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With lawfare on the rise, courts are becoming a venue for politics

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With lawfare on the rise, courts are becoming a venue for politics

The opinions expressed in this article are those of the author and do not represent in any way the editorial position of Euronews.

Usually with no leg to stand on, the objective of these claims is to disrupt and clog the system and cause chaos, Pieter Cleppe writes.

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Long gone are the days when politics was confined to parliaments. Apart from the growingly politicised and polarised media, the courtroom is increasingly becoming a political venue, with third-party litigation funding being particularly concerning.

Both in Europe and the US, there has been increased scrutiny of third-party litigation funding. 

This is a phenomenon where claimants in court cases no longer fund their own cases. Instead, they are bankrolled by investment firms, who basically see it as an attractive, if insecure, investment.

Bloomberg Law recently disclosed how Russian billionaires close to President Vladimir Putin have been secretly pouring money into US courts through third-party litigation funding in a bid to contest the sanctions they have been subject to. 

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The gist is that by investing millions without even showing their face in court, some malevolent actors have found lawfare a useful tool to laugh in the face of law and justice and syphon their money across the border while doing it.

Chinese claims are now targeting intellectual property in the US

In another example, a company based in China has been clandestinely funding intellectual property lawsuits against Samsung, using a Florida tech company as a front, to claim that the South Korean giant used its intellectual property in its popular audio products. 

The essence of the problem here is that the funders “often manipulate civil litigation for their own purposes”, according to a letter to the heads of a US congressional committee in October by major pharma companies Bayer and Johnson & Johnson. 

In the letter, they complain that the litigation finance industry “goes to great lengths to operate in complete secrecy,” demanding more transparency. 

The fear here, backed by the US Chamber of Commerce, is that litigation financing could allow Washington’s adversaries to obtain confidential information about sensitive technologies. 

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In any case, US House Speaker Mike Johnson and Senator John Kennedy, have already taken legal action, having submitted a legislative proposal that would regulate foreign entities’ ability to fund litigation. 

Business groups like the US Chamber of Commerce support this, as they believe the shortage of available information about who is financing cases opens the door for foreign adversaries to undermine US national security.

An EU directive is in the works

Also in Europe, legal action is on the way. Last summer, the European Parliament recommended to the European Commission to propose a Directive on the regulation of third-party funding in the EU, aptly named “Responsible funding of litigation”, with the goal of regulating third-party funders’ financing proceedings in the EU.

If adopted, it would create a minimum standard for third-party funders in the EU and establish a supervisory authority granting permits to funders and monitoring their activities. 

It would also hold funders jointly liable with the funded disputing party to pay the cost of the proceedings that may be awarded, impose an obligation on funders to adequate financial resources to fulfil their liabilities under the funding arrangement, impose a fiduciary duty of care the funder owes toward the funded disputing party, establish specific disclosure and transparency obligations to inform competent judicial or administrative organs of the existence of a funding arrangement and limit the financial stake of funders to 40% of the amount of compensation awarded, save for exceptional circumstances.

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The directive was spurred on by a number of questionable claims that have seen a spike in recent years. Usually with no leg to stand on, the objective of these claims is to disrupt and clog the system and cause chaos, with profits nothing more than a side quest.

Yet, sometimes, a case like this can end up hurting an entire country’s GDP, too.

The Sultanate of Sulu case continues to raise eyebrows

A prominent example in Europe of litigation funding is a case brought by a Spanish private arbitrator, Gonzalo Stampa, who demanded Malaysia to pay a $14.9 billion (€13.7bn) arbitral award to a group of individuals claiming to be heirs of the last sultan of Sulu, a territory now belonging to Malaysia. Kuala Lumpur rejected the claim, arguing the case represented a challenge to its sovereignty.

The legal claims of the sultan’s heirs had been financed by a global litigation and arbitration finance firm, the London-based Therium. 

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Even if there was no link to Spain, the claimants still brought the case there to the judicial authorities eager to find any judicial forum to get their way. As a result, Stampa, who specializes in international mediation, was appointed by the Civil and Penal Chamber of Spain’s Supreme Court (TSJM) as the arbitrator of the case.

