The following Practice Compliance practice note provides comprehensive and up to date legal information covering:
This Practice Note provides guidance on the most common types of funding. It is not the intention to give a full explanation of the legal and regulatory requirements for each funding type.
You must ensure clients receive the best possible information about:
how their matter will be priced and
the likely overall cost of the matter and any costs incurred—at the time of engagement and when appropriate as their matter progresses
You must give clients information in a way they can understand. You must also consider and take account of your client's attributes, needs and circumstances.
For details of other general regulatory requirements on costs information for new clients see Practice Note: Information on costs—law firms—2019.
The word indemnity is used in different ways in the context of costs and funding. This often causes confusion. Before discussing different types of funding, it is necessary to explain what these terms mean.
An indemnity arises where a third party agrees to indemnify some or all of the client's costs. Legal expenses insurance is a common example.
The indemnity principle
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This Practice Note considers the law governing the procedural law of arbitration proceedings (the curial law or lex arbitri) and how it is determined under the law of England and Wales (England and English are used as convenient shorthand).The procedural law of the arbitral proceedingsThe procedural
You may apply simplified customer due diligence (SDD) measures in relation to particular business relationships or transactions which you determine present a low risk of money laundering or terrorist financing, having taken into account:•your organisation-wide risk assessment—see Practice Note:
This Practice Note examines:•why negative pledge clauses are used in commercial transactions •the consequences of breaching negative pledge provisions•how negative pledges are viewed in the context of security and quasi-security, and•key considerations when drafting a negative pledge clauseWhere
This Practice Note considers claims for damages for breach of statutory duty. For guidance on claims for damages for a negligent breach of duty of care outside a statutory duty, see Practice Notes:•Negligence—when does a duty of care arise?•Negligence—when is the duty of care breached?Breach of
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