Litigation funder stymied as divorcing couple drop proceedings
A case highlighting the structural tension between funders’ financial interests and clients’ ability to settle: when both parties chose to end proceedings, the funder’s prospects of recovering the loan and accumulated interest were left in doubt — raising questions about exit clause enforceability.
Divorce is not a “blank cheque” for litigation, judge warns
A family court judge cautioned that the availability of litigation funding must not be allowed to transform divorce proceedings into open-ended, costs-insensitive disputes — directly challenging the commercial incentives that drive extended litigation for funders.