Following legal challenges by the Malaysian government on the grounds that the required procedure had not been followed, Spain’s Supreme Court ruled in June 2021 to remove Stampa from the case, thereby granting the Malaysian government’s request for dismissal. 

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While Stampa was ordered to end the arbitration several times, the arbitrator ignored those orders and even changed the arbitration venue from Madrid to Paris on disputable legal grounds. 

There, he issued his final ruling, granting the massive award, making it the second highest ever rendered, and amounting to 1% of Malaysia’s GDP. It’s peculiar that such important cases tend to involve multiple arbitrators, rather than just one, with the entire proceedings including payment to Stampa apparently funded by Therium.

Later, an appeal in France overturned the decision, and remarkably, Stampa was found guilty of contempt of court for failing to comply with an earlier court ruling ordering him to drop the complex legal battle.

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It’s time to stop and think what to do next

Imposing to disclose who’s funding a court case may deter outside investors and mean “less access to legal finance”, but that hasn’t stopped legal action being initiated both in Europe and the US related to the practice of third-party litigation funding. 

Looking at the whole range of extra bureaucracy the European Parliament has in mind, perhaps it is important to take a pause. 

Allowing judges to decide on a case-by-case basis to what extent claimants need to be transparent, particularly in a contentious case where national security could be at risk, might just be a better way forward.

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Pieter Cleppe is the editor-in-chief of BrusselsReport.eu and a former attorney-at-law.

At Euronews, we believe all views matter. Contact us at view@euronews.com to send pitches or submissions and be part of the conversation.

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Status of Strait of Hormuz unclear after conflicting Iranian reports | The Jerusalem Post

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Status of Strait of Hormuz unclear after conflicting Iranian reports | The Jerusalem Post

Iran’s Islamic Revolutionary Guards Corps Navy posted a map showing alternative shipping routes in the Strait of Hormuz to help transiting ships avoid naval mines, the semi-official Iranian news agency ISNA said early on Thursday.

The status of the Strait of Hormuz is unclear after Iranian media outlets released conflicting reports regarding whether or not oil tankers were being allowed to transit the waterway on Wednesday.

According to Iranian state-owned Press TV, the strait has been fully closed, and all tankers attempting to pass through have been turned around.

Shortly before Press TV declared the closure, Iranian state-owned Student News Network (SSN) reported that safe passage routes through the Strait of Hormuz have been designated and must be used by ships in coordination with Iran’s Islamic Revolutionary Guard Corps (IRGC).

The organization said that the safe entry path is from the Sea of Oman towards the north of Larak Island, while the safe exit path from the Gulf passes south of Larak Island and towards the Sea of Oman.

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Greek Prime Minister Kyriakos Mitsotakis said on Wednesday it would be unacceptable for ships to have to pay a fee to cross the Strait of Hormuz as Iran has suggested, and such a move would set a dangerous precedent for freedom of navigation.

The Iran war has threatened Gulf ports and disrupted global trade through the strait, a waterway through which a fifth of the world’s oil and liquefied natural gas normally passes.

Greece controls one of the largest merchant fleets globally in terms of cargo-carrying capacity.

Earlier on Wednesday, IRGC-tied outlet Fars News reported that Iran had once again closed the Strait of Hormuz, blocking oil tankers from transiting the waterway, in retaliation for Israeli strikes on Hezbollah.

Oil tankers attempting to transit the strait received threatening messages from the Iranian Navy, according to several shipping sources.

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“Any vessel trying to travel into the sea… will be targeted and destroyed…” the message, which was received by several vessels, said.

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Iran threatens to end ceasefire over Hezbollah’s exclusion from truce deal

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Iran threatens to end ceasefire over Hezbollah’s exclusion from truce deal

NEWYou can now listen to Fox News articles!

The lack of a two-week pause in the fighting between Israel and Hezbollah appears to be a dealbreaker for Iran’s regime as the ceasefire takes effect.

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While the Trump administration maintains the deal does not include the Tehran-backed terrorist movement Hezbollah, Iran is threatening to use that exclusion as a pressure point against the U.S., potentially collapsing the entire ceasefire.

