Congratulations to Washington and Lee law professor Victoria Shannon! Professor Shannon’s forthcoming work Harmonizing Third-Party Litigation Funding Regulation is named among the top ten papers in the SSRN Negotiation & Dispute Resolution eJournal. The paper will appear in the Cardozo Law Review in the coming academic year.
From the abstract:
Third-party litigation funding is no longer a new phenomenon, but rather is a mainstay in global commerce and dispute resolution. Yet, many observers still consider the third-party litigation funding industry as a “wild west” due to a lack of regulation in many countries. Some of the countries that do have regulations suffer from a lack of uniformity, particularly countries with sub-national political divisions (e.g., states, provinces, territories, etc.) that have conflicting laws. The United States is an example of a country that has a confusing patchwork of laws on third-party litigation funding. This article proposes harmonizing the regulatory framework for third-party litigation funding in the United States by: (1) identifying the three categories of interactions – transactional, procedural, and ethical – that make up third-party litigation funding; (2) proposing areas for regulation within those three categories; and (3) linking those regulations together through cross-references to create a harmonized regulatory framework. This approach will weave a regulatory “safety net” of minimum standards for behaviors and interactions of the players in third-party litigation funding arrangements to ensure the integrity of the dispute resolution system.
Prof. Shannon Presents at the Institute for Transnational Arbitration (ITA) Annual Workshop and Joins the ITA Academic Council
On Thursday, June 19, 2014, Professor Victoria Shannon served as a panelist on a panel about third-party funding at the 26th Annual Workshop of the Institute for Transnational Arbitration (ITA) in Dallas, TX. The workshop, entitled “Modern Enforcement of Arbitral Awards: ‘Show Me the Money,’” is widely recognized as the leading conference in the field.
Professor Shannon has also accepted an invitation to join the prestigious ITA Academic Council, made up of the top academics in the field of international arbitration from around the globe.
Professor Shannon Presents on Third-Party Litigation Funding at Wake Forest University School of Law
On Thursday, February 27, 2014 Professor Victoria Shannon presented a paper entitled The Three Regulatory Facets of Third-Party Litigation Funding at Wake Forest University School of Law as part of the Junior Faculty Exchange Program. Professor Shannon’s paper identifies the three systems that make up third-party litigation funding – the transactional, procedural, and ethical systems – and suggests a cross-referenced regulatory regime within and across those three facets as a reasonable approach to regulating the industry holistically.
On February 12-13, 2014, Professor Victoria Shannon participated in the first meeting of the Third-Party Funding Task Force, jointly organized by the International Council for Commercial Arbitration (ICCA) and Queen Mary, University of London. The meeting was held on the campus of Queen Mary School of Law in London.
The Third Party Funding Task Force will systematically study and make recommendations regarding the procedures, ethics, and related policy issues relating to third-party funding in international arbitration. The Task Force is comprised of representatives drawn from among all relevant stakeholders and interested members of ICCA. Its work will be presented in a series of White Papers and a number of public colloquia to be hosted at Queen Mary’s Centre for Commercial Law Studies in London.
The second meeting of the Task Force will be held in conjunction with the ICCA Biennial Congress in Miami, Florida on April 6-9, 2014.
Information about the work of the Task Force and a list of its members is available here.
Prof. Shannon Presents at George Washington University Law School and Participates in C-LEAF Workshop
On February 6, 2014, Professor Victoria Shannon presented a paper entitled A Systems-Based Approach to Regulating Third-Party Litigation Funding as the featured guest speaker at a George Washington University Law School International and Comparative Law Colloquium. Professor Shannon’s paper identifies the three systems that make up third-party litigation funding – the transactional, procedural, and ethical systems – and suggests cross-functional regulations within those systems as a way to regulate the industry holistically. Professor Shannon was selected to present an earlier draft of this paper at the Junior International Law Scholars Association (JILSA) Annual Meeting hosted by the University of California at Berkeley on January 31, 2014.
Professor Shannon also participated as a participant in the George Washington University Law School, Center for Law, Economics & Finance (C-LEAF) Fourth Annual Junior Faculty Business and Financial Law Workshop on February 7-8, 2014. The C-LEAF Junior Faculty Workshop supports and recognizes the work of young legal scholars in accounting, banking, bankruptcy, corporations, economics, finance, and securities, while promoting interaction among them and selected senior faculty.
Find more of Professor Shannon’s work here.
Professors Vinayagamoorthy and Shannon Presented at ASIL’s International Economic Law Interest Group Junior Scholars Research Forum
On Friday, November 22, Professors Kish Vinayagamoorthy and Victoria Shannon presented their scholarship at the American Society of International Law (ASIL) International Economic Law Interest Group Junior Scholars Research Forum hosted by the University of Pennsylvania School of Law and the Wharton School. Their proposals were selected through a competitive process by members of the ASIL International Economic Law Interest Group, and senior scholars in the field commented on their work.
Professor Vinayagamoorthy presented on improving corporate social responsibility in global supply chains. Professor Shannon presented on optimal dispute systems for third-party funding.
On Thursday and Friday, November 7 and 8, the Frances Lewis Law Center at Washington and Lee School of Law is hosting the first-ever Works-in-Progress Roundtable for Third-Party Funding Scholars for scholars who write in the area of third-party funding of litigation and arbitration.
Third-party funding is a phenomenon by which an outside entity financially supports the legal representation of a party’s claim in exchange for the promise of a share of the proceeds if the party recovers any money. On the defense-side, the funding arrangement typically involves the defendant making payments (similar to an insurance premium) to the funder in exchange for the funder paying the defendant’s legal expenses in the case.
Over the next two days, eight eminent scholars will present works-in-progress and share feedback on wide-ranging and cutting-edge topics in the field of third-party funding. Here are their names and topics:
- Nora Freeman Engstrom of Stanford Law School: “Lawyer Lending: Costs and Consequences”
- Anthony J. Sebok of the Benjamin N. Cardozo School of Law: “What Do We Talk About When We Talk About Control?”
- Brian T. Fitzpatrick of Vanderbilt Law School: “Should Third-Party Litigation Financing Come to Class Actions?”
- Manuel A. Gómez of Florida International University College of Law: “Alternative Litigation Financing Heads South: The Potential for and obstacles to third party funding in Latin America”
- Selvyn Seidel of Fulbrook Capital Management LLC: “Buying and Selling Claims – Why Not?”
- Maya Steinitz of the University of Iowa College of Law: “Incorporating Legal Claims”
- Benjamin Spencer of Washington and Lee School of Law: “The Law of Litigation Finance”
- Victoria Shannon of Washington and Lee School of Law: “Optimal Dispute Systems for Third-Party Funding”
Washington and Lee law professors Susan Franck and Victoria Shannon presented recently at the prestigious Investment Treaty Forum hosted by the British Institute of International and Comparative Law in London. The forum focused on the economic and financial aspects underpinning the investor-state arbitration system, an area that has traditionally been overlooked, according to event organizers.
During the forum, Prof. Franck presented as part of a panel exploring costs, including the cost of arbitral institutions, fees of arbitrators and counsel, the allocations of costs in arbitral awards and the considerations that should be factored in when making such decisions. Prof. Franck gave a similar presentation the week before at the University of Bern and the World Trade Institute.
Prof. Shannon presented during the forum on third party funding. Her panel focused generally on systemic issues, asking whether a system organized around the resolution of privately financed claims is likely to achieve wider economic and political goals or whether a system by which one may seek ad hoc annulment as of right is likely to lead to create incentives for expeditious dispute settlement.