New BIICL study maps third party litigation funding (TPLF) in the European Union
The study for the European Commission on Mapping Third Party Litigation Funding in the European Union is now published
On 13 September 2022, the European Parliament adopted a resolution on responsible private funding of litigation which called the Commission to propose legislation that would regulate TPLF in the EU. The Commission, in its response to the resolution, committed to carry out a mapping study that would take stock of the situation in the EU. The British Institute of International and Comparative Law (BIICL) and Civic Consulting, supported by experts from the Asser Institute and from Risk & Policy Analysts (RPA), carried out the study on Mapping Third Party Litigation Funding in the European Union. Over 30 National Experts, alongside external highly regarded experts in the field, contributed to the study.
The study maps legislation, practice, and debate on TPLF in the Member States and four non-EU countries (United Kingdom, Switzerland, United States, and Canada). It is structured around a legal analysis based on desk research and national reports, and a broad consultation of stakeholders which presents and analyses opinions of key stakeholders on the regulation and practical operation of TPLF in their jurisdictions and on the needs regarding regulation of TPLF both at the national and at the Union level.
In light of the results and data gathered in the legal research and the consultation, three different approaches are considered in the study, along with their rationale: no regulation, light-touch regulation, and strict regulation. The results of the study will be used by the Commission's services to assess the appropriate follow-up to the European Parliament resolution on responsible funding of litigation.
