The rich are investing in third-party litigation, to help individuals fight back against big businesses
Investors in third-party litigation funds can expect to make handsome returns PA
Royal Bank of Scotland shareholders have accepted an 82p-a-share compensation offer and abandoned a lawsuit against the bank and its former directors. Analysts have said that their hands were forced once the deal was accepted by Trevor Hemmings, a shareholder and the owner of Preston North End football club, who had partly funded the case.
Claire Madden, the managing partner of Connection Capital, a private client investment business, says: “It demonstrates why an arm’s-length third-party litigation fund is to be recommended [as opposed to the money coming from someone directly involved in the action]. The law in England & Wales and other jurisdictions does not allow third parties to exert influence over proceedings or the claimant.”
Ms Madden has a vested interest; her company organised…