As LFJ has reported in recent weeks, there have been ongoing discussions as to the future of litigation funding regulation in Europe, as well as other jurisdictions. With concerns being raised by politicians and industry figures alike, current momentum is likely to bring a new wave of tightened, or at least more tightly defined, regulation.
An LFJ Conversation with Michael Kelley, Partner, Parker Poe
As LFJ has reported in recent weeks, there have been ongoing discussions as to the future of litigation funding regulation in Europe, as well as other jurisdictions. With concerns being raised by politicians and industry figures alike, current momentum is likely to bring a new wave of tightened, or at least more tightly defined, regulation.
Reporting by The Law Society Gazette highlights the recent approval of the Voss Report by the European Parliament as being a key marker on the road to future regulatory reform. The core tenets of the report include recommendations for an authorization system for each EU member state, a requirement for disclosure of any third-party funding to all parties, as well as limits on fees and financial adequacy requirements.
The report also highlights that while the Association of Litigation Funders already exists, its membership represents less than 20 per cent of all funders in Europe. However, the International Legal Finance Association stated its intention to work alongside the EU, with executive director Gary Barnett highlighting the importance of litigation financing to provide individuals and companies access to justice.
