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RORO CAR SHIPPERS FAIL IN THEIR ATTEMPT TO LAUNCH UK SUPREME COURT APPEAL OF CARTEL CLASS ACTION CERTIFICATION

June 2, 2023

RORO CAR SHIPPERS FAIL IN THEIR ATTEMPT TO LAUNCH UK SUPREME COURT APPEAL OF CARTEL CLASS ACTION CERTIFICATION

In a huge boost to the hopes of millions of UK consumers who stand to gain from a Woodsford-funded collective action against five large shipping companies who engaged in an anticompetitive cartel, the UK Supreme Court announced yesterday that it had refused to allow a further appeal against certification of the collective action to proceed.

In 2018, the European Commission (EC) fined the international shipping companies a total of EUR 395 million for their participation in a cartel between 18 October 2006 and 6 September 2012.

The EC found that the companies fixed prices, rigged bids and allocated the market for roll-on, roll-off (“RoRo”) transport of vehicles into Europe. According to the EC, the companies had agreed to maintain the status quo in the market and to respect each other’s ongoing business on certain routes, or with certain customers, by quoting artificially high prices or not quoting at all in tenders for vehicle manufacturers.

The claim, which seeks compensation significantly in excess of £100 million, is one of the first to be heard in the UK’s Competition Appeal Tribunal (CAT), which ruled earlier in 2022 that a collective proceedings order (CPO) could be launched on behalf of U.K. consumers and businesses that allegedly paid inflated prices due to the actions of the cartel.

Affected cars include passenger cars and light commercial vehicles such as vans, which represent over 80% of all new car and van purchases in the UK. Examples of affected cars include Ford, Vauxhall, Volkswagen, Peugeot, BMW, Mercedes, Nissan, Toyota, Citroën and Renault.

The CAT action was filed on behalf of the class by consumer rights champion, Mark McLaren. Financed by Woodsford, McLaren is represented by Sarah Ford KC, Emma Mockford and Sarah O’Keeffe of Brick Court Chambers, instructed by Scott + Scott UK.

Woodsford’s Chief Executive Officer, Steven Friel commented: “This is an important milestone for this case specifically, and also for promotion of collective redress in the UK more generally. Woodsford is dedicated to holding corporate wrongdoers to account and helping deliver access to justice. We are proud to support Mr. McLaren, who is now much closer to obtaining compensation for the millions of affected car purchasers.”

Hugh Tait, the Senior Investment Officer leading the case for Woodsford, commented: “This is a great success for consumer redress in the UK, and I am proud of Woodsford’s significant part in it. Woodsford is now clearly established as the most successful ESG and litigation finance business in this area of UK collective redress. My only regret is that big corporate defendants continue to use their significant legal and financial resource to fight technical arguments, with the goal of delaying compensation payments to consumers. “

Impacted customers can find further information about the case at https://www.cardeliverycharges.com/

A detailed case study can be found here.

About Woodsford

Since 2010 Woodsford has been helping to hold corporates to account for their egregious behaviour. Whether it is helping consumers achieve collective redress, ensuring that inventors and universities are properly compensated when Big Tech infringes intellectual property rights, or helping shareholders in collaborative, escalated engagement up to and including litigation with listed companies, Woodsford is committed to ESG and access to justice. Working with most of the world’s leading law firms, our strength lies in the combination of our legal experience, investment, business and technical expertise, together with significant financial resources.

Interviews, photos and biographies available on request.

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Pravati Capital Partners with SEI to Bring Litigation Finance to Registered Investment Advisors

By John Freund |

One of the oldest litigation finance firms in the United States has announced a strategic partnership aimed at expanding mainstream investor access to the asset class.

As reported by Business Wire via Yahoo Finance, Scottsdale-based Pravati Capital has partnered with financial services firm SEI to provide registered investment advisors with structured access to litigation finance as an alternative investment option. The collaboration will leverage SEI's distribution platform to make litigation funding opportunities available within advisor portfolios.

The partnership reflects growing institutional interest in litigation finance as an alternative asset class. Historically, litigation funding has been difficult for mainstream financial advisors to access on behalf of their clients, with the market largely dominated by specialized funds and institutional investors. The Pravati-SEI arrangement seeks to bridge that gap by creating a more accessible pathway for advisors seeking diversification through non-correlated investments.

