December 2017 – Two Significant Successes in London High Court

Last week two judgments were handed down on two significant insolvency claims that had been funded by Manolete Partners, each over a two year period.

The first trial lasted three days and resulted in a total award of over £1m (including 100% of claimed damages plus interest at 3% compound plus full cost recovery) for a regional office of a Top 10 International Accountancy firm. After all costs, £538k was recovered by the Insolvent Estate. HMRC was the largest creditor. As usual, this claim had come direct to Manolete Partners (via the IP and his solicitors). Thus no broker commissions were incurred. Manolete also provided full adverse cost cover (at zero cost to the estate). By avoiding the need for ATE and the use of brokers, as well as paying the legal costs as they were incurred (rather than on a CFA), the recovery to the Insolvent Estate was maximised.

The second trial also lasted three days and resulted in a total award of over £500k for the London office of a Top 6 International Accounting firm. After all costs, £262k was recovered by the Insolvent Estate. Again no brokers, no ATE and no CFAs were used, resulting in an excellent, risk free, return for the Creditor Estate.

Steven Cooklin, Manolete CEO, commented: “these are very significant results for both estates. Neither estate had any assets to finance the claims. Both sets of defendants refused to engage in ADR which meant we were forced all the way to the end of trial. We always welcome the opportunity to settle claims quickly and commercially wherever possible, but our model and our financial strength enables us to take our cases to Court whenever necessary. Manolete has a 100% win record in Court, so we urge all our defendants to meet with us as early as possible to avoid facing an inevitability much larger costs bill – theirs as well as having to pay ours.”

December 2017 – 200 Case Milestone Achieved

Manolete Partners is delighted to report that is has now signed its 200th Insolvency Litigation case investment.

In late 2015 Manolete celebrated its 100th case, it had taken six years to reach that milestone. The latest 100 cases have taken just two years to sign – thus highlighting the rapid pace of growth.

In total, 103 of the cases have been assigned to Manolete under its standard Purchase Agreement. The other 97 cases have been by way of a Funding Agreement.

Across the portfolio over £40m of recoveries have been made for Creditor Estates, on claims ranging from just £20,000 upwards.

Average claim sizes have increased dramatically in the last two years as IPs and their legal teams have appreciated the benefits of Manolete’s bespoke insolvency litigation financing products:

  • Immediate cash into the Estate
  • Estate enjoys a 50%- 90% share of the eventual net proceeds at zero risk to the IP or the Creditor Estate
  • IP’s choice of lawyers – we have no panel
  • Solicitors and Barristers paid normal hourly rates and are paid as the work is completed
  • Zero ATE cost (we self-fund all adverse cost risk at zero cost to the case)
  • No use of brokers – thus saving substantial commission costs and enabling a much faster decision process

Manolete CEO, Steven Cooklin, commented: “We are delighted with the rate of progress. Since the advent of the Jackson Reforms in April 2016 there has been further rapid buy-in across all key stakeholders to Manolete’s Funding and Purchase solutions for insolvency claims. Huge credit goes to the Manolete staff and the IPs and lawyers who have worked with us to achieve this important milestone. The bigger the Manolete portfolio grows, the larger the portfolio benefits that we can pass on to IPs and the creditors.”