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Victims of Brazil’s ‘sinking city’ to have case heard in the Netherlands

Victims of Brazil’s ‘sinking city’ to have case heard in the Netherlands

Communities lost to damage caused by salt mines in Northern Brazil are celebrating after securing the right to sue petrochemical company Braskem in the Dutch courts.

The claimants, who have seen their homes collapse and neighbourhoods disappear beyond repair in the municipality of Maceió, Alagoas due to the nature of Braskem’s mining are one step closer to justice.

Represented by global law firm Pogust Goodhead and local co-counsel Lemstra Van der Korst, they will now have their case for compensation assessed in the Dutch courts after Braskem S.A, the largest petro-chemical company in Brazil, failed to offer adequate and fair redress.

Residents of the area have watched in horror as their community has been hit by small earthquakes caused by nearby mining for salt underground for over four decades. Many have been evacuated to escape the tumbling walls, buildings and businesses after the structures built on top of now unsafe land threaten to topple further. While few others remain – resolute not to accept small sums of money offered by Braskem to relocate.

The exodus and crumbling of buildings are now evident by the ghost-town like images of the neighbourhoods which were once home to hundreds of small businesses. Braskem have offered what lawyers say are unfair sums of compensation after being obliged to remove families from the ‘red’ danger zones in the area – but have failed to accept liability.

Furthermore, the company’s ‘moral damages’ offers have been made on a per-household rather than on a per person basis and have equated to the same as the value of lost luggage by an airline in Brazil or less, according to caselaw from Brazilian Courts.

Several of the claimants attended the hearing in May in Rotterdam where lawyers argued that it is necessary to litigate against Braskem in the Dutch courts where the company have their European headquarters.

Maria Rosangela Ferreria Da Silva, 58, attended and told the court she and her family had lost their sense of identity when her neighbourhood crumbled – and she and her family were forced to move away. She lost her mum shortly afterwards and has been fighting for justice ever since.

She said: “I would say justice has been done. Thank God, I wake up with this news; I will be the happiest woman in the world, it will be my best gift. After being alive, that’s it. That the God I trust has never abandoned me. So, I would say ‘justice has been done’, and thank God.”

The ruling rejected all of Braskem’s arguments against jurisdiction in the Dutch Courts – and an application to appeal. The court stated: “The claims against both Braskem SA and the Braskem NL entities have a delictual basis. In the main proceedings, in addition to Braskem SA, the Braskem NL entities, as part of the Braskem group, were held jointly and severally liable for the (same) damaging consequences of the earthquakes (as a result of mining activities) on the basis of the environmental liability law in general and the doctrine of indirect polluter’s liability in particular, according to plaintiffs in Brazil. In this sense, the claims against the Braskem NL entities on the one hand and Braskem SA on the other are inextricably linked.”

It held: “The Braskem group, and therewith Braskem SA as top-holding of the group, has chosen to locate the entities that take the financial decisions, and its European headquarters, in Rotterdam. Against this background, Braskem SA could reasonably foresee that, if not only these entities but also herself – as top-holding – were to be sued, this could happen before this Court.

The jurisdictional success is the latest in a run of cases for lawyers at Pogust Goodhead – who recently won an appeal to have the case of 200,000 victims of Brazil’s worst environmental disaster, the Mariana dam disaster, litigated in the UK courts. They have also secured settlements in relation to VW and British Airways claimants.

Now the claim has been accepted to be heard in the Netherlands, the case is expected to enter the merits phase where liability is established.

Partner at Pogust Goodhead Marc Krestin said: “Taking this case to the Dutch courts is about getting justice for the people who have lost everything as a result of the mining activities of Braskem. They have lost their homes, their community and their sense of identity due to this large corporation taking what it wants from the land and not giving a second thought to the environment and people around them that it may harm.

“We are here to see that this does not keep happening. We now urge Braskem to take note of this ruling, stop denying responsibility for its actions and do the right thing by all those that have been harmed.”

Pogust Goodhead pursues the case in partnership with law firms Neves Macieywski, Garcia e Advogados Associados, Omena Advocacia, Araújo e Máximo Advogados Associados, and Lemstra Van der Korst.

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Apex Group Ltd Selected to Support Seven Stars Legal Group Ltd’s Pioneering Tokenised Litigation Fund in Dubai

By John Freund |

Apex Group Ltd (“Apex Group”), one of the world's largest fund administration and solutions providers, today announced it has been selected to provide fund administration and digital asset infrastructure for the anticipated Seven Stars Legal Group Ltd (“Seven Stars”) Tokenised Litigation Fund, a pioneering investment vehicle that will combine institutional-grade litigation finance with blockchain technology.

