Dispute Resolution Finance. Introducer Pack

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1 Dispute Resolution Finance Introducer Pack Information included in this pack Why become an Augusta Introducer? FAQs on Litigation Finance and Augusta Registering as an Introducer Registering a Claim Contact Details August 2015

2 Why become an Augusta Introducer? Augusta offers the following benefits to you as an Introducer: A new revenue stream: healthy commissions are paid for introductions to claimants whose cases are subsequently funded by Augusta. Fast turnaround: where all the relevant material has been provided, Augusta can usually complete the finance approval within two to three weeks. Online Platform: Augusta s bespoke platform lets Introducers track the status of introductions and payments in real time and access supporting literature. Commission Payments We typically pay a front-end commission determined by the amount of finance we provide, and/or a contingent back-end commission determined by the success fee we receive from a successfully concluded claim. We make commission payments monthly to Introducers when it is due to them. The front-end commission will be paid after we have extended the financing and the backend commission, which is based on the success of the claim, will be paid after the claim is finalised and we have received funds. I want to work with intelligent, thoughtful and fundamentally decent people. Everyone I have met at Augusta more than fulfills that expectation. Rob Webster, Introducer - Lawyer 2 P a g e

3 FAQs on Litigation Finance and Augusta What is Litigation Finance? Litigation finance involves a third party, in this case Augusta, paying all or part of a claimant's legal fees in return for a share of the proceeds of the claim if it is successful. If the claim is unsuccessful, the claimant will not repay any of the finance. Why use Litigation Finance? People and businesses use litigation finance for different reasons. A few being: 1. They don t have sufficient funds to pay for the running of the matter themselves and without financing they would not be able to pursue the claim. 2. They have the funds to pay for their claim but would rather use this money for other purposes such as running and developing their business. 3. They are looking to off-set the risks associated with running a claim and feel the best way to do this is to share the costs and access the low cost ATE insurance (see later) offered through Augusta. 4. They want to have a knowledgeable partner on their side when it comes to dealing with the complexities and nuances of the legal system. By accessing Augusta s finance, a claimant can turn a commercial claim into an asset. Who is Augusta? Established in 2013, Augusta is the leading provider of litigation finance for resolving small and medium sized commercial disputes in the UK. Augusta is not a law firm, but has in-house expertise in finance, law and insurance, and is managed by experienced professionals. To date we have provided in excess of 11.5 million to finance over 55 cases, including breach of contract, professional negligence, shareholder disputes, commercial agency regulations, marine disputes and intellectual property matters. While the provision of finance for litigation is not a regulated activity, we as a company are regulated by the Jersey Financial Services Commission and the Financial Conduct Authority, and our agreements are compliant with the Consumer Credit Act. With the case fully-financed, we were able to pursue this matter quickly. It wasn t a straightforward claim but Augusta was flexible and accommodating in wanting to achieve the right outcome. Shortly after Augusta came on board, we were able to agree a significant financial settlement for our client. Mark Edmonds Lawyer - Griffin Law 3 P a g e

4 What sets Augusta apart from other financiers? Augusta is one of a number of experienced and reputable companies in the UK offering finance solutions to people and businesses looking to finance their litigation or arbitration. What sets us apart from our peers is: We actively focus on financing claims of all sizes including from SMEs and individuals, which many other financiers do not provide finance for. The claimant gets to keep more of the claim value due to the unique approach we have adopted for costing our finance. Our proprietary online application and assessment system provides tools to both the lawyer and the claimant all of which assists in achieving a positive claim outcome. What sort of cases can be financed? The simple answer to this is that any dispute which will incur costs to resolve can be financed, however at Augusta we focus on the financing of commercial claims. A simple rule of thumb is that claims which work for us will have: a monetary outcome (though not always) solid legal merits; and an opponent who has the ability to pay. Examples of types of claims that we finance are: Breach of Contract Professional Negligence Shareholder Disputes Insolvency Matters Marine Disputes Employment Disputes Contested Probate Group Actions Examples of types of claims that we do not finance are: Personal Injury Defendant Matters Clinical Negligence Matrimonial Matters Medical Negligence Privacy or Defamation Claim Again & PPI Housing Disrepair I was delighted to be able to offer a funding solution to clients that allows them to pursue claims with little cash flow impact, and a significantly reduced downside risk. Augusta made the whole process as straightforward and lawyer-friendly as possible. Douglas Skilton, Partner, Thomson Snell & Passmore LLP 4 P a g e

