News 2024/11/26

European Justice Forum signs joint business statement on TPLF

EJF joined business associations for the need to regulate private Third-Party Litigation Funding (TPLF) at the EU level due to its potential as a for-profit model to prioritize financial gains over claimants' interests, leading to abusive litigation and unfair settlements.

The document emphasizes the lack of regulation and transparency in TPLF, contrasting it with the stringent oversight and competition in other sectors, and notes the risks of excessive litigation undermining public trust in judicial systems. The European Parliament's 2022 resolution on responsible litigation funding is recommended as a foundation for creating safeguards.

The statement concludes by urging EU-level regulation to maintain a fair, transparent, and balanced legal environment that supports innovation and competitiveness in the EU.

EJF TPLF Joint Statement - Nov 2024.pdf (335.8 KiB)

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