APPENDIX 3
FUNDING PARTICIPATION AGREEMENT
THIS AGREEMENT is made between each Claimant and CF BH Ltd (the “Funder”) in which the Claimant confirms their agreement to participate in the Litigation