The proposed fund, targeting GBP 50-250 million in commitments with an anticipated first close of GBP 50 million by March 31, 2026, represents a significant innovation in alternative investments. Once launched, the tokenised structure is expected to reduce traditional investment minimums from GBP 1 million to GBP 50,000, making institutional-quality litigation finance accessible to a broader range of qualified investors.

Subject to regulatory approvals and successful fund structuring, Apex Group is positioned to provide comprehensive fund administration services, while its digital asset platform, Apex Digital 3.0 (including Tokeny), would handle the token issuance and management infrastructure. This dual capability positions Apex Group as the sole provider managing both traditional fund administration and digital asset components under one unified platform.

Upon launch, Seven Stars will act as Investment Manager responsible for portfolio selection and management.

“Our selection to support Seven Stars' innovative fund structure exemplifies our commitment to bridging traditional finance with digital innovation,” said Agnes Mazurek, Global Head of Digital Assets at Apex Group. “By providing both conventional fund administration and tokenisation infrastructure, we're positioned to help fund managers unlock new distribution channels and operational efficiencies while maintaining institutional-grade governance and compliance standards.”

Offering up to a capped 16% annual return backed by diversified UK litigation portfolios, Seven Stars brings significant experience to the venture, having already deployed over GBP 44 million in UK litigation finance and funded more than 56,000 legal claims with a proven track record of performance, together with a team which includes leading Silk, Louis Doyle KC, who sits on the board and Advisory Committee at Seven Stars.

“Apex Group's expertise in both traditional fund administration and digital assets makes them the ideal partner for this groundbreaking initiative,” said Leon Clarance, Chief Strategy Officer at Seven Stars. "Their infrastructure will enable us to deliver the operational efficiency gains of tokenisation while maintaining the rigorous compliance and reporting standards our institutional investors expect.”

Mazurek added: “We are pleased to be supporting Seven Stars in this groundbreaking project. Our mission at Apex Group is to help clients bridge the TradFi and DeFi universes and this project perfectly represents this connectivity.”

Planned Partnership Capabilities

The anticipated partnership would leverage several key Apex Group capabilities:

  • Fund Administration: NAV calculation, investor services, and regulatory reporting 
  • Digital Asset Infrastructure: Token issuance, custody, and lifecycle management via Apex Digital 3.0
  • Regulatory Compliance: Full regulatory oversight and compliance monitoring 
  • Investor Onboarding: Streamlined KYC/AML processes for both traditional and digital investors

The proposed tokenised structure would enable secondary trading after a 6-month lock-in period, providing liquidity options traditionally unavailable in litigation finance funds. Smart contract automation is projected to reduce administrative costs by up to 90%, with anticipated savings passed through to investors.

This announcement follows Apex Group's recent expansion of its digital asset capabilities in the DIFC, positioning the firm as a leader in supporting the convergence of traditional finance and blockchain technology in the Middle East's premier financial hub.

About Apex Group

Apex Group is dedicated to driving positive change in financial services while supporting the growth and ambitions of asset managers, allocators, financial institutions, and family offices. Established in Bermuda in 2003, the Group has continually disrupted the industry through its investment in innovation and talent.

Today, Apex Group sets the pace in fund and asset servicing and stands out for its unique single-source solution and unified cross asset-class platform which supports the entire value chain, harnesses leading innovative technology, and benefits from cross-jurisdictional expertise delivered by a long-standing management team and over 13,000 highly integrated professionals.   

Apex Group leads the industry with a broad and unmatched range of services, including capital raising, business and corporate management, fund and investor administration, portfolio and investment administration, ESG, capital markets and transactions support. These services are tailored to each client and are delivered both at the Group level and via specialist subsidiary brands.

The Apex Foundation, a not-for-profit entity, is the Group’s passionate commitment to empower sustainable change. 

About Seven Stars Legal

Seven Stars Legal is a specialist litigation finance provider focused on high-volume, precedent-based UK consumer claims. Founded by a team with over GBP 380 million in litigation finance experience, the company provides institutional investors with access to uncorrelated, asset-backed returns through secured lending to regulated UK law firms. Seven Stars has funded over 56,000 claims since 2022, maintaining a zero-default track record through its multi-layered security framework and AI-enhanced due diligence processes

ILFA Welcomes Commissioner McGrath’s Rejection of EU Regulation for Third-Party Litigation Funding

By John Freund |

On 18 November 2025, European Commissioner for Justice Michael McGrath closed the final meeting of the EU’s High-Level Forum on Justice for Growth with a clear statement that the Commission does not plan new legislation on Third Party Litigation Funding (TPLF). 

