Abstract

With the advent of globalisation, international trade and business achieved new heights and the world has become a single market. Many counties see the unimaginable growth and their reserves and the economic conditions have been improved. Dispute is the integral part of development when there is development there are some disputes arise which make this development more easier accessible and stable. Similar happened with the international commercial arbitration. International commercial arbitration has been the first choice among trade and business related disputes. As in any company large sum of money is involved so no company or organisation will take risk to approach the court and involved in the courts lengthy procedure. Third party funding is the latest topic and currently discussing by the jurist and the arbitrators. Third party funding is a financing technique that entails bona fide specialist suppliers funding litigation or arbitration who are neither parties to the issue nor directly associated with it, and whose primary interest is possible profit in exchange for providing finance. The concept of Third party funding is the most rapidly expanding and debatable problematic subject in international commercial arbitration. When a non-party, meaning a third-party funder to a dispute, funds all or a portion of the arbitration expenses for one of the parties in exchange for a percentage of the sum recovered as previously agreed, this is referred to as Third party funding. It is similar to litigation financing. In India, third party funding has its own limitations because if third party funding is not regularised, Third party funding will become a matter of chance either the party will win or loose and this will become similar to lottery and lottery is banned in India by several acts and procedures. Different countries have different views about third party funding. So it has many issues and concerns involved in it.

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