5 How does Augusta s finance work? We rely on a strong working relationship with the law firm conducting the claim, and we follow a clear process that arrives quickly at a financing solution. We start with three simple tests which can be completed in approximately 30 minutes: Test 1: Claim Economics we check the financial viability of the claim and provide a quote. Test 2: Claim Selection Criteria we complete a checklist of simple yes/no questions to assess if any issues exist that may prevent the financing of the claim. Test 3: Claim Recoverability we ask some basic questions to ensure that the opponent has the ability to pay. Where the tests are positive, we then work with the claimant s lawyer to complete a Finance Application that includes a detailed budget. If the application is approved by our credit committee, the funds are transferred into the law firm s trust account on day one. What is ATE insurance and how does it work? ATE insurance stands for After The Event insurance and it is specific to the legal market. It protects the claimant against the risk of having to pay the opponent s legal costs in the event that the claim is unsuccessful. Through our relationship with AmTrust Europe Limited, we can offer claimants access to the most competitively priced insurance in the market, and include the premium for this as part of the financing that we provide. As such, there is no upfront cost to the claimant for removing the risk associated with an unsuccessful claim. Does the Claimant have to use an Augusta Law Firm? No, we work with most law firms in the UK, or we can introduce lawyers who know our system and who will suit the claim type and budget. For any law firm we work with, we undertake a due diligence process involving an overview of the firm s litigation department and Solicitors Regulation Authority history. The process is not onerous and can be completed quickly, so this will not delay the financing of a claim. Does the Claimant have to make a contribution? The claimant can choose to pay nothing to the costs of running the matter, though in many instances it is better to make a contribution as it means that the claimant keeps more of the proceeds of a successful claim. It also sends a strong message to the law firm and the financier of a belief in the merits of the claim. Where a claimant does choose to contribute to the costs, they can protect 90% of their financial contribution to the case through an enhanced ATE insurance policy - we can provide further details of this through the law firm if required. 5 P a g e

6 Registering as an Introducer Signing up as an Introducer with Augusta is simple and fast. You can register your interest by either ing us at or calling our Case Enquiry Number on A member of our team will answer any questions you may have, assist to progress your application and complete the Introducers Agreement. As we are FCA regulated, we will need you to submit ID documentation to satisfy Know Your Customer purposes, as set out in the Introducers Agreement. Augusta s Platform Once you are registered you will be provided with secure access to our proprietary online platform which allows you to: access marketing material that will assist you in promoting Augusta; track all introductions made by you and check their current status; and track how much commission you are due and what has been paid. Registering a claim Registering a claim is simple. If the claim satisfies the Claimant Eligibility Checklist below, then there is a good chance we can help. You just need to make an introduction to the claimant directly, or one of their advisors such as an accountant or lawyer, and we will then contact them to progress the claim. The introduction can be made by telephone, by or by completing the simple online form (see Contact Details at the end of this pack) with the following details: Claimant or Advisor name; Claimant or Advisor contact details; Brief description of matter this can be as simple as a few lines on the claim. Claimant Eligibility Checklist Use the following simple checklist to quickly assess the eligibility of the claimant s claim: Is the claim commercial? (i.e. contractual / shareholder / professional negligence etc.) Is the claim for monetary damages or property that could be converted? Does the party against whom the claim is being brought have the ability to pay? The main reason that we continue to work with Augusta is because we know that we can trust them to deliver. We like the way that they do business. Tim Porter, Introducer Universal Legal Protection 6 P a g e

7 Advertising As an Introducer you may like to contact your clients to generate potential leads which may be suitable for our finance. We ask that anyone looking to advertise first discuss this with us so we can ensure that the Augusta service is accurately presented to clients. We will turn any request around quickly, and in some instances contribute to the cost of advertising. Contact Details Phone: +44 (0) Registered Address: 2nd Floor, 46 Gillingham Street, London, SW1V 1HU Augusta Ventures LLP is a Limited Liability Partnership registered in England and Wales. Registered number: OC343318, who are an Appointed Representative of Boston and Alexander LLP ("Boston and Alexander"), which is authorised and regulated by the Financial Conduct Authority (the "FCA"). Boston and Alexander LLP FCA Number: Privacy policy 7 P a g e