Litigation Funding now "mainstream" in the UK
The English courts have embraced no-win no fee agreements and third party litigation funding for several years because:
- it provides valuable access to justice to a party who could not otherwise fund litigation,
- foregoing part of the return to the funder is better than foregoing all damages due to inability to fund and (3) funders are incentivised to fund claims with merit.
Litigation funding is now well established in the UK as well as in the United States and Australia.
In the recent high-profile Court of Appeal judgment in Excalibur Ventures v Texas Keystone and others  EWCA Civ 1144 Tomlinson LJ noted at the start of his judgment that "Third party funding is a feature of modern litigation". This comment has been warmly welcomed by UK litigation funders as recognition of the growth of the sector.
It seems that the future for the litigation funding industry remains bright. With interest rates remaining low, returns from litigation can be lucrative for investors which means plenty of funds are available to the right cases.
If you have a question about a litigation case or funding please contact Nicola Diggle.