Contingency fee agreements in arbitration proceedings in Zimbabwe

The rationale for contingency fee agreements is to ensure that such agreements are not entered into where there is little or no chance of success. Thus, contingency fee agreements are applicable in arbitration proceedings in Zimbabwe.

C Dos Santos, ‘Third-Party Funding in International Commercial Arbitration: A Wolf in Sheep’s Clothing’ (2017) 34(4) ASA Bulletin 918 noted that:

Regarding arbitration, parties are likely to spend even more, as they do not only pay for common expenses, but also arbitrators’ fees as well as other onerous expenditures. Those costs can therefore constitute a financial barrier and act as a catalyst, exacerbating difficulties to access arbitration. In this respect, third- party funding offers a funding alternative benefitting two types of potential claimholders. Impecunious claims and financially stable entities.