News & Analysis as of

Litigation Fees & Costs Litigation Funding United Kingdom

Hogan Lovells

UK reform of litigation funding – CJC issues Interim Report and opens consultation

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The Civil Justice Council Interim Report gives first hint of potential reform in litigation funding. The funding industry has been contending with a state of flux since the July 2023 judgment of the Supreme Court in the...more

BCLP

The winding road ahead: navigating representative proceedings in the High Court

BCLP on

With the rise of litigation funding of group actions, there has been an increasing use of representative actions by Claimants in recent years. In turn, Defendants are challenging this and the Courts are scrutinising cases in...more

Hogan Lovells

UK Government’s snap general election stalls Bill intended to clarify litigation funding regulations

Hogan Lovells on

The UK’s snap general election has delayed indefinitely the progress of draft legislation which had been introduced with a view to restoring the pre-PACCAR status quo in which litigation funding agreements were distinct from...more

Dorsey & Whitney LLP

Ensuring Access to Justice: The Litigation Funding Agreements (Enforceability) Bill and the Path Forward Post-PACCAR

Dorsey & Whitney LLP on

Following the second reading of the Litigation Funding Agreements (Enforceability) Bill in the House of Lords on April 15th, there is a shared acknowledgment among the House of the significance of maintaining and protecting...more

Cooley LLP

Litigation Funding Agreements: Developments Since PACCAR

Cooley LLP on

Litigation funding agreements have been very much in the spotlight since the decision in R (on the application of PACCAR Inc and others) v. Competition Appeal Tribunal and others, in which the Supreme Court of the United...more

K&L Gates LLP

Litigation Funding: A New Era?

K&L Gates LLP on

The PACCAR Judgment - The Supreme Court of the United Kingdom’s (Supreme Court) ruling in R (on the application of PACCAR Inc and others) (Appellants) v Competition Appeal Tribunal and others (Respondents) [2023] UKSC 28...more

White & Case LLP

Upheaval in the Litigation Funding Industry: UK Supreme Court Rules that many Litigation Funding Agreements are Unenforceable

White & Case LLP on

In a heavy blow to the litigation funding industry, the UK Supreme Court has held that many litigation funding agreements are damages-based agreements and must comply with the relevant regulatory regime. Funders will be...more

McDermott Will & Emery

Landmark UK Supreme Court Ruling Strikes a Blow to Litigation Funding

On 26 July 2023, the UK Supreme Court gave judgment in R (on the application of PACCAR Inc and others) v Competition Appeal Tribunal and others. By a majority of four to one, the Supreme Court held that litigation funding...more

A&O Shearman

UK Supreme Court Rules that Litigation Funding Agreements are ‘Damages-Based Agreements’

A&O Shearman on

In a decision of major importance for litigation in the UK, the UK Supreme Court has held that litigation funding agreements (“LFAs”) under which a litigation funder receives a percentage of any damages recovered by the...more

White & Case LLP

Not a binding rule: Court of Appeal confirms funders' costs liability not automatically capped

White & Case LLP on

On 25 February 2020, the Court of Appeal in Chapelgate Credit Opportunity Master Fund Ltd-v-Money & Others confirmed that the liability of a commercial funder of an unsuccessful action should not automatically be limited to...more

White & Case LLP

The High Court heralds the end of the Arkin cap

White & Case LLP on

Davey v Money and others [2019] EWHC 997 confirms that litigation funders can no longer rely on the ‘Arkin cap', to limit their adverse costs exposure to the amount of funding they contributed. The decision continues the...more

Latham & Watkins LLP

Litigation Funding: Private Equity Investment Opportunity and Portfolio Risk Management Tool

Latham & Watkins LLP on

Litigation funding, the third-party financing of legal costs in disputes, is increasingly common in the UK. As litigants have become comfortable with sophisticated litigation funders, these funders are responding to business...more

A&O Shearman

Professional third-party litigation funder ordered to pay security for costs

A&O Shearman on

The High Court ordered security for costs against a commercial litigation funder but declined to do so in respect of a third-party funder who was not involved in litigation funding as a business. The case is interesting for...more

A&O Shearman

Claimant ordered to disclose identity of third party funder

A&O Shearman on

Stuart Barrie Wall v The Royal Bank of Scotland plc [2016] EWHC 2460 (Comm), 7 October 2016 - The Commercial Court ordered a claimant to disclose the identity of a third party funding the litigation he had commenced...more

A&O Shearman

Third party funders held liable for costs on an indemnity basis

A&O Shearman on

Excalibur Ventures LLC v Texas Keystone Inc & Ors [2016] EWCA Civ 1144, 18 November 2016 - The Court of Appeal has provided important guidance on the extent to which third party litigation funders may be liable to pay...more

Cooley LLP

Alert: What US GCs Should Know About Litigation Funding in England & Wales

Cooley LLP on

The situation may be a familiar one: a client with a meritorious claim, but insufficient financial resources (or even C-suite support) to pursue matters. In this tip sheet, we explain how the continued growth of litigation...more

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