England & Wales Court of Appeal · UK · 2005 · Decided
Citation/Docket: [2005] EWCA Civ 655
Posture: Costs liability of funder after funded claim failed
Funder(s) involved: MPC (professional funder)
A funded competition claim failed; the question was the funder's exposure to the winner's costs.
Created the 'Arkin cap': a commercial funder's adverse-costs liability limited to the amount of its funding.
The cap made UK commercial funding economically viable, but it is a guideline, not a binding rule: the Court of Appeal said so directly in ChapelGate v. Money, upholding an uncapped order against a funder.
Matters like this one often turn on expert testimony, on valuation, industry custom and practice, legal ethics, or damages. The Institute partners with world-class expert witness referral companies for this purpose.
Compiled from public sources (court filings, published opinions, and secondary reporting) as part of the Institute's Phase 1 Dispute Library research. This is educational material, not legal advice; case citations should be independently verified before relied upon.