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Case Developments Commercial

Disclosure in the Spotlight for Patent Cases with Third-Party Funding

The topic of disclosure in litigation where there is the presence of third-party funding has been a hot topic in several jurisdictions, with defendants strongly arguing that there needs to be an increased level of transparency when it comes to litigation funding.

In a recent development, outlined in The National Law Review, a judge in the District of Delaware has ruled that parties in patent litigation cases must comply with enhanced Rule 7.1 disclosures, specifically those required around funding arrangements. Chief Judge Connolly, in the case of Longbeam Technologies v. Amazon.com, stated concerns around the plaintiff’s lack of disclosure for its third-party funding and stayed the case to allow for the defendant to pursue discovery on Longbeam’s litigation funding.

This latest example of a court mandating further disclosure around third-party funding agreements is unlikely to be the last, and as the use of litigation funding increases around the globe, both funders and litigants should keep a close eye on whether courts are mandating a heightened degree of transparency.

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Case Developments Comercial

Argentina Seeks UK Stay on $16 B YPF Judgment Backed by Burford

By John Freund |

Even as a U.S. court ordered the hand-over of YPF shares, Argentina raced to London’s High Court to stall UK recognition of the same multi-billion award.

An article in Reuters recounts how government counsel told the court that enforcing the U.S. judgment before appellate review would cause no prejudice because “there are no assets here” to seize. The Burford-funded plaintiffs countered that Argentina’s bid is a delay tactic and asked for a £2.0 billion security if any pause is granted, noting interest is compounding at US $2.5 million per day.

The duelling venues highlight Burford’s trans-Atlantic enforcement campaign and the growing strategic sophistication of funders in sovereign disputes. London has become the favoured battleground for enforcing U.S. commercial awards against states, thanks to Section 101 of the 2006 Arbitration Act and the city’s deep asset pool.

For funders, the hearing underscores the need to pursue parallel forums to pressure recalcitrant states—especially when holdings (like YPF shares) sit outside the U.S. A reserved security order could significantly raise Argentina’s cost of delay and signal to other sovereign debtors that London courts will not rubber-stamp tactical pauses. The outcome will be closely watched by hedge funds and litigation financiers eyeing distressed-sovereign opportunities.

Case Developments Comercial

Burford Keeps Control in Turkey Price-Fixing Antitrust Battle

By John Freund |

A federal magistrate in Chicago has handed Burford Capital a fresh victory in its effort to monetise Sysco-assigned antitrust claims against the U.S. turkey industry.

An article in Reuters reports that Judge Sunil Harjani rejected arguments from Tyson Foods, Perdue, Hormel and Butterball that Burford’s affiliate, Carina Ventures, lacked standing or offended public policy by pursuing the case despite never purchasing a single drumstick. Harjani’s opinion emphasised that Congress—not the courts—must decide whether third-party funding is permissible and found no evidence Carina or Burford had distorted the litigation. He also brushed aside a Sysco-centric fairness attack, noting that sophisticated businesses are free to structure their claims as they see fit.

The order is the latest twist in Burford’s multiyear protein-price saga. After investing US $140 million to bankroll Sysco’s chicken, pork and turkey cartel suits, the funder clashed with its client over settlement strategy, ultimately receiving the claims by assignment. With chicken and pork fights largely resolved, the turkey docket is now a bell-wether for whether funders can step directly into plaintiffs’ shoes when contracts allow.

For litigation financiers, Harjani’s ruling reinforces that properly drafted assignments can survive policy challenges, even in food-price cases that attract political scrutiny. The decision also undercuts insurer-driven narratives that funding itself inflates “social inflation.”

Case Developments Comercial

Burford Fights Argentina’s YPF Stay Bid in London

By John Freund |

Minority YPF shareholders Petersen Energia and Eton Park, bankrolled by Burford Capital, are chasing a U.S. $17 billion New York judgment against Argentina into the High Court of England and Wales. Buenos Aires has asked the court to halt enforcement while it appeals in the United States, arguing it holds no attachable UK assets and that creditors will suffer no prejudice.

Reuters details the claimants’ response: if a pause is granted, Argentina should post £2 billion security, roughly 10 percent of the outstanding award, to blunt daily interest accrual of about U.S. $2.5 million. The article underscores funders’ growing role in cross-border sovereign enforcement; Burford’s capital has already fueled a decade-long campaign spanning New York, Madrid and now London.

A London-court showdown would illustrate how litigation finance converts paper victories into real money, even against resistant sovereigns. A security order could tighten Argentina’s negotiating window and validate funders’ appetite for high-duration, multinational enforcement plays. Conversely, a lengthy stay with no bond would spotlight the risk that political defendants can still out-wait private capital—raising questions about how funders price sovereign risk going forward.