The Challenges of Third-Party Litigation Funding in Judicial System of US, UK and Iran

Document Type : Original Article


1 Professor/ University

2 Student/ University


Nowadays, the high costs of litigation (attorney's fees, expert's fees and court costs, etc.), known as a challenge to access to justice, have encouraged the parties to seek justice and truth by using a variety of methods, such as third-party litigation funding to finance these costs. In this way, the investor, who is not originally a party to the suit, finances the party’s litigation costs in return for a share of the proceeds of the court verdict or settlement. Despite the benefits of third party litigation funding mentioned by proponents, it is essential to identify the challenges that have involved the judiciary and players in this industry. The lack of proper regulation, overall increase in litigation and particular frivolous suits, ideal rather than the reality of the "development of access to justice" as an important achievement of this entity, commoditization of justice, threat to the integrity of the judicial system, are the challenges of this entity in US and UK judicial system. In Iran, in addition to some of the above problems, authorizing the third-party litigation funding before preparation may lead to increase in the problems in the justice system.


Main Subjects

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1 .رحیمی، حبیباالله و خسرو محمودزاده، مبانی نظریه اعتبـار عقـد احتمـالی (مطالعـه
تطبیقی در حقوق ایران و مصر)، پژوهشهای حقوق تطبیقی، دوره 18 ،تابستان 1393،
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