What's Happening?
During the London International Disputes Week (LIDW) 2025, Stewarts Law hosted a panel session focused on litigation funding for corporate clients. The discussion, led by Julian Chamberlayne, Risk and Funding Partner at Stewarts, explored the use of third-party funding (TPF) and insurance in legal claims. Panelists included industry experts such as Kevin Hellard from Grant Thornton and Susan Dunn from Harbour, who debated the merits of TPF and the importance of selecting appropriate funders and insurance options. The session highlighted the mature market for litigation funding in England and Wales, emphasizing the need for corporates to adopt a tailored approach to funding decisions.
AD
Why It's Important?
The discussion at LIDW 2025 underscores the growing significance of third-party funding in the legal industry, particularly for corporate clients. As litigation costs continue to rise, TPF offers a viable solution for companies seeking to manage financial risks associated with legal disputes. The insights shared by the panelists could influence corporate strategies in navigating complex legal landscapes, potentially leading to more informed decisions regarding funding and insurance. This development is crucial for legal practitioners and corporates aiming to optimize their litigation strategies while minimizing financial exposure.
What's Next?
The panelists suggested that corporates should conduct thorough due diligence when selecting funders and insurers, ensuring transparency and understanding of funding agreements. The discussion also hinted at potential regulatory changes in the litigation funding sector, following recent judgments and reports. As the market evolves, corporates may need to adapt their approaches to funding and insurance, considering new regulations and market dynamics. Legal professionals are expected to play a pivotal role in advising clients on these matters, ensuring that funding strategies align with corporate objectives.
Beyond the Headlines
The session at LIDW 2025 highlighted ethical considerations in litigation funding, such as the need for transparency and fairness in funding agreements. The potential regulation of funders could lead to increased accountability and trust in the industry. Additionally, the discussion emphasized the importance of collaboration between legal professionals and funders, fostering a cooperative environment that benefits all parties involved in litigation.
