Highlights from Brown Rudnick’s Litigation Funding Conference 2024

A new salvo in the UK’s collective actions saga puts third-party funding in the spotlight. The Solicitors Regulation Authority (SRA) has criticized aspects of mass-consumer practices—specifically around funding and referral fees—raising uncomfortable questions for claimant firms and their financial backers. The latest flashpoint again involves Innsworth, the funder behind the long-running Mastercard litigation brought by class representative Walter Merricks CBE, where wrangling over settlement distribution and funder economics has spilled into public view.
An article in The Times reports that the watchdog sees “poor practices” in parts of the market and notes escalating tensions tied to the £200 million Mastercard settlement—well below the claim’s original £14 billion headline—prompting Innsworth’s threatened action over the deal’s terms. The piece underscores the funding dynamics now woven into virtually every major UK mass claim, from opt-out competition cases to data-privacy suits; the SRA’s framing suggests a harder regulatory edge on fee flows and governance in arrangements that align firms, funders and marketing affiliates.
Beyond the immediate case drama, two structural trends are converging. First, post-PACCAR contract examination has left funders and class reps renegotiating economics and disclosure with tribunals watching closely. Second, political and judicial appetite for “light-touch” oversight (rather than price caps) remains in flux, even as market size and claimant outreach expand.
If the SRA proceeds from cautionary statements to targeted enforcement, firms may re-paper referral arrangements and introduce additional ring-fencing around funder influence to avoid conflicts.
Apex Litigation Finance has announced the retirement of Stephen Allinson from his role as Head of Legal, marking the end of a formal leadership chapter but not his association with the litigation funder.
Stephen is a highly respected Solicitor and Licensed Insolvency Practitioner with more than 40 years’ experience in business law, insolvency and debt recovery. Over the course of his career, he has combined practice with thought leadership, lecturing widely on credit and insolvency matters and serving in senior regulatory and educational roles.
His distinguished career includes:
Stephen first joined Apex in 2019 as a consultant, before becoming Head of Legal in 2022. In that capacity he has been instrumental in guiding Apex’s legal strategy, strengthening its market position and ensuring the company’s commitment to fair, practical and client-focused litigation funding.
While he will be stepping down from the Head of Legal role, Stephen’s association with Apex will not end. He will continue to serve the business as a trusted consultant, providing invaluable expertise and support to the team and Apex’s clients.
Maurice Power, CEO of Apex Litigation Finance, said: “Stephen’s contribution to Apex has been exceptional. His legal expertise, combined with his deep understanding of insolvency and credit law, has helped shape Apex into the funder it is today. We are delighted that while he is stepping down from his formal role, we will continue to benefit from his counsel as a consultant. We thank him sincerely for his leadership and look forward to our continued collaboration.”
Tim Fallowfield, Apex Chairman wrote: “Apex would not be where it is today without Stephen’s contribution, his wide-ranging legal knowledge and passion for his work. He has mentored the legal team, led by example and been an integral member of the Apex Investment Committee. We wish him lots of luck for the next chapter and look forward to his future engagement with the Apex business. From all of us at Apex, a hearty thanks.”
Stephen commented: “It has been a privilege to be part of the Apex journey and contribute to the growth of the company. Access to justice has always been one of the guiding principles of my professional career and I look forward to the continuing growth of Apex and still playing my part, albeit in a different role.”
About Apex Litigation Finance
Apex Litigation Finance provides fast, fair and flexible funding solutions for small to mid-sized UK commercial disputes requiring between £10,000 and £750,000 of funding, on a non-recourse basis. By combining financial support with deep sector expertise, Apex enables access to justice for claimants while serving as a trusted partner to legal professionals and insolvency practitioners.
Pogust Goodhead has emphatically denied that it is controlled by litigation funders, insisting it retains full “forensic independence” in the high‑profile claim over the 2015 Mariana dam collapse.
As LFJ recently reported, the class action firm, representing hundreds of thousands of victims in a potential £36 billion lawsuit against mining giant BHP, is under scrutiny following the recent ousting of its co‑founder and chief executive, Tom Goodhead, at the behest of its primary financier, Gramercy Funds Management.
An article in The Law Society Gazette reports that Pogust Goodhead maintains it enjoys “forensic independence” from its principal backer. Opponents—including BHP and its counsel, Slaughter and May—have raised serious concerns about governance, questioning whether Gramercy now exerts undue influence over strategic decisions—an arrangement that could run foul of English and Welsh rules reserving case control for qualified lawyers.
In response, Pogust Goodhead reiterated that it remains “fully independent, with complete control over the strategy and direction of every case” and that its renewed governance structures strengthen its capacity to act in its clients’ best interests. Gramercy, for its part, denied any ownership or management control of the firm.
Looking ahead, this unfolding governance dispute raises critical questions for the future of litigation funding: How will courts view funder-linked control over claimant law firms? Could the outcome limit or reshape access-to-justice models reliant on third-party financing? As this case nears a key ruling, the legal funding industry may be on the cusp of a regulatory watershed.