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Position paper - EU experiences and risks of unregulated third-party litigation funding

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26 Sep 2024
Consumer affairs

Businesses face a rapidly growing risk of litigation in areas such as sustainability compliance, product liability and digital compliance. This litigation is often financed by third party litigation funding (TPLF), which offers financial resources to litigants in exchange for a portion of the litigation proceeds. But without sufficient regulatory oversight, TPLF poses risks to the integrity of civil and commercial justice systems. These concerns have prompted calls for stronger EU-wide regulations to ensure transparency, fairness and genuine consumer advocacy in funded legal actions. Find out how TPLF is already increasing exposure to litigation risks across Europe.