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Third-Party Funding in International Arbitra

Third-Party Funding in International Arbitration

Lisa Bench Nieuwveld, Victoria Shannon Sahani
2017
T3 255 pages · about 4h 15m to read OL28778941Wgoodreads

The most cited treatment of funded claims and their regulation.

Summary

The reference has not verified this book in detail; the summary states only what the title, author and subject establish.

Lisa Bench Nieuwveld and Victoria Shannon Sahani wrote this on the use of third-party funding in international arbitration, covering both commercial and investment treaty arbitration across jurisdictions.

The subject matter includes the funding industry and its structures; the treatment of funding under the laws of the major arbitration jurisdictions including England, the United States, Australia, Germany, the Netherlands and several Asian centres; the specific issues that funding raises in arbitration, including disclosure of the funder's identity and the resulting conflict checks for arbitrators, the effect on security for costs applications, the allocation of costs at the conclusion, and privilege over communications with the funder; and the particular questions arising in investment treaty cases where a funded claimant sues a state.

The reference has not verified this book in detail. Readers should note that arbitral institutions have since adopted disclosure rules requiring parties to identify funders, and that the treatment of funding in investment treaty arbitration has attracted substantial policy attention including proposals to restrict it, both of which postdate this edition.

Key takeaways 6

  1. Third-party funding in arbitration raises disclosure questions because arbitrators must check conflicts against the funder as well as the parties.
  2. Funded claimants face security for costs applications more frequently, since the funder's liability for adverse costs is uncertain.
  3. Jurisdictions differ substantially in whether and how they permit funding, which matters because the seat determines the applicable law.
  4. Privilege over communications between claimant and funder is not uniformly protected across jurisdictions.
  5. Investment treaty arbitration funded by third parties raises policy questions because the respondent is a state using public funds.
  6. Arbitral institutions have since adopted funder disclosure rules that postdate this edition.

Who should read it

Arbitration practitioners and funders working across jurisdictions, with the caveat that this entry is not verified in detail and the rules have developed.

Where it sits in the reference 2

Assets
Assets

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