediation can be effective in some circumstances. But if there is any sort of power imbalance, we would argue that it is not going to be effective, particularly for women. [81]

9.68 Children are affected by the length of time cases may take, as well as by the acrimonious nature of disputes. They may also be affected by the absence of funding for review of contact issues; in some cases, this may mean that children are being exposed to violence, abuse, and sexual assault. [82] Where funding runs out, even for separate representation, the needs of the child may not be met. [83] In all cases, this may lead to long term adverse effects, both for the child or children and the community generally. [84]

9.69 Lastly, and very importantly, if property matters are not effectively resolved, there may be an increase in homelessness or inadequate accommodation.

Effects on people charged with criminal offences

9.70 Evidence provided to the Committee suggested that persons charged with crimes could often face extremely difficult situations, and that the nature of the guidelines relating to criminal matters could mean there was limited access to legal services, including legal aid. Witnesses noted that while there was generally a good understanding by the public of some aspects of insufficient funding for criminal cases, they might be unaware of the other effects on those who have been charged:

The corollary implication of Dietrich is that there are people who are charged with criminal offences and who are obliged to bring a Dietrich application because they cannot afford to pay for representation and it would be unfair to go on unrepresented. They spend a considerable time, if not the rest of their lives, with the stigma of a charge hanging over their heads because, although a Dietrich is called a permanent stay, a permanent stay is never forever. So until to bring a prosecution actually becomes abusive, they remain in this limbo land of, `My trial simply can't go on because there's not enough money.' [85]

9.71 In cases where a person may not have been adequately represented and pleads guilty to a charge, they may then have a greater risk of being jailed if they are charged on a second occasion. [86] This is not necessarily in the best interests of the community, and conducive to `a terribly divisive and eroding mentality to have in our community.' [87]

9.72 Another issue relating to the funding for Commonwealth matters was the discrepancy in the caps for civil and criminal matters and the belief that criminal cases could reduce the amount of funding available for matters such as family law. [88] The perception of some members of the community was that there was a disproportionate amount of funding going to men (as more likely to be involved in criminal matters) than to women, who were more likely to be seeking assistance in family law matters. [89] However, it was also pointed out by National Legal Aid that while substantial funding went on criminal cases, the more complex family law matters also consumed high levels of aid. [90]

Effects on the community

9.73 In discussing the impact of the changes to legal aid, the Law Council of Australia noted that these could have a substantial effect on the community's perceptions of itself and its role in society. For many reasons, the general social perception of some failings of the legal system may have a limited impact – the community is unsympathetic to individuals in particular situations and thereby has less interest in the broader principles of justice. However, it not appropriate for government to ignore these needs:

We think there is a perennial social problem that certain of the indispensable facilities related to the administration of justice are not popular in terms of mass sentiment in favour of money being spent on them. … it is for government to show a lead here, rather than to be required to be prodded by agonising stories of individuals in a terrible plight. … Accused persons are very rarely popular. ... But the value of a fair trial, and also the sheer pitiful state that somebody who is unrepresented against a state prosecution presents, is something which should evoke a financial response from governments without needing to see truly dreadful spectacles. [91]

9.74 Many witnesses to the Committee spoke of the common perception that it was impossible to get legal aid. [92] They referred to the cynicism that resulted: `there is almost a self-perpetuating cynicism developing amongst members of the community that they do not expect either themselves or members of their community to get justice'. [93] As quoted in paragraph 4.29 above, the Legal Services Commission of South Australia advised the Committee that the public perception was one of incredulity, and of difficulty in comprehending that a meritorious case was not going to get any assistance.

