- Explains that the impact of the PACCAR decision may be short-lived.
- Considers other developments important to practitioners , including the rise of generative AI.
The past 12 months saw a number of significant developments relating to or impacting international arbitration.
The decision in R (on the application of PACCAR Inc and others ) v Competition Appeal Tribunal and others [2023] UKSC 28, in which the Supreme Court held that litigation funding agreements constitute damages-based agreements and as such are unenforceable unless they satisfy certain conditions, sent shockwaves across the litigation funding industry.
It appears, however, that the impact of the PACCAR ruling could be short-lived.
In the first case considering its implications, the High Court granted an asset preservation order in favour of a litigation funder, finding that there was a ‘serious issue to be tried’ that part of a litigation funding agreement remained enforceable, even where the agreement contained certain provisions falling foul of the PACCAR
