Overview of the 1^st Class Legal - litigation funding system.

1^st Class Legal identified that the need for funding for many types of litigation was extensive especially as what was formerly known as Legal Aid has almost all been withdrawn for civil litigation.

Whilst it is obvious that clients with large, multi-million pound claims will need funding the same also applies to much smaller value cases.  

As the provision of legal services changes in the U.K. with the growth of the use of Conditional Fee Agreements (CFA’s) in many areas and the use of hybrid retainers with solicitors such as part CFA and part private retainer a funding system is needed to pay for the disbursements involved, security for costs issues, After the Event (ATE) insurance premiums, some own solicitor costs and fees from counsel when not acting under a CFA. Use of a full CFA or partial CFA is not a requirement of the system but many are now doing so.  

The key element of the 1^st Class Legal funding system is that is provides the client with the ability to take a case forward to conclusion provided we are content that it is a case that has reasonable to good merits.  

It is important that no one funding system will be applicable for every civil or commercial litigation matter. Our system allows all or part of the funding to be provided as required in the individual case. Our experienced legal underwriters individually underwrite each case and we work closely with the solicitors handling the matter. The reporting requirements are sensible and proportionate.  

We don’t interfere in the running of the case. We put the client and the solicitors in the position to have the funding to obtain the best counsel and expert witnesses, provide a known cost funding for costs and disbursements, meet security for costs orders and allow the solicitors to get on with running the case to a conclusion.

The funding also “levels the playing pitch” that often is a serious issue when litigation is being undertaken against opponents with much greater financial strength and resources.  

One of the main differences between the 1^st Class Legal funding system and the few others that exist is that we do not normally charge a fee based on a percentage of the award obtained by the client. Our funding fees are known upfront, are interest and funding fee based and will normally provide the client with a much more cost effective method of taking the case forward. The earlier the case settles the lower the cost. Our system also allows cases of lower value to be funded than has been the case.  

Our aim is to provide the client with a simple, fully understood system in which the cost is clear from day one and kept as low as possible.

Bob Gordon

Managing Director

1^st Class Legal (I.S.) Ltd.