The Allan Labor Government's budget cuts to the Victorian justice system are causing delays that are sending commercial litigation to other jurisdictions.
Victoria's Supreme Court used to be the powerhouse of commercial litigation in the country.
However, a decade of Labor government mismanagement has seen Victoria become the poor relation compared with the New South Wales Supreme Court and the Federal Court.
Analysis published in today's Australian Financial Review shows that over the past decade the average time for commercial cases to receive judgment was:
- Supreme Court of NSW: 27.83 days
- Federal Court of Australia: 36.69 days
- Supreme Court of Victoria: 40.04 days
Over that same period the Federal Court finalised 3607 cases, compared with 3019 cases in the NSW system and just 947 cases in Victoria.
These statistics underline how the Victorian justice system has fallen out of favour compared with other jurisdictions.
Shadow Attorney-General Michael O'Brien said: "It is an indictment on the Allan Labor Government that the Victorian justice system is no longer the forum of choice for resolving important commercial disputes.
"Labor's budget cuts to Victorian courts makes it harder for them to dispense justice efficiently and effectively.
"As a consequence, important litigation is being shifted to the NSW and Federal court systems, meaning fewer opportunities for Victorian practitioners and a further hit to Victoria's commercial reputation.
"With Labor ordering Court Services Victoria to find $106 million in savings over the next four years, this drain will only worsen. Victorian courts deserve to be properly funded, not made to pay for Labor's budget mismanagement.
"Labor can't manage money, can't manage the justice system and all Victorians are paying the price".
