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"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
tort A tort is a civil wrong that causes a claimant to suffer loss or harm, resulting in legal liability for the person who commits the tortious act. Tort law can be contrasted with criminal law, which deals with criminal wrongs that are punishable ...
s are unjustified, frivolous, or
fraud In law, fraud is intentional deception to secure unfair or unlawful gain, or to deprive a victim of a legal right. Fraud can violate civil law (e.g., a fraud victim may sue the fraud perpetrator to avoid the fraud or recover monetary compens ...
ulent, and that those who seek compensation should be criticised. 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 In tort law, a duty of care is a legal obligation that is imposed on an individual, requiring adherence to a standard of reasonable care while performing any acts that could foreseeably harm others. It is the first element that must be establis ...
,
negligence Negligence (Lat. ''negligentia'') is a failure to exercise appropriate and/or ethical ruled care expected to be exercised amongst specified circumstances. The area of tort law known as ''negligence'' involves harm caused by failing to act as a ...
, or causation. Ronald Walker QC defines it as "an ethos hich believes thatall misfortunes short of an
Act of God In legal usage in the English-speaking world, an act of God is a natural hazard outside human control, such as an earthquake or tsunami, for which no person can be held responsible. An act of God may amount to an exception to liability in con ...
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." 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. The phrase was coined in an article by
Bernard Levin Henry Bernard Levin (19 August 1928 – 7 August 2004) was an English journalist, author and broadcaster, described by ''The Times'' as "the most famous journalist of his day". The son of a poor Jewish family in London, he won a scholarship t ...
in London's ''
The Times ''The Times'' is a British daily national newspaper based in London. It began in 1785 under the title ''The Daily Universal Register'', adopting its current name on 1 January 1788. ''The Times'' and its sister paper ''The Sunday Times'' (fou ...
'' newspaper dated 17 December 1993. The article, largely a
polemic Polemic () is contentious rhetoric intended to support a specific position by forthright claims and to undermine the opposing position. The practice of such argumentation is called ''polemics'', which are seen in arguments on controversial topics ...
against the
welfare state A welfare state is a form of government in which the state (or a well-established network of social institutions) protects and promotes the economic and social well-being of its citizens, based upon the principles of equal opportunity, equitabl ...
, 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."


