Originally from Handbook on Third-Party Funding in International Arbitration, Second Edition

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PART I.  THE THIRD-PARTY FUNDING LANDSCAPE

1.  The TPF market in Poland

1.1.  Please shortly describe the TPF market in your Jurisdiction.

The TPF market is not well established in Poland and is still in its nascent stages compared to more developed markets like the United States or the United Kingdom. There is little public information or data on the size or performance of the TPF market, but it has received more media attention in recent years. A few foreign companies offer TPF services to individuals, businesses, and law firms in Poland, usually as part of a wider portfolio. TPF is mostly used for high-value and complex claims, such as international investment and commercial arbitration. Impediments to the quick development of TPF include prolonged court proceedings and complex procedural regulations.  It is therefore difficult to predict the result of the proceedings and to assess the risk associated with funding disputes.

There are only a few reported examples of TPF in practice in Poland, and the market faces several challenges and barriers. These include the availability of self-funding for most litigants (Poland is relatively affordable for litigants in relation to high-value claims), the lack of legal awareness and the preference for claims purchasing, securitization, or debt recovery over claims financing. On the other hand, the high frequency and value of disputes in Poland also creates opportunities and potential for growth for TPF providers.