Claims against funders

Arkin v Borchard Lines Ltd, Zim Israel Navigation Company Ltd and others and Managers and Processors of Claims (Part 20 defendants) [2003] EWHC 2844 (Comm)

This was an application by the first and second to fourth defendants and the third and fifth Part 20 defendants by which they asked for orders for costs against the 11th Part 20 defendants, Managers and Processors of Claims (‘MPC’). Zim claimed that such an order was necessarily contingent upon any decision on the issues as to the incidence of costs as between the first defendant and the Part 20 defendants other than MPC. The application was based on the fact that MPC, a professional funding company, entered into a funding agreement with the claimant, Mr Arkin, whereby it funded the employment of expert witnesses, the preparation of their evidence and the organisation of the enormous quantities of documents which became necessary to investigate before the trial.