Hot Legal Topics

Australian law firm Shine Justice is celebrating its 50th anniversary and is placing increased emphasis on litigation funding to drive its expansion in the area of mass tort proceedings. The case illustrates the growing integration of litigation funding with class action practice.

The Cologne Regional Court has ruled that Snapchat violates data protection and youth protection regulations because responses generated by its AI chatbot encourage minors to consume alcohol. The judgment forms part of a growing body of court decisions against social media platforms for inadequate protection of minors and increases the risk of further proceedings against comparable providers.

Apple is seeking to overturn a record judgment of USD 5.7 billion for patent infringement that was supported by a litigation funder. The case illustrates the growing influence of litigation funding on major proceedings involving very high amounts in dispute.

The Court of Justice of the European Union has ruled that banks must initially reimburse phishing victims for losses suffered, even where the customer has been grossly negligent; the question of who ultimately bears the loss is to be determined only thereafter. The bank must first establish misconduct on the part of the customer. The ruling strengthens the position of fraud victims vis-à-vis banks across the EU and could trigger a wave of reimbursement claims.

The German federal government has adopted key framework principles for domestic German rules to protect children and young people from social media risks, pending the entry into force of EU-wide restrictions. The proposed measures could significantly increase the obligations and liability exposure of platform operators.

Ireland has brought into force new procedural rules for collective redress actions (Representative Actions), alongside the first substantive judgment issued under the new regime. However, the continued prohibition on third-party litigation funding remains a central obstacle to the practical use of the new collective action mechanisms.

On December 2, 2026, the Federal Court of Justice (BGH) will hear a case concerning the reimbursement of public relations costs under a D&O insurance policy for the purpose of defending against reputational harm arising from critical media coverage. The case involves allegations of a non-existent escrow balance of EUR 1.9 billion and ongoing criminal proceedings against the claimant. The decision could have significant implications for the scope of D&O coverage in future corporate scandals involving large numbers of affected parties.

The Federal Court of Justice (BGH) ruled in favour of the policyholder, holding that the exclusion of accident insurance coverage applies only where a race actually took place on a racing circuit, and not in respect of every journey made there. The lower court had previously taken a different view. The decision continues the BGH's policyholder-friendly line of authority and is likely to be of decisive importance in many similarly situated disputes.

Hedge funds are increasingly acquiring subrogation claims arising from the 2025 Los Angeles wildfires, following the stalling of legislative efforts to restrict such practices in California. The trend reflects the growing interest of institutional investors in mass tort litigation.