Brooklyn Journal of International Law


Vienna Messina


Third-party funding in global commerce and dispute resolution has gained considerable traction in the last few decades. The rise in complex international arbitration cases has encouraged a demand for third-party funding arrangements since the disputes involve large amounts of money in addition to high legal costs. This Note explores the implications of third-party funding on the practice of international arbitration, particularly with the expansion of arbitral institutions’ doctrinal rules to address the use of third-party funding. Much of the pre-existing research and literature highlights the issues that third-party funding poses in international arbitration proceedings, but fails to consider a broader, more wholesome approach to regulating the phenomenon. This Note posits that instead of addressing the use of third-party funding issue by issue, such as privilege, disclosure, conflicts of interest, etc., scholars and practitioners should consider whether the continued use of third-party funding will change the current procedural arbitration proceeding framework.