Financial Issues of Third Party Litigation Funding in Anglo‑Saxon Law and in the Russian Federation

Abstract

The paper is devoted to the issues of legal regulation of litigation funding by persons not directly involved in the case. The study is based on the case law of the British Commonwealth and the Russian Federation. The historical aspects of the formation of the institute and the champerty doctrine are considered, in which such financing is disclosed in two aspects: a)  support and encouragement of the process itself, when in its negative connotation control or support of the dispute or the parties leads to a violation of common law; b)  a percentage of the price of the claim without material interest in the dispute.The paper examines the issues of reimbursement of court costs in Russia, England and Ireland, and, considering the case of the United States, starts a discussion about the possibility and necessity of disclosing information about the sources of litigation funding. The question is raised about the need to extend the financial confidentiality regime to relations on litigation funding without any exceptions. Following the cases of court practice in England and Ireland, the author raises questions about the legal status and interest of the procedural sponsor. It is argued that the rhetoric about the role of the court may be lofty, but the reasoning does not reach such heights if access to justice is blocked due to lack of funds. Litigation funding and the assignment of rights allow low-income parties to achieve a certain degree of justice; it can be recognized that justice is imperfect, but better than none at all.