JAPAN Law and Practice Contributed by: Hiroki Wakabayashi, Kenichi Sadaka and Kei Akagawa, Anderson Mori & Tomotsune
2.3 Third-Party Funding for Plaintiff and Defendant Third-party funding is generally considered to be available for both parties. 2.4 Minimum and Maximum Amounts of Third-Party Funding There is no statutory rule or established prac- tice regarding maximum or minimum amounts of third-party funding. 2.5 Types of Costs Considered Under Third-Party Funding There is no statutory rule or established practice regarding what costs a third party may fund, but they usually cover legal fees and also out-of- pocket expenses required for lawsuits. 2.6 Contingency Fees Contingency fees are generally permitted, and there is no specific restriction universally appli- cable to all types of cases. However, the Japan Federation of Bar Associations has set some rules about the maximum percentage in cases where lawyers work for consumers on their mul- tiple debts. 2.7 Time Limit for Obtaining Third-Party Funding There is no statutory rule or established prac- tice regarding time limits for obtaining third-party funding.
substantial harm to social life, such as when the party is a victim of domestic violence or other crime (Articles 133 to 133-4 of the CCP). In addition, examination of a party or their legal representative or a witness about matters con- cerning a serious family-related secret in per- sonal status litigations may be protected from public audience by a court order (Article 22 of the Personal Status Litigation Act). In such a case, the court record of the examination will be automatically protected from public disclosure and may be inspected only by a party to, or a third party who has shown a legal interest in, the litigation (Article 91 of the CCP). 1.4 Legal Representation in Court In any courts other than summary courts, a legal representative needs to be either an attorney-at- law licensed in Japan or a person who is author- ised to act in court for the principal pursuant to law or regulation, such as a registered manager of a corporation or a captain of a ship. In sum- mary courts, a certified judicial scrivener or a person who has obtained the court’s permission may also appear as a legal representative (Article 54 of the CCP). 2. Litigation Funding 2.1 Third-Party Litigation Funding There is no statutory rule which specifically pro- hibits third-party funding. As such, it is generally considered to be permitted unless it is made in a manner that violates the relevant laws or regula- tions, such as the Attorney Act or the Trust Act. 2.2 Third-Party Funding: Lawsuits There is no statutory rule or established practice regarding third-party funding.
3. Initiating a Lawsuit 3.1 Rules on Pre-action Conduct
Generally, no pre-action conduct is required. There are some exceptions in certain catego- ries of matters, such as family cases where filing for conciliation procedures is required prior to the initiation of a lawsuit. Generally, a potential
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