Funder cost liability

Excalibur Ventures LLC v. Texas Keystone Inc.

England & Wales Court of Appeal · UK · 2016 · Decided

Citation/Docket: [2016] EWCA Civ 1144

Parties & Funders

Posture: Costs orders against funders of a failed claim
Funder(s) involved: Multiple funders (incl. Psari Holdings)

Background

Funders bankrolled a speculative $1.6B claim that failed spectacularly, with the court condemning how it was pursued.

Holding & Outcome

Funders held jointly liable for indemnity-basis costs, they 'follow the fortunes' of the litigation they fund.

Practical Lesson

Funders inherit the litigation conduct of those they finance; diligence and monitoring are costs-exposure management, not just underwriting.

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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.

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