Bondholders in their hundreds have been indicating their support, or authorising proceedings, in respect of the litigation concerning Credit Suisse Group’s (CSG) Additional Tier (AT) 1 capital bonds. Are these claims viable?

A challenging situation is being played out in the US at the moment between funder and claimant. Entities affiliated with Burford Capital agreed to fund the antitrust claims of Sysco Corporation. On 14 December 2022, these affiliates were successful in submitting to an LCIA tribunal that an injunction should be put in place prohibiting Sysco from settling litigation that was the subject of the funding agreement. At first blush, preventing the client from controlling its own litigation appears to be putting the funder very deep in “champerty” waters.

In “follow on” competition litigation there is an assumption that half the battle is already won - but these recent outcomes demonstrate that the quantum exercise is all the more fundamental when it comes to the follow on cases. It should come as no surprise, therefore, that a litigation funder is going to need to spend considerable time understanding and challenging the quantum reports that are prepared in support of competition actions.