The Paris Bar Council issues a positive resolution on TPF practice in France

May 2017

On 21 February 2017, the Paris Bar Council adopted a resolution favorable to the practice of third-party funding in France.
The said resolution recognizes that third-party funding is in the clients’ as well as the lawyers’ interest and that it is not contrary to any French legal provisions. It reminds lawyers that the presence of a funder in a case does not release them from their obligation to comply with their ethical obligations towards their client, which is not the funder. The resolution requests that lawyers invite their clients to disclose to the tribunal the existence of a funding agreement and to remind them of the potential consequences of any absence of disclosure.
This resolution is the first and currently only text with official value which has been issued in France on the topic of third-party funding.