In The News Today- May 7, 2021
TPLF Profile Looks at Ethical Problems, Funder Control: Third party litigation funding allows hedge funds and other financiers to invest in lawsuits in exchange for a percentage of any settlement or judgment. Without disclosure requirements and other commonsense safeguards, funders may take control of litigation and interfere with the lawyers’ independent judgment. A recent analysis reprinted in MONDAQlooks at the major ethical problems revealed in some of the few funding agreements that have been made public, and urges defendants to seek disclosure of funding agreements whenever possible.
