Investment Arbitration Reform: Third-Party Funding in Investment Arbitration

Abstract

This paper analyses the issue of “third-party funding”, something widely criticised in investment arbitrations. It is an issue addressed both through UNCITRAL Working Group III and in the amendment of the ICSID Procedural Rules (the current version adopted on 21 March 2022). The author discusses the issue and why it has been seen as problematic, then focuses on proposals for solutions discussed in debates. Finally, she compares the proposals discussed in UNCITRAL Working Group III with the newly adopted amendment of the ICSID Procedural Rules.