9.75 One impact of the changes to the broader legal system was believed to be the perception of society that some matters were not worth prosecuting:

We already have a situation in South Australia where we have what I would term a cost-benefit prosecution scenario. That is where a law appears to be broken. The first thing is to see in the prosecutions branch whether you have a case that is likely to get a conviction up and only then might you proceed with prosecution. There are serious consequences for that kind of approach, I believe, if you are going to hold up a rule of law in a community. We cannot afford to have laws which are addressed only if we can afford to address them. [94]

9.76 A further development of this point was outlined by the Law Council of Australia which believed that the failure to address real funding issues could lead to a major change in the perceptions of the community not only about trials proceeding within a reasonable period of time, but, more importantly, whether principles such as a right to a fair trial would be maintained:

hard evidence of that kind of difficulty will come only when some wretch who is accused finds himself or herself unrepresented in a truly wretched position with dreadfully serious charges and with the relatively enormous resources of the state prosecuting, and at the same time the great social need for crime which ought to be tried so that the guilty are convicted and punished. … How many do you need, bearing in mind the real horror of that kind of thing occurring in the administration of justice at the end of the 20th century in Australia? [95]

9.77 Another impact of substantial significance is that, by granting the power of deciding what is likely to be a successful case, or a case with wider public benefit (as in discrimination issues) to a legal aid commission, the government is moving a crucial authority and responsibility away from a court or a tribunal.

9.78 It is recognised that some assessment of merits is always necessary in determining funding. However, this assessment must not imperceptibly move towards a virtual decision of guilt or innocence. In particular the Committee notes with concern the cavalier assessment that funding won't be available unless people have a real risk of receiving a jail sentence. Given that some people without legal assistance of an appropriate nature may run a serious risk of jail because of a poor presentation in court, or inadequate preparation, or because they feel it is simpler to plead guilty than try to defend themselves, a custodial sentence or a conviction may be a serious risk. The Committee believes that this type of risk is being imposed on those most in need, and it is not a risk which the ordinarily prudent self funding litigant may have to face.

9.79 A further effect of the lack of access to legal services was the lack of participation in a crucial part of society. The NSW Environmental Defender's Office, pointing out the interest of the public in environmental issues, stated that active participation was essential:

Environmental decisions raise political public policy issues and democratic principles call for public participation, even when that participation involves litigation.

Surely, the Government should be supporting the litigation activities of public interest environmental lawyers and their clients, not proscribing them by choking off their funding. [96]

9.80 The Committee finds that the access of Australians to justice is being affected at several levels. As the means test is lowered in real terms and a stricter approach is taken to the merits test, the inevitable consequence is that the overall number of Australians who can qualify for legal aid is decreasing as a percentage of the population.

9.81 The Committee has also found that there is a strong likelihood that the severely restricted availability of legal aid has its greatest impact on the most disadvantaged. Thus, while witnesses commented on the fact that lower to middle income Australians also had little chance of affording legal services at all, those in the income bracket which had traditionally had some access to legal aid, were now finding that they either missed out on funding altogether, or had insufficient funding to conduct a matter satisfactorily. [97]

What we are experiencing is that it is the most disadvantaged at the bottom that continue not to be served because they are not accessing existing services or they get dropped off because people are overworked and do not have the time to take the type of innovative approach that is required in order to reach those sectors of the community. [98]

9.82 The Committee shares the concern of some witnesses to the inquiry over the effects of the changes to the legal aid system on Australian society as a whole. It is clear from numerous submissions that the legal aid system in Australia is fundamentally incapable of providing access to justice for an increasing number of Australians. This situation has significant implications for the future of many in our society, and the values central to a liberal democracy. As the National Association of Community Legal Centres put it:

The rationale for legal aid arises directly out of the role that the legal system plays in Australian democratic society. The legal system is both the means by which democratically elected governments regulate society in the interests of all citizens and the means by which all citizens can ensure that they are able to exercise their rights, carry out their responsibilities, hold others accountable to the law, and receive fair and equitable treatment as citizens. [99]

9.83 A lack of effective access to justice leads inevitably to the marginalisation of the law and to increasing irrelevance of the core democratic institutions. It is not overly dramatic to assert that, legal aid is critical to the maintenance of justice and the rule of law, and ultimately, democracy. This point was strongly put to the Committee by a representative of the Youth Legal Service (WA):

If we don't have an effective justice system, what are those consequences going to be? In the event that public funding has decreased for a public road system, we see the roads disintegrate. There is a visible effect. In the event of insufficient funding for our health system, we see a real effect in terms of the health of Australians.