The announcement underscores a broader industry shift as litigation finance continues to move from a niche strategy toward greater acceptance within traditional wealth management channels. As the global litigation funding market grows — projected to reach over $25 billion in 2026 — partnerships like this one may signal a new phase of institutional adoption.

Announcements Commercial

Nera Capital Secures £50M Asset Mandate

By John Freund |

Nera Capital has strengthened its litigation finance platform with the onboarding of a new South America-based funding partner committing £50 million across litigation finance and legal assets. The mandate not only expands Nera’s available capital base but also sees the firm formally appointed as asset manager for the new funds, reinforcing its growing role as both originator and portfolio steward within the UK litigation market.

In a press release, Nera Capital announced that the £50 million commitment will be deployed across a range of UK-based claims, with the firm responsible for underwriting, structuring, capital deployment, and ongoing portfolio management. The capital will be allocated in line with Nera’s established investment criteria and risk management framework, targeting carefully selected legal assets. The funding partner, described as having an “extensive track record” in high-yielding special situations investments uncorrelated to traditional asset classes, brings prior experience in litigation finance across South America.

Robin Grant, CFO at Nera Capital, emphasized that the partnership aligns with the firm’s disciplined approach to litigation finance and enhances its ability to deliver attractive, risk-adjusted returns to investors. Aisling Byrne, Director at Nera Capital, highlighted the funder’s blend of financial and legal expertise, noting that the asset manager appointment reflects international confidence in Nera’s ability to identify viable claims and manage them through to resolution.

Established in 2011 and headquartered in Dublin, with offices in Manchester and Holland, Nera Capital provides law firm lending across consumer and commercial claim portfolios and is a member of the European Litigation Funders Association.

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Longford Capital Doubles Down to Support American Innovation

By John Freund |

Longford Capital Management, LP today announced that it has launched the Longford Capital American Innovation Initiative to help American inventors protect their legal rights, access the U.S. legal system, and advance American innovation.

America is the greatest country in the world and Americans are achieving advancements in every facet of our lives, including healthcare, artificial intelligence, clean energy, technology, aerospace, cybersecurity, transportation, wireless communications, and many others. Intellectual property is critical to American exceptionalism and national security. American inventors are systematically the victims of intellectual property theft at the hands of foreign and domestic bad actors. Well-financed multi-national corporations steal the innovations of small and medium size American companies leaving them will little options to protect their legal rights in the expensive U.S. legal system. For more than a decade, Longford has been supporting American inventors, investing approximately $500 million to support nearly 100 intellectual property owners trying to defend their assets. These efforts have resulted in recoveries of more than $1.5 billion from patent infringers.

Take, for example, Malcolm Beyer, Jr., a graduate of the United States Naval Academy, retired Captain in the U.S. Marines, and small business owner. His company developed a communication system that increases safety and operational effectiveness for the U.S. military, law enforcement, and first responders. When his patented technology was infringed by foreign companies, he didn’t have the money to defend his legal rights in court. He turned to Longford Capital. Longford provided millions of dollars to pay his legal fees, which allowed Mr. Beyer to successfully defend his legal rights and protect his innovation. Without access to litigation finance, Malcolm Beyer’s company would not have survived.

Today, we are ramping up our efforts to support our country, American inventors, small and medium size businesses, and the advancement of American exceptionalism. The ability to protect innovation through the patent system and the U.S. legal system is essential to attract investment and encourage the best and brightest Americans to dedicate their careers to improving our lives. Longford’s funding empowers American innovation and makes America stronger. Members of Longford’s legal team are perennially recognized as leading IP strategists with an established record of developing and implementing world-class IP value creation programs for American companies.

About Longford Capital

Longford Capital is a leading private investment company that provides capital to leading law firms, public and private companies, research universities, government agencies, and other entities involved in large-scale, commercial legal disputes. Longford was one of the first litigation funds in the United States and is among the world’s largest litigation finance companies with more than $1.2 billion in assets under management. Typically, Longford funds attorneys’ fees and other costs necessary to pursue meritorious legal claims in return for a share of a favorable settlement or award. The firm manages a diversified portfolio, and considers investments in subject matter areas where it has developed considerable expertise, including, business-to-business contract claims, antitrust and trade regulation claims, intellectual property claims (including patent, trademark, copyright, and trade secret), fiduciary duty claims, fraud claims, claims in bankruptcy and liquidation, domestic and international arbitrations, claim monetization, insurance matters, and a variety of others.