Co-president David Greene welcomes CJC recommendation to restore UK funding

The UK Civil Justice Council yesterday (2 June) released its long-awaited Final Report on Litigation Funding, with the 150-page document making 58 recommendations which look set to restore the status of third-party funding agreements in England and Wales, and put the mechanism into a better position going forward.

The stand-out recommendation is that funding from a conditional-fee agreement (CFA) or damages-based agreement (DBA) (which tend to be provided by a legal representative), should be clearly delineated from funding from a third-party which is not acting as a legal representative, combined with a rollback of the effects of the PACCAR decision both retrospectively and prospectively.

Edwin Coe class action and finance litigation practice head David Greene, speaking in his capacity as co-president of the UK Collective Redress Lawyers Association (CORLA) said: “We welcome the CJC’s recommendations which are a boon for access to justice in England and Wales and speak to the diligence and balance with which the committee conducted its review into litigation funding. Reversing PACCAR will finally put an end to the uncertainty that has hampered funders’ willingness to invest in important and meritorious cases.”

Greene continued: “We urge the government to take up the recommendation immediately. The proposed light touch regulation of funders is a much-preferred route in this very young market. The report is a fillip to access to justice and will help to ensure that London continues to remain a jurisdiction of choice.”