Burford Capital Accused of Blocking Settlements in Funded Litigation

A lawsuit filed by Sysco against its own litigation funder Burford Capital—which claims to have invested $140M in the food distributor’s price-fixing suits—has provided a behind-the-scenes look into the usually opaque business of litigation finance. The allegations in the Northern District of Illinois complaint also highlight one of the potential pitfalls of third-party litigation funding, namely, who calls the shots: the client, its counsel, or its funder.