Media myth

The term is especially used in
tabloid journalism Tabloid journalism is a popular style of largely sensationalist journalism (usually dramatized and sometimes unverifiable or even blatantly false), which takes its name from the tabloid newspaper format: a small-sized newspaper also known as ...
and by advocates of
tort reform Tort reform refers to changes in the civil justice system in common law countries that aim to reduce the ability of plaintiffs to bring tort litigation (particularly actions for negligence) or to reduce damages they can receive. Such changes a ...
to describe a perceived legal climate with regard to torts in the
United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain, is a country in Europe, off the north-western coast of the continental mainland. It comprises England, Scotland, Wales and North ...
and
Ireland Ireland ( ; ga, Éire ; Ulster Scots dialect, Ulster-Scots: ) is an island in the Atlantic Ocean, North Atlantic Ocean, in Northwestern Europe, north-western Europe. It is separated from Great Britain to its east by the North Channel (Grea ...
.
Lord Dyson John Anthony Dyson, Lord Dyson, (born 31 July 1943) is a former British judge and barrister. He was Master of the Rolls and Head of Civil Justice, the second most senior judge in England and Wales, from 2012 to 2016, and a Justice of the Supr ...
, the third most senior judge in England and Wales, has dismissed the existence of a compensation culture in the UK as a false perception and a "media-created myth." James Hand, writing in the ''Journal of Law and Society'', observed that sensationalist stories about compensation awards "evidently make for good copy; national newspaper articles concerning the compensation culture have increased exponentially since the mid 1990s," while statistics conversely demonstrated "a broad decline" in the number of claims during the same period. Research published in 2006 examined the data held by the Compensation Recovery Unit, a government agency which enabled the state to recover from tort damages any social security benefits paid as a result of an accident or disease. This found "no evidence that the tort system has been flooded with an increasing number of personal injury claims in recent years" and concluded that "the number of claims adbeen relatively stable since at least 1997–1998," the first year for which statistics were available.
George Monbiot George Joshua Richard Monbiot ( ; born 27 January 1963) is a British writer known for his environmental and political activism. He writes a regular column for ''The Guardian'' and is the author of a number of books. Monbiot grew up in Oxfordsh ...
, a British writer and political activist, said: "Compensation culture has usurped
political correctness ''Political correctness'' (adjectivally: ''politically correct''; commonly abbreviated ''PC'') is a term used to describe language, policies, or measures that are intended to avoid offense or disadvantage to members of particular groups in socie ...
, welfare cheats, single mothers and
New Age travellers New Age travellers, not completely synonymous with but otherwise shortened to New Travellers (often referred to as "crusties"), are people in the United Kingdom generally espousing New Age beliefs along with the hippie culture of the 1960s (over ...
as the right's new bogeyman-in-chief. According to the
Confederation of British Industry The Confederation of British Industry (CBI) is a UK business organisation, which in total claims to speak for 190,000 businesses, this is made up of around 1,500 direct members and 188,500 non-members. The non members are represented through the 1 ...
(CBI), the
Conservative Party The Conservative Party is a name used by many political parties around the world. These political parties are generally right-wing though their exact ideologies can range from center-right to far-right. Political parties called The Conservative P ...
and just about every newspaper columnist in Britain, it threatens very soon to bankrupt the country." A
Better Regulation Commission The Better Regulation Commission was a non-departmental public body of the British government, independent of any government department but under the oversight of Department for Business, Enterprise and Regulatory Reform. Its role, according to i ...
(BRC) report published in 2004 concluded that there was no compensation culture in the UK. The commission also found that the myth of the compensation culture was largely perpetuated by the media.
Janet Paraskeva Dame Janet Paraskeva (born 28 May 1946, Newport, Monmouthshire, Wales) is a British government official. She was appointed as the First Civil Service Commissioner on 1 January 2006. On 15 November 2007 Paraskeva was announced by Peter Hain ...
, then
The Law Society The Law Society of England and Wales (officially The Law Society) is the professional association that represents solicitors for the jurisdiction of England and Wales. It provides services and support to practising and training solicitors, as ...
's chief executive, commented: "Ironically, it seems that those who most decry the possibility of a compensation culture are probably responsible for perpetuating the belief that there is one – resulting in more and more of the bizarre decisions by schools and local authorities that journalists are so quick to mock." One analyst put it more bluntly: "Loose talk of a 'compensation culture' no doubt helps to sell the very sorts of newspapers that purport to despise it most." Levin's 1993 article related the details of several personal injury claims which had succeeded in the United States, and warnings of 'American-style litigiousness' arriving in the UK were common in many articles in the domestic media during the late 1990s. This coincided with vigorous lobbying in the United States by special interest groups and business organisations in support of product liability reform which would place restrictions on laws allowing consumers to sue companies for damages caused by faulty products.


