A New York Appellate Court Weighs in on Litigation Funding Disclosure: Relevance is Paramount

As litigation funding becomes more normalized, the disclosure of litigation funding arrangements is a much talked-about and evolving issue.  The question is simple: under what circumstances can a litigant receiving litigation financing be compelled to disclose details about the funding arrangement.  Calls to require disclosure in federal courts through FRCP rule changes, while not adopted, has prompted some individual courts (notably the District of New Jersey) to require some disclosure. Arbitral institutions have also examined the question and were among the first to set forth rules, requiring modest disclosures.