Backlash over bid for share of ACC pay

By ROSALEEN MacBRAYNE

A small Christchurch law firm's nationwide attempt to get business from sexual abuse victims has sparked a backlash.

Some 2000 angry and upset people have called the Accident Compensation Corporation over leaflets sent to homes around the country by Wakefield Associates.

The Riccarton law practice invites people to authorise it to seek compensation on their behalf - in return for 25 per cent of any lump sum awarded. Included in the mailout is a freepost envelope and a tear-off form giving authority to act (subject to lengthy terms and conditions in small print).

In bold type the leaflet, informing victims of sexual abuse that they have a legal right to ACC financial compensation, says: "You may be entitled to a lump sum of up to $25,000 and ongoing payments in excess of $150,000."

The firm's sole principal, Gary Wakefield, said it appeared that ACC did not advise sexual abuse victims of their lawful entitlements.

"While ACC may advise a few sexual abuse victims of an entitlement, usually only if asked about a specific entitlement, ACC will not investigate or advise them of a range of entitlements that they may be able to claim as we do," Mr Wakefield said in a statement.

ACC's claims manager, Gail Kettle, said that sexual abuse victims did not need to hire a lawyer because they could instigate claims themselves with any ACC-approved counsellor.

Though some would probably sign and post the authorised form, others were distressed to find it in their letter boxes.

It stirred up experiences for people already dealing with sensitive issues - which was "not nice", she said yesterday.

Ms Kettle said the leaflet was "very financially motivated" and the sums quoted extreme.

Apart from a small minority of historical cases which qualified under present legislation, lump sums had not applied since 1992. However, they were being reintroduced in April for "new injuries", she said.

"People think they are going to get a big bucket of money but what they are entitled to is not generally that huge."

ACC, which dealt with 4000 to 5000 sexual abuse cases a year, provided a lot of other practical help and rehabilitation for mental injury from sexual abuse.

For permanent impairment, an independence allowance of up to $2000 a year was paid in quarterly sums, Ms Kettle said.

In the leaflet, Wakefield Associates puts its fee for advising and representing claimants at 25 per cent, plus GST, of any resulting lump sum or all of any first quarterly payment made by ACC. If a claim is unsuccessful there is no charge.

ACC specialist John Miller, a senior lecturer in law at Victoria University, has mixed feelings about the Christchurch marketing strategy.

It could awaken disturbing memories for people in a non-therapeutic situation. On the other hand, he said, legal help could result in victims getting much-needed counselling as well as financial compensation.