With cuts to a court system, to a justice system, there are effects but they are less visible. They are effects that I think are more long term; they have to do with the confidence that citizens have in the rule of law within their society. I think that is fundamental and I think they are concerns that need to be addressed. Although they are big picture, they are certainly issues that underline the considerations that this committee is addressing. [100]

Footnotes

[1] Transcript of Evidence, Legal Services Commission of SA, p. 1599.

[2] See above, Chapter 4.

[3] Submission No. 126, Law Council of Australia, p. 21.

[4] Transcript of Evidence, Family Law Practitioners Association, p. 1786. See also para. 4.20 above.

[5] See below, paragraphs 9.71-9.81.

[6] The Commonwealth Government's plans to reduce the avenue for appeals in a number of areas will effectively limit the opportunities for individuals to challenge various decisions. This proposed change, in conjunction with the limited funding available through legal aid for various issues, will presumably affect community expectations and demand.

[7] Submission No. 44C, Legal Services Commission of SA, p. 19.

[8] Transcript of Evidence, Kingsford Legal Centre, p. 1710.

[9] Submission No. 144, Newcastle Legal Centre, pp. 4-5 and Transcript of Evidence, Newcastle Legal Centre, pp. 1394-5, 1397-8.

[10] In many cases these may come under state rather than Commonwealth law, and include consumer and credit issues, victim's compensation, tenancy, domestic violence, and discrimination: Submission No. 185, Campbelltown Legal Centre, pp. 4-5.

[11] Submission No. 181C, Environmental Defender's Office (NSW), p. 3.

[12] See above, para. 4.13.

[13] Submission No. 127G, Attorney-General's Department, p. 4.

[14] See for example, Transcript of Evidence, Villamanta Legal Service, pp 1434, 1437-8. Villamanta Legal Service is funded through the Commonwealth Department of Health. See also Transcript of Evidence, Mental Health Law Service, p. 1552 on the provision by Western Australia of funding to meet the demand for legal services such as advocacy service resulting from state mental health legislation. For the information received by the Committee on services provided by states and territories, see Appendix 7.

[15] Transcript of Evidence, The Aged-care Rights Service, p. 1704.

[16] Transcript of Evidence, Older Persons Action Centre, p. 1444.

[17] Transcript of Evidence, Kingsford Legal Centre, p. 1702.

[18] Submission No. 109A, Women's Legal Resource Group, p. 6.

[19] Transcript of Evidence, Villamanta Legal Service, pp. 1433-4.

[20] Submission No. 185, Campbelltown Legal Centre, p. 2.

[21] Transcript of Evidence, Campbelltown Legal Centre, p. 1376. The submission from the Campbelltown Legal Centre referred to the provision of interpreters by the NSW Ethnic Affairs Commission and stated (p. 6): On 1 February 1998 the NSW EAC implemented a policy of no longer providing free interpreters for community legal centres for Commonwealth matters. We feel that this is a direct result of the State/Federal dispute regarding legal aid. The Commonwealth currently only provides a telephone interpreter service and provides only 23 free interpreters for appointments at services state wide per day. This is for all services, not just legal services. There is at this point no likelihood of the Commonwealth funding interpreters for Commonwealth matters. The Centre told the Committee it had now the added burden of having to determine at the threshold whether a matter was a Commonwealth or state one in order to determine which interpreting service to use.

[22] Transcript of Evidence, Welfare Rights and Advocacy Service (WA), p. 1549.

