Renewed Call for Proportionate EU-level Action on Professional Third-Party Litigation Funding(TPLF)

We are strongly committed to fair and impartial civil justice systems, and we are calling on the European Commission to introduce binding, harmonized EU-level regulations on third-party litigation funding (TPLF) — a largely unregulated industry where private investors fund lawsuits in exchange for a share of any awarded compensation. With over 300 for-profit funders operating in the EU under opaque, confidential arrangements, we believe the sector poses serious risks including conflicts of interest, distorted litigation incentives, and erosion of trust in justice systems, with potential economic costs to European businesses estimated at up to €84.8 billion. Building on the European Parliament's 2022 Resolution and the Commission's own 2025 mapping study, we are urging the EU to establish proportionate rules covering licensing, transparency, cost responsibility, and fee limits — measures we firmly believe would not restrict access to justice, but rather make funding arrangements fairer, more predictable, and better aligned with claimants' interests across the Single Market. We stand ready to contribute data, experience, and technical input to support the Commission's evidence-gathering process and remain convinced that a proportionate, harmonized EU response will strengthen both competitiveness and trust in EU justice and financial systems.

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