Medcraft -v- Cybex - Enforceability of Conditional Fee Arrangement (CFA)

We argued that the claimant’s solicitor had failed to declare to the claimant an interest in recommending an After the event (ATE) premium where the provider appeared to be a related company to the litigation funder upon whom the claimant’s solicitor appeared to be reliant was a breach of Regulation 4(2)(e)(ii) of the CFA Regulations 2000. The court held, unimpressed by the claimant’s failure to disclose full information, that it was entitled to draw an adverse inference and found that there had been a breach of the Regulations. CFA unenforceable.

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