[23] Transcript of Evidence, Villamanta Legal Service, pp. 1440-1.

[24] Submission No. 109A, Women's Legal Resource Group Inc., p. 4.

[25] Transcript of Evidence, Women's Legal Resource Group, p. 1467.

[26] Transcript of Evidence, Family Court of Australia, p. 1638.

[27] Submission No. 109A, Women's Legal Resource Group Inc., p. 5.

[28] Submission No. 35, Victoria Legal Aid, p. 3.

[29] Transcript of Evidence, Australian Pensioners' and Superannuants' Federation, pp. 1444, 1446.

[30] Transcript of Evidence, Older Persons Action Centre, p. 1443.

[31] Transcript of Evidence, Administrative Appeals Tribunal, p. 1386.

[32] Transcript of Evidence, Returned and Services League, p. 930.

[33] Transcript of Evidence, Vietnam Veterans' Association of Australia, p. 1421.

[34] Transcript of Evidence, Environmental Defender's Office (NSW), p. 1368.

[35] Transcript of Evidence, Kingsford Legal Service, p. 1710.

[36] Transcript of Evidence, Family Court of Australia, p. 1637.

[37] Submission No. 44C, Legal Services Commission of SA, pp. 18-20.

[38] Submission No. 44C, Legal Services Commission of SA, p. 20.

[39] Submission No.126A, Law Council of Australia, para. 2.2.

[40] Transcript of Evidence, Social Security Appeals Tribunal, p. 1672.

[41] Transcript of Evidence, Social Security Appeals Tribunal, p. 1673.

[42] Transcript of Evidence, Social Security Appeals Tribunal, p. 1669.

[43] Transcript of Evidence, Administrative Appeals Tribunal, p. 1387. In other cases, the AAT believed, it was sometimes a disadvantage to have legal assistance: Transcript of Evidence, p. 1386.

[44] Transcript of Evidence, Federation of Community Legal Centres (Vic) Inc, p. 1449.

[45] Transcript of Evidence, Campbelltown Legal Service, p. 1371.

[46] Transcript of Evidence, Family Law Practitioners Association, pp. 1778-9.

[47] Submission No 178, Federation of Community Legal Centres (Vic) Inc, p. 7.

[48] See Transcript of Evidence, Springvale Community Legal Service, p. 1675; Transcript of Evidence, Family Law Practitioners Association, pp. 1778-9.

[49] Senate Legal and Constitutional References Committee, Inquiry into the Australian Legal Aid System: First Report, March 1997, pp. 6, 10-11 and Second Report, June 1997, pp. 7-8. A somewhat broader definition of persons for whom the Commonwealth has responsibility is listed in Submission No. 88, National Legal Aid, p. 19: this definition is linked to international obligations, and includes women, children and people in custody.

[50] The Committee commented on the issue of international obligations in its previous reports in this inquiry. Some witnesses did not accept that the Commonwealth government could place responsibility for the Commonwealth person on state governments, thereby avoiding what was perceived as international obligations: `We do not agree with the Commonwealth trying to walk away from the Commonwealth persons test, because there are international obligations, certainly to Aboriginal people, and constitutional obligations as well' (Transcript of Evidence, Legal Aid Queensland, pp. 266-7).

[51] Transcript of Evidence, Attorney-Generals Department, p. 129.

[52] See above, para. 4.52.

[53] Submission No. 178, Federation of Community Legal Centres (Vic) Inc, p. 7.

[54] Transcript of Evidence, Law Society of SA, p. 1572.

[55] Transcript of Evidence, Legal Services Commission of SA, p. 1600.

[56] Transcript of Evidence, Springvale Community Legal Service, p. 1684.

[57] Transcript of Evidence, Federation of Community Legal Centres (WA) Inc., p. 1532.

[58] Transcript of Evidence, Law Society of SA, pp. 1566-7; Legal Services Commission of SA, pp. 1592, 1600.

