December 4, 2012
As litigation loans grow in popularity, the question arises as to whether the financing costs on such loans can be recoverable against the defendant. Currently, the Courts have only addressed litigation loans obtained for personal expenses and disbursements. There is no decision, reported or unreported, concerning litigation loans used to finance a plaintiff's treatment plan.
The British Columbia Supreme Court trial decision in Campbell v. Swetland, 2012 BCSC 423 reinforces the basic premise echoed by past decisions concerning litigation loans used for personal expenses and disbursements; the Court will examine the reasonableness of the financing costs, the plaintiff's circumstances for seeking a litigation loan; and the expenses for which the litigation loan was used.All Blog Posts