Funder fails in claim to recover losses from firm’s indemnity insurer

Doorway Capital, the funder of collapsed London firm Seth Lovis & Co (SL), has failed in an attempt to recover the £1.6m it is owed from the practice’s professional indemnity insurer, with Mr. Justice Butcher ruling that the debt was not covered by the insurance policy. SL went into administration in March 2019 after it ran out of working capital, owing Doorway £1.6m, VFS Funding £3.2m and RBS £3m. Last year, the Solicitors Disciplinary Tribunal struck off the eponymous Seth Lovis for taking money from two different litigation funders for the same cases – against the terms of the funding agreements – in an attempt to keep his firm operating “at all costs”.

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Data breaches: Two major representative actions discontinued in wake of Google ruling

Two major representative actions over alleged data breaches have been discontinued in the wake of last year’s Supreme Court ruling in Lloyd v Google. The YouTube data breach claim that sought damages of up to £2.5bn, was one of the cases discontinued, and was advised by Hausfeld and backed by funder Vannin Capital. The other case discontinued was one brought by Mishcon de Reya on behalf of approximately 1.6 million people whose confidential medical records were obtained by Google and DeepMind Technologies in breach of data protection laws.

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US private equity funds “will buy large UK law firms next year”

A number of large UK commercial law firms will fall into the hands of US private equity investors next year, according to Steve Din of Doorway Capital, which owns national firm Simpson Millar. Mr Din said the DBA regulations had previously discouraged many law firms, but litigators were now increasingly looking at them “as a mainstream way of funding litigation”.

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