[59] Submission No. 101A, Springvale Legal Service, p. 2.

[60] Transcript of Evidence, Rural Community Legal Service Inc, p. 1551.

[61] Transcript of Evidence, Legal Services Commission of SA, p. 1610; National Legal Aid, p. 1663; Legal Aid Queensland, pp. 1761-2.

[62] Transcript of Evidence, Federation of Community Legal Centres, pp. 1450-1.

[63] Submission No. 178, Federation of Community Legal Centres, p. 8.

[64] Transcript of Evidence, Legal Services Commission of SA, p. 1610.

[65] Transcript of Evidence, Legal Aid Queensland, p. 1762.

[66] Transcript of Evidence, Legal Services Commission of SA, p. 1611.

[67] Transcript of Evidence, Law Society of SA p. 1572.

[68] Transcript of Evidence, Law Society of SA, p. 1579.

[69] Transcript of Evidence, Legal Services Commission of SA, p. 1588. See Appendix 8 below for a copy of the newspaper article.

[70] Submission No. 44C, Legal Services Commission of SA, pp. 14-15.

[71] Submission No. 44C, Legal Services Commission of SA, pp. 6-7. On the other hand, other apparent changes, such as reductions in Family Court services to regional and rural areas were seen as having been overcome by reorganisation: Transcript of Evidence, Family Court of Australia, p. 1644.

[72] Submission No. 44C, Legal Services Commission of SA, p. 7.

[73] Submission No. 178, Federation of Community Legal Centres (Vic) Inc, p. 12.

[74] Transcript of Evidence, Law Society of SA, p. 1573; Family Court of Australia, pp. 1639-40.

[75] Transcript of Evidence, Legal Services Commission of SA, p. 1591.

[76] Transcript of Evidence, National Council for Single Mothers and Their Children, p. 1621.

[77] Transcript of Evidence, Legal Aid Queensland, p. 1755.

[78] Transcript of Evidence, Family Court of Australia, p. 1634.

[79] Transcript of Evidence, Family Court of Australia, pp. 1634-5.

[80] Transcript of Evidence, National Council for Single Mothers and Their Children, p. 1620.

[81] Transcript of Evidence, Women's Legal Resource Group, p. 514. See similarly Submission No. 74, Townsville Community Legal Service, p. 4.

[82] Transcript of Evidence, National Council for Single Mothers and Their Children, pp. 1621-2.

[83] Transcript of Evidence, Family Court of Australia, pp. 1633-4.

[84] Submission No. 44C, Legal Services Commission of SA, p. 9.

[85] Transcript of Evidence, Law Society of SA, p. 1570.

[86] Transcript of Evidence, Law Society of SA, p. 1571.

[87] Transcript of Evidence, Law Society of SA, p. 1572.

[88] Transcript of Evidence, National Legal Aid, pp. 1649-50, 1651-2.

[89] Transcript of Evidence, National Council for Single Mothers and Their Children, p. 1620.

[90] Transcript of Evidence, National Legal Aid, p. 1657.

[91] Transcript of Evidence, Law Council of Australia, pp. 1313-14.

[92] Transcript of Evidence, Legal Services Commission of SA, p. 1589.

[93] Transcript of Evidence, Law Society of SA, p. 1572.

[94] Transcript of Evidence, National Council for Single Mothers and Their Children, p. 1618.

[95] Transcript of Evidence, Law Council of Australia, p. 1311.

[96] Submission No. 181C, Environmental Defender's Office (NSW), p. 3.

[97] Transcript of Evidence, Campbelltown Legal Centre, p. 1371.

[98] Transcript of Evidence, Campbelltown Legal Centre, p. 1371. See similarly, Transcript of Evidence, Legal Services Commission of SA, p. 1596.

[99] Submission No. 90, National Association of Community Legal Centres, p. 3.

[100] Transcript of Evidence, Youth Legal Service (WA), p. 1530.