On Wednesday, Iran’s Foreign Minister Seyed Abbas Araghchi wrote on X that “The Iran–U.S. Ceasefire terms are clear and explicit: the U.S. must choose—ceasefire or continued war via Israel. It cannot have both. The world sees the massacres in Lebanon. The ball is in the U.S. court, and the world is watching whether it will act on its commitments.”

IRAN REVEALS 10-POINT PLAN FOR PEACE WITH THE US – HERE’S WHAT’S IN IT

Rescue workers search for victims at the site of an Israeli airstrike that hit a crowded neighborhood south of Beirut, Lebanon, Sunday, April 5, 2026. (Hussein Malla/AP)

His comments were later echoed by Iran’s parliamentary speaker Mohammad Bagher Ghalibaf, citing Israeli attacks in Lebanon. Earlier in the day, Pakistan’s Prime Minister Shehbaz ​Sharif, a key intermediary in ceasefire talks between the U.S. and Iran over Operation Epic Fury, said the ​two-week ceasefire would include Lebanon.

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Hezbollah reneged on a U.S. negotiated November 2024 ceasefire by entering the war against Israel on March 2025 to aid Iran. Many experts say long-term regional security depends on Lebanon’s government and army disarming the terror group.

Hezbollah al-Mahdi scouts parade with big portraits of Iran’s late leader Ayatollah Khomeini, foreground, and Iran’s supreme leader Ayatollah Ali Khamenei, background, during an event for Jerusalem day or Al-Quds day, in the southern town of Nabatiyeh, Lebanon, Thursday, Aug. 1, 2013. The last Friday of the Islamic holy month of Ramadan is observed in many Muslim countries as Al-Quds day, as a way of expressing support to the Palestinians and emphasizing the importance of Jerusalem to Muslims. (Hussein Malla/AP)

Edy Cohen, an Israeli security expert on Hezbollah, who was born in Lebanon, told Fox News Digital that “Hezbollah will never disarm itself. From its perspective, it protects two million Shiites. The only way to defeat Hezbollah is to first define it as a terrorist organization. Not to allow its political wing to exist and also to order the Lebanese army to gather in the areas under its control area by area.”

He added that “Dismantling Hezbollah must be carried out in stages. The Lebanese government must first take possession of the heavy weapons. Not to allow it to concentrate except in Dahiya [a Beirut suburb that is a Hezbollah and Shiite stronghold]. Leave it in one place and control all the roads leading to it. Little by little, it can be dismantled. Israel cannot and should not disarm Hezbollah. It can only assist with bombing from above.”

TRUMP’S IRAN CEASEFIRE ROCKED WITHIN HOURS AMID REPORTED MISSILE, DRONE ATTACKS

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U.S. President Donald Trump welcomes Israeli Prime Minister Benjamin Netanyahu to his Mar-a-Lago club on December 29, 2025, in Palm Beach, Florida. (Joe Raedle/Getty Images)

On Wednesday, the IDF said it hit over 100 targets in 10 minutes, including, “Hezbollah headquarters, military arrays, and command-and-control centers: Intelligence command centers and central headquarters used by Hezbollah terrorists for directing and planning terror attacks against IDF soldiers and Israeli civilians.” Reuters, quoting the country’s health ministry, said some 91 people were killed in Beirut, with a total of at least 182 killed nationwide on Wednesday.

The IDF added, “The large-scale strike was based on precise IDF intelligence and was planned meticulously over weeks. Most of the infrastructure that was struck was located within the heart of the civilian population, as part of Hezbollah’s cynical exploitation of Lebanese civilians as human shields in order to safeguard its operations. Prior to the strikes, steps were taken to mitigate harm to uninvolved individuals as much as possible.”

Since the war started and before Wednesday’s attacks, Israeli airstrikes have killed more than 1,530 people in Lebanon, according to the Associated Press. The Long War Journal notes “that neither the Lebanese Health Ministry nor Hezbollah has provided an official count of the group’s fallen fighters.”

Hezbollah terrorists are shown in this image. A “terrorist network” funded and operated by Hezbollah and Iran has been foiled in the United Arab Emirates, according to a report. (Fadel Itani/NurPhoto)

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Guila Fakhoury, whose father, Amer, was kidnapped by Hezbollah in 2019, told Fox News Digital that “Iran and the IRGC are occupying Lebanon through their proxy Hezbollah.” 

