Katie Armstrong of The Judge (an independent insurance broker) attended the event as a guest speaker and provided attendees with a detailed insight into the funding & insurance options now available for insolvency claims.
There has been a rapid growth in litigation finance in the UK over the last few years and many new participants have entered the market. In an increasingly competitive market there is now a broad range of products available to insolvency practitioners and solicitors for insolvency claims including:
- Insurance Products to cover the opponent’s costs, disbursements, the insolvency practitioner’s fees or solicitors’ fees.
- Finance Products such as third-party funding, claims factoring (which involves an assignment of claims) and monetisation (where the funder purchases certain rights in a claim).
- “WIP Insurance” Products for law firms which can be taken out by the law firm when acting for the insolvency practitioner under a DBA or CFA agreement.
The availability of these products is particularly useful for insolvency cases where cash may be very limited, or where the insolvency practitioners or solicitors dealing with cases wish to spread risk.
Druces LLP have a dedicated insolvency and restructuring group with experience of using litigation finance for insolvency claims. Our work includes acting for insolvency practitioners under DBA, CFA agreements or recovery-based agreements to pursue insolvency claims. We can assist insolvency practitioners, banks and other lending institutions and stakeholders in exploring the products available and securing litigation finance for insolvency cases, where appropriate.
If you are interested in litigation finance options for insolvency claims or have any questions about funding, please contact Rachel Brown (Senior Associate) in our Dispute Resolution Team on 020 7638 9271 or by email at R.Brown@druces.com.