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Firms hit by soaring cost of fighting legal actions.

The Evening Standard (London, England)

| October 10, 2006 | This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Byline: James Rossiter

Oct. 10--British businesses are being swamped by litigation at home and abroad, prompting a 25 percent rise in firms' average annual legal costs.

One in four large UK businesses said they have found themselves on the receiving end of shareholder class actions filed in the US courts over the past 12 months, up from 6 percent who said they were named as defendants such claims a year ago.

The findings are contained a new report out today which shows 15 percent of British companies were involved in at least 50 court actions, a threefold increase on last year. This was in large part due to the growing morass of financial regulation …

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