Hundreds of thousands of dollars in donations to controversial rugby union player Israel Folau will end up in the pockets of Rugby Australia if he loses a protracted legal battle against them.
Rugby Australia chief executive Raelene Castle told Nine News last night she was surprised Folau, one of the highest paid athletes in Australian sport, would ask the general public for financial support.
"From our perspective [GoFundMe] is a place where sick children get support, so certainly it is not a strategy we thought was appropriate," Ms Castle said. "They [donors] have seen what the money is going to be used for and they have to make their own decision."
Once Folaus GoFundMe page was activated just before midnight on Thursday, the money starting rolling in for the exiled Wallabies fullback who pleaded in a viral video for financial support to help stand up for religious freedom.
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By 8pm yesterday, more than $410,000 had been sent his way as donors from all over the globe showed their support for an athlete prepared for the "fight of my life".
However, questions have been raised about the wording of a disclaimer at the bottom of the fundraising page. It read: "In making this contribution I acknowledge that my contributions are made freely as a gift on the basis previously affirmed and that there will be no obligations on Israel Folau to do anything for me in recognition of the gift or to apply the funds in any particular way with respect to his legal action, and that I hold no expectation to receive anything in return for my contribution."
When contacted by the Herald, a spokesperson for Folau declined to comment on the wording of the disclaimer or what the 30-year-olds plans were if the money raised was surplus to his legal fees.
While it is expected Folau will use the cash for his upcoming challenge, the $3 million goal he set far exceeds the usual expectations for such a legal bill. One barrister labelled the price tag "outrageous".
RA chief executive Raelene Castle (right) said she was surprised one of the highest paid athletes in Australian sport would ask the public for financial support.Credit:Steven Siewert, GoFundMe, Nine News
Law Council of Australia president Arthur Moses warned that the thousands of individuals who donated anywhere from $5 to as much as $10,000 yesterday might not realise exactly where their money is going.
"The issue of crowdfunding and its application to litigation opens up a veritable can of worms for the legal profession and the courts," Mr Moses said. "This an issue which the legal profession and the courts must grapple with if this practice continues to increase.
"A security for costs order is an order that requires a litigant to deposit money into a secured account. This means that if the case is dismissed or the litigation fails, this money would be used to pay legal expenses of the opposing side.
"There are also questions around what occurs with remaining funds if the money is not used in its totality. Is it returned to those who donated or to the person who collected the funds?"
There were also suggestions Folaus GoFundMe advertisement breached the sites rules, which states that users may not attempt to raise money for, "for the legal defence of … intolerance of any kind relating to race, ethnicity, national origin, religious affiliation, sexual orientation, sex, gender or gender identity, or serious disabilities or diseases".
GoFundMe did not respond to a request for comment.
More than 5000 individuals have donated to Folau, who says he is more than $100,000 out of pocket after already appearing Read More – Source
Hundreds of thousands of dollars in donations to controversial rugby union player Israel Folau will end up in the pockets of Rugby Australia if he loses a protracted legal battle against them.
Rugby Australia chief executive Raelene Castle told Nine News last night she was surprised Folau, one of the highest paid athletes in Australian sport, would ask the general public for financial support.
"From our perspective [GoFundMe] is a place where sick children get support, so certainly it is not a strategy we thought was appropriate," Ms Castle said. "They [donors] have seen what the money is going to be used for and they have to make their own decision."
Once Folaus GoFundMe page was activated just before midnight on Thursday, the money starting rolling in for the exiled Wallabies fullback who pleaded in a viral video for financial support to help stand up for religious freedom.
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By 8pm yesterday, more than $410,000 had been sent his way as donors from all over the globe showed their support for an athlete prepared for the "fight of my life".
However, questions have been raised about the wording of a disclaimer at the bottom of the fundraising page. It read: "In making this contribution I acknowledge that my contributions are made freely as a gift on the basis previously affirmed and that there will be no obligations on Israel Folau to do anything for me in recognition of the gift or to apply the funds in any particular way with respect to his legal action, and that I hold no expectation to receive anything in return for my contribution."
When contacted by the Herald, a spokesperson for Folau declined to comment on the wording of the disclaimer or what the 30-year-olds plans were if the money raised was surplus to his legal fees.
While it is expected Folau will use the cash for his upcoming challenge, the $3 million goal he set far exceeds the usual expectations for such a legal bill. One barrister labelled the price tag "outrageous".
RA chief executive Raelene Castle (right) said she was surprised one of the highest paid athletes in Australian sport would ask the public for financial support.Credit:Steven Siewert, GoFundMe, Nine News
Law Council of Australia president Arthur Moses warned that the thousands of individuals who donated anywhere from $5 to as much as $10,000 yesterday might not realise exactly where their money is going.
"The issue of crowdfunding and its application to litigation opens up a veritable can of worms for the legal profession and the courts," Mr Moses said. "This an issue which the legal profession and the courts must grapple with if this practice continues to increase.
"A security for costs order is an order that requires a litigant to deposit money into a secured account. This means that if the case is dismissed or the litigation fails, this money would be used to pay legal expenses of the opposing side.
"There are also questions around what occurs with remaining funds if the money is not used in its totality. Is it returned to those who donated or to the person who collected the funds?"
There were also suggestions Folaus GoFundMe advertisement breached the sites rules, which states that users may not attempt to raise money for, "for the legal defence of … intolerance of any kind relating to race, ethnicity, national origin, religious affiliation, sexual orientation, sex, gender or gender identity, or serious disabilities or diseases".
GoFundMe did not respond to a request for comment.
More than 5000 individuals have donated to Folau, who says he is more than $100,000 out of pocket after already appearing Read More – Source
