Litigation funding changes stoke fears of US-style litigation in the UK

Insurers need to be aware of the shifting legal landscapes and deal with increased use of litigation funding and forum shopping over the coming years

COURTS in England and Wales hold a proud reputation for fair and balanced treatment of commercial disputes. Unlike in some states of the US, where the judicial landscape is increasingly characterised by nuclear verdicts, social inflation and no-injury lawsuits, creating a notably hostile environment for large corporates and defendants, prompting the American Tort Reform Association to coin the phrase “hellhole jurisdiction”.