Compensation culture

"Compensation culture" (often shortened to "compo culture") is a pejorative term used to imply that, within a society, a significant number of claims for compensation for torts are unjustified, frivolous, or fraudulent, and that those who seek compensation should be criticised.[1][2][3] It is used to describe a "where there's blame, there's a claim" culture of litigiousness in which compensation is routinely and improperly sought without being based on the application of legal principles such as duty of care, negligence, or causation.[4] Ronald Walker KC defined it as "an ethos [which believes that] all misfortunes short of an Act of God are probably someone else's fault, and that the suffering should be relieved, or at any rate marked, by the receipt of a sum of money."[5]

The notion of a compensation culture has also been conflated with health and safety legislation and excessively risk-averse decisions taken by corporate bodies in an apparent effort to avoid the threat of litigation.[6][7][8]

The phrase was coined in an article by Bernard Levin in London's The Times newspaper dated 17 December 1993.[9] The article, largely a polemic against the welfare state, carried the sub-heading: "We may laugh at ludicrous court cases in America, but the compensation culture began in Britain and is costing us dear [sic]".[10]

  1. ^ Montague, Janice Elliott (12 December 2012). Torts (10th ed.). Abingdon: Routledge. p. 49. ISBN 978-0-415-52461-2.
  2. ^ Parliament: House of Commons Constitutional Affairs Committee (10 March 2006). Compensation culture: Third report of session 2005-06. Vol. 2. London: The Stationery Office. p. Ev 188 ¶22. ISBN 978-0-215-02780-1.
  3. ^ Better Regulation Task Force (May 2004). Better Routes to Redress. London: Cabinet Office Publications & Publicity Team. ISBN 0711504571.
  4. ^ Master of the Rolls (15 March 2013). "Compensation culture: Fact or fantasy?". Judiciary of England and Wales. London: Judicial Office Communications Team. Holdsworth Club Lecture.
  5. ^ Walker, Ronald; Veale, Sarah (7 October 2003). "Compensation culture: myth or reality?". The Times Law Supplement. London. p. 8.
  6. ^ Murphy, Joe (5 January 2012). "I'll end health and safety compensation culture says PM". London Evening Standard. London. Retrieved 29 July 2013.
  7. ^ "'Compensation culture' myth examined by Leigh Day: Lord Young announces review of health and safety laws". Leigh Day. London. 5 October 2010. Archived from the original on 8 January 2013. Retrieved 29 July 2013.
  8. ^ "We are not amused... Queen's Speech undermines UK worker safety and rights to fair compensation". Bonnar & Company. 13 May 2013. Retrieved 29 July 2013.
  9. ^ Hand, J. (2010). "The Compensation Culture: Cliché or Cause for Concern?". Journal of Law and Society. 37 (4): 569–591. doi:10.1111/j.1467-6478.2010.00522.x. S2CID 155032980.
  10. ^ Levin, Bernard (17 December 1993). "Addicted to welfare". The Times. No. 64829. London. p. 20.