Fakhoury, who was born in Lebanon, said, “The majority of Lebanese people believe the actions of Hezbollah caused Israel to occupy southern Lebanon and don’t want Iran and Hezbollah. Hezbollah is threatening the entire government.”

VANCE WARNS IRAN WILL ‘FIND OUT’ TRUMP IS ‘NOT ONE TO MESS AROUND’ IF CEASEFIRE DEAL FALLS APART

A mourner holds a poster depicting Ayatollah Mojtaba Khamenei, right, the successor to his late father Ayatollah Ali Khamenei, left, as supreme leader, during the funeral procession for senior Iranian military officials and civilians killed during the U.S.-Israel campaign in Tehran, Iran, Wednesday, March 11, 2026. (Vahid Salemi/AP)

As the president and co-founder of the Amer Foundation, an organization dedicated to help families of illegal detainees and educate on Middle East policy and geopolitics, she said is seeing some positive steps being taken including Lebanese President Joseph Aoun calling for negotiations with Israel.

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She said the “only solution is to have peace with Israel. I think there a lot of Shiites who are against Hezbollah… The majority of the Lebanese people just want peace. We hope the Trump administration will push the Lebanese government and Israel’s government to start peace talks.”

Last week, Iran’s regime defied Lebanon’s expulsion order for its ambassador by saying he would stay, further increasing tensions in a country in the crosshairs of the latest fighting between the Iranian-backed Hezbollah and Israel.

Lebanon had declared Ambassador Mohammad Reza Shibani “persona non grata” to weaken Iran’s diplomatic presence and have a chargé d’affaires at its embassy instead. But the deadline to leave the country was Sunday and an Iranian spokesperson said the ambassador’s mission in Beirut continues.

CLICK HERE TO DOWNLOAD THE FOX NEWS APP

Fox News Digital reached out to Lebanon’s government and the Embassy in Washington D.C. for a comment.

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The Associated Press and Reuters contributed to this report.

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Newsletter: NATO holds amid fragile Iran ceasefire

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Newsletter: NATO holds amid fragile Iran ceasefire

Good morning from Brussels.

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The two-week truce agreed by Washington and Tehran on Tuesday evening has left the world on edge.

A meeting between NATO Secretary-General Mark Rutte and US President Donald Trump in Washington overnight failed to ease pressure on the transatlantic alliance, after several NATO countries resisted Trump’s calls to help reopen the Strait of Hormuz over the last weeks.

After more than two hours at the White House, Rutte told CNN that Trump was “clearly” disappointed with many NATO allies, adding: “I can see his point.” The NATO chief said, however, that even if “some” allies had failed to meet their commitments in the Iran operation, “the large majority of Europeans” had been helpful.

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In recent weeks, Trump has threatened to withdraw from the 32-member alliance.

“NATO WASN’T THERE WHEN WE NEEDED THEM, AND THEY WON’T BE THERE IF WE NEED THEM AGAIN,” Trump posted on Truth Social overnight after meeting Rutte.

Speaking to Europe Today, former US ambassador to NATO Ivo Daalder said threats by Trump to pull out of NATO, alongside disputes with European allies over their reluctance to participate in the Iran war, have triggered the “worst crisis” the alliance has ever experienced.

“The last six weeks have been extraordinarily damaging to NATO,” he said, adding: “We see a divided NATO, which has been the goal of first the Soviet Union and then Russia for the better part of 80 years.” Watch.

Meanwhile, the terms of the agreement between the US and Iran remain contested by both sides, with Lebanon’s fate still unclear after Israel carried out a new wave of heavy strikes in the country of the cedars, killing 182 and injuring 890, according to the Lebanese health ministry.

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In a call on Wednesday evening with French President Emmanuel Macron, Iranian President Massoud Pezeshkian stressed the need for a ceasefire in Lebanon, calling it a key condition of Iran’s ten-point plan.

But US Vice President J.D. Vance earlier denied Lebanon was included in the deal, saying the US position focused on Iran and its allies, including Israel and the Gulf Arab states. Macron, who also spoke with Trump, expressed hope Lebanon would be part of the agreement.

Vance will lead a US delegation to Pakistan for talks with Iran starting Saturday.

Israeli bombings in Lebanon amid the regional ceasefire sparked sharp international reactions. UN High Commissioner for Human Rights Volker Türk said the scale of the killing and destruction was “nothing short of horrific,” adding that “such carnage, within hours of agreeing to a ceasefire with Iran, defies belief.”

European leaders also reacted. Belgian Foreign Minister Maxime Prévot was at the Belgian embassy in Beirut a few hundred meters from where missiles struck.”This must stop,” he wrote on X saying the ceasefire must include Lebanon.

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Spanish Prime Minister Pedro Sánchez, a staunch opponent of the war in Iran, also said on X that Israeli Prime Minister Benjamin Netanyahu’s “contempt for life and international law is intolerable,” calling for the EU to suspend its Association Agreement with Israel.

Italian Foreign Minister Antonio Tajani, who spoke with Lebanese President Joseph Aoun, warned that Italy does not want “a second Gaza.” Tajani also summoned the Israeli ambassador to the Farnesina.

After US-Iran ceasefire deal, Europe faces tough questions

European leaders were quick to hail the ceasefire agreement between the United States and Iran as a “much-needed de-escalation”, as Ursula von der Leyen put it.

The breakthrough, however, leaves several major questions unanswered for Europeans, who have been largely sidelined from the diplomatic process, Jorge Liboreiro writes.

Chief among them is the Strait of Hormuz, which used to carry a fifth of the world’s oil and gas supplies before the war erupted. Europeans have repeatedly voiced their readiness to help secure the waterway, but only after the hot phase of the conflict is over. Now, with the ceasefire deal on the table, they will be asked to make good on their promise. According to French President Emmanuel Macron, a group of about 15 countries is preparing to deploy a “strictly defensive mission” to the strait.

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Tehran, however, has indicated it wants to retain tight control of Hormuz, and Donald Trump has floated a “joint venture” to charge vessels for transit, which Brussels considers unlawful.

Besides freedom of navigation, Europeans face the prospect of granting sanctions relief to Iran, which could be hard to stomach given Tehran’s support for Russia’s war on Ukraine. And there are serious concerns about Lebanon’s exclusion from the ceasefire deal.

Read Jorge’s full analysis.

Leaked audio reveals Szijjártó calling Lavrov ahead of crucial EU summit

Several Hungarian investigative news outlets revealed that Hungary’s Foreign Minister Péter Szijjártó called his Russian counterpart, Sergey Lavrov, in 2023 to brief him on a debate among EU leaders over whether to open accession talks with Ukraine at a key summit in Brussels.

“Sometimes good-willed direct blackmailing is the best option,” Lavrov said as Szijjártó stepped out of the meeting to call him, according to transcripts of the audio recording, which was leaked days before Hungary’s pivotal general election on Sunday.

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The call took place before Orbán lifted his veto and stepped out of the leaders’ meeting for a coffee break, enabling the other 26 EU leaders to approve the start of Ukraine’s membership talks. Szijjártó remained in the room, continuing to observe the negotiations after Orbán left.

Sandor Zsiros has more.

If you have any questions about the Hungarian elections, drop them below this post on our social media. Sándor will reply with another video on Friday.

More from our newsrooms

Two French nationals return to France after four years in Iranian prisons. President Emmanuel Macron welcomed Cécile Kohler and Jacques Paris, two French citizens who arrived back in the French capital on Wednesday after nearly four years in detention in Iran on espionage charges.

Investigation reveals major global router breach by Russian GRU. After a major investigation in collaboration with international partners, the FBI has uncovered a large-scale operation by Russian hackers targeting data from governments, armed forces, and critical infrastructure.

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We’re also keeping an eye on

– Valdis Dombrovskis, European Commissioner for the Economy, holds an exchange of views with MEPs from the European Parliament’s Committee on Economic and Monetary Affairs.

– Italy’s Prime Minister Giorgia Meloni addresses the Italian parliament.

That’s it for today. Remember to sign up to receive Europe Today in your inbox every weekday morning at 08.30.

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