Litigation funding industry growth in the spotlight with Burford’s $1 billion dollar announcement

26th Apr 2016

The American Lawyer reported that Burford Capital Limited announced its assets under management have reached $1 billion following a $144 million bond offering on the London Stock Exchange.  The article points out that according to Burford’s latest annual report, “Burford’s $1 billion milestone marks a doubling in investments since 2014”.

Earlier this year, and American funding company, Gerchen Keller Capital LLC also announced it had surpassed the $1 billion mark for assets under management.

The U.S. Chamber Institute for Legal Reform’s new report, Before the Flood: An Outline of Oversight Options for Third Party Litigation Funding in England and Wales, highlights the risks and concerns with the growing British litigation funding industry. The paper outlines the overarching themes and issues regarding the use of TPLF in litigation, and why meaningful government oversight is desirable, particularly in the areas of capital adequacy, limits on recovery, responsibility for adverse costs, and disclosure and transparency.