False perceptions and fear of litigation

Kevin Williams, writing in the ''Journal of Personal Injury Law'', said: "The fact that there may be no objective proof that we live in an increasingly 'blame and sue' society is beside the point when an 'urban myth' to the contrary is said to have taken hold. Thus, whatever the actual likelihood of being the target of litigation, many increasingly believe themselves to be at heightened risk of being unfairly sued." The 2004 BRC report came to the same conclusion, stating that the myth of a compensation culture in the UK was "a commonly held perception" which created an exaggerated fear of litigation and led to organisations becoming excessively risk-averse and "over cautious in their behaviour." However, research commissioned by the
Health and Safety Executive The Health and Safety Executive (HSE) is a UK government agency responsible for the encouragement, regulation and enforcement of workplace health, safety and welfare, and for research into occupational risks in Great Britain. It is a non-depar ...
(HSE) in 2008 to assess "the extent to which disproportionate health and safety management occurs" found that "most organisations do not report the examples of excessive ealth and safety managementquoted in the media" but still perceived "a problem with risk aversion" in the UK in general. This, according to Sally Lloyd-Bostock, a professor of Law and Psychology, demonstrated that even the "perceptions of the effects of perceptions" were not based on evidence but instead on what Marc Galanter, professor of Law at the
University of Wisconsin–Madison A university () is an educational institution, institution of higher education, higher (or Tertiary education, tertiary) education and research which awards academic degrees in several Discipline (academia), academic disciplines. Universities ty ...
, dubbed "anecdotes, atrocity stories and unverified assertions" perpetuated by the media. ''
Common Sense, Common Safety ''Common Sense, Common Safety'' (also known as the Young Report) was an October 2010 report by David Young, Baron Young of Graffham. It was commissioned by the British government to address a perceived compensation culture. The report made a ...
'', a 2010 report by
Lord Young of Graffham David Ivor Young, Baron Young of Graffham, (27 February 1932 – 9 December 2022) was a British Conservative politician, cabinet minister and businessman. Early life David Young was born into an orthodox Jewish family in London. His father w ...
to the Prime Minister reviewing "health and safety laws and the growth of the compensation culture" also found "there is no end to the constant stream of misinformation in the media" and that the "overriding opinion" of the organisations questioned (including the
Confederation of British Industry The Confederation of British Industry (CBI) is a UK business organisation, which in total claims to speak for 190,000 businesses, this is made up of around 1,500 direct members and 188,500 non-members. The non members are represented through the 1 ...
, the
Trades Union Congress The Trades Union Congress (TUC) is a national trade union centre A national trade union center (or national center or central) is a federation or confederation of trade unions in a country. Nearly every country in the world has a national tra ...
, Families Against Corporate Killers, the
Police Federation of England and Wales The Police Federation of England and Wales (PFEW) is the statutory staff association for police constables, sergeants, inspectors, chief inspectors and special constables in the 43 territorial police forces in England and Wales. Under UK lab ...
and the
International Institute of Risk and Safety Management The International Institute of Risk & Safety Management (IIRSM) is a non-profit professional organization for occupational health and safety practitioners worldwide, based in the United Kingdom. It provides education, training, advice, resources ...
) was that "the health and safety agenda had been hijacked by the tabloid press, whose reports often contributed to misinterpretation and misunderstandings by regularly exaggerating and ridiculing instances which in reality have little or nothing at all to do with health and safety." The "broad consensus" of these groups was that "they did not believe there was a growing compensation culture in the UK" but that there was a "public perception of one that stifles opportunities and leads business to take an overcautious attitude when attempting to interpret health and safety regulations in the workplace."


See also

*'' Liebeck v. McDonald's Restaurants'' *
Loaded language Loaded language (also known as loaded terms, emotive language, high-inference language and language-persuasive techniques) is rhetoric used to influence an audience by using words and phrases with strong connotations. This type of language is ver ...
*
Lobbying in the United Kingdom Lobbying in the United Kingdom plays a significant role in the formation of legislation and a wide variety of commercial organisations, lobby groups "lobby" for particular policies and decisions by Parliament and other political organs at nationa ...
*
Politico-media complex The politico-media complex (PMC, also referred to as the political-media complex) is a name given to the network of relationships between a state's political and ruling classes and its media industry. It may also encompass other interest groups, ...
* Propaganda model *
Tort reform in the United States Tort reform refers to changes in the civil justice system in common law countries that aim to reduce the ability of plaintiffs to bring tort litigation (particularly actions for negligence) or to reduce damages they can receive. Such changes a ...


References


Further reading

* *{{Cite journal , doi = 10.1111/j.1467-6478.2009.00471.x, title = The Dangers of Hanging Baskets: 'Regulatory Myths' and Media Representations of Health and Safety Regulation, journal = Journal of Law and Society, volume = 36, issue = 3, pages = 352–375, year = 2009, last1 = Almond , first1 = P. , s2cid = 145159989, url = http://centaur.reading.ac.uk/6613/1/The%20Dangers%20of%20Hanging%20Baskets%20FINAL.pdf Tort law Media bias