He added that Forum participants also indicated that there is no need to further regulate third-party litigation funding.

Instead, Commissioner McGrath said the Commission will prioritise monitoring the implementation of the Representative Actions Directive (RAD) over any new legislative proposals. 

(video from 2.32 here). 

Paul Kong, Executive Director of the International Legal Finance Association (ILFA), said:  “We’re delighted to see Commissioner McGrath’s clear statement that EU regulation for third-party litigation funding is not planned. This appears to close any talk of the need for new regulation, which was completely without evidence and created considerable uncertainty for the sector.

Over several years, ILFA has consistently made the case that litigation funding plays a critical role in ensuring European businesses and consumers can access justice without financial limitations and are not disadvantaged against larger and financially stronger defendants. New legislation would have choked off the availability of financial support to level the playing field for claimants. 

We will continue to work closely with the Commission to share the experiences of our members on the implementation of the RAD across the EU, ensuring it also works for claimants in consumer group actions facing defendants with deep pockets.”

About ILFA

The International Legal Finance Association (ILFA) represents the global commercial legal finance community, and its mission is to engage, educate and influence legislative, regulatory and judicial landscapes as the global voice of the commercial legal finance industry. It is the only global association of commercial legal finance companies and is an independent, non-profit trade association promoting the highest standards of operation and service for the commercial legal finance sector. ILFA has local chapter representation around the world. For more information, visit www.ilfa.com or @ILFA_Official. 

About the High-Level Forum on Justice for Growth

European Commissioner for Justice Michael McGrath launched the High-Level Forum on Justice for Growth in March 2025 to bring together legal industry experts to “focus on and discuss together how justice policies can contribute to – and further support – European competitiveness and growth”. The final meeting of the Forum took place on 18 November 2025, in Brussels. 

Pogust Goodhead Appoints Jonathan Edward Wheeler as Partner and Head of Mariana Litigation

By John Freund |

Pogust Goodhead law firm has appointed Jonathan Edward Wheeler as a partner and Head of Mariana Litigation, adding heavyweight firepower to the team driving one of the largest group claims in English legal history following the firm’s landmark liability win against BHP in the English courts.

Jonathan joins Pogust Goodhead from Morrison Foerster in London, where he was a leading commercial litigation partner, having served for seven years as office co-managing partner and for 15 years as Head of Litigation. A specialist in complex, cross-border disputes, Jonathan has extensive experience acting in high-value commercial litigation, civil fraud and asset tracing, international trust disputes, contentious insolvency and investigations across multiple jurisdictions.

In his new role, Jonathan will assume strategic leadership of the proceedings arising from the Mariana dam disaster against mining giant BHP, overseeing the continued development of the case into the damages phase and working closely with colleagues in Brazil, the UK, the Netherlands and beyond.

Howard Morris, Chairman at Pogust Goodhead said: “Jonathan is a heavyweight addition to Pogust Goodhead and to our Mariana team. His track record in running some of the most complex cross-border disputes in the English courts, together with his leadership experience, make him exactly the kind of senior figure we need after our historic liability victory. Our clients will benefit enormously from his expertise and judgment.”

Jonathan Wheeler said: “It is a privilege to join Pogust Goodhead at such a pivotal moment in the Mariana case. The recent liability judgment is a watershed for access to justice and corporate accountability. I am honoured to help lead the next phase of this extraordinary litigation and to work alongside a team that has shown such determination in seeking justice for hundreds of thousands of victims.”

Alicia Alinia, CEO at Pogust Goodhead said: “Bringing in lawyers of Jonathan’s calibre is a strategic choice. As we expand the depth and breadth of our disputes practice globally, we are investing in senior talent who can help us deliver justice at scale for our clients and build an even more resilient firm.”

The Mariana proceedings in England involve over 600,000 of Brazilian individuals, businesses, municipalities, religious institutions and Indigenous communities affected by the 2015 Fundão dam collapse in Minas Gerais, Brazil. Following the English court’s decision on liability on the 14th of November 2025, the case will now move into the next stage focused on damages and the quantification of losses on an unprecedented scale.