3M Judge Issues Extraordinary Order to Shut Down Litigation Funding

The federal judge overseeing the proposed $6 billion settlement of claims against 3M by hundreds of thousands of U.S. military veterans and service members is apparently not a fan of litigation funding.

In an extraordinary order last week, U.S. District Judge Casey Rodgers of Pensacola, Florida, ruled that plaintiffs’ lawyers with cases in the 3M multidistrict litigation may not approve or participate in any deal between their clients and outside funders offering high-interest cash advances in anticipation of payouts from the proposed settlement.

The judge also barred claimants in the MDL from entering any deal with a litigation funder without obtaining her approval in advance. Rodgers said she wants to be sure that plaintiffs in the consolidated litigation, which involves claims that 3M’s military-issued earplugs caused hearing loss, are not ‘exploited’ by ‘predatory’ litigation funders who charge ‘exorbitant fees and rates of interest.’