Nadia, over the past 2.5 years, I have paid very close attention to the
legal system as my wife is in her final year of law school. You are
correct. There is an emphasis on sueing for little to no reason
whatever. Some here would like to limit this ability. While limits might
cut the number of suits, they could hamper truly legitimate ones, too.
But, back to your point, the operative theory in the lawsuit is called deep pockets. You not only sue the person who ran into your car, you sue the auto manufacturer, the seat belt manufacturer, the traffic light manufacturer, the city, the county, the police who did not respond fast enough, the ambulence attendants...you sue everyone. The idea is that the person or group with the most money, the deepest pockets, will ante up the money. It is a very sick turn of mind. Sometimes, people do commit torts and are guilty of real negligence, and need to be sued, but I would estimate 75% of all currently litigated lawsuits are frivolous and should be summarily thrown out.
Here, anyone could sue anyone else, and even if there were no basis for action, end up costing them incredible amounts of money. In England, if you sue and lose, you pay the legal expenses of the defendant, I think that is a good idea in most cases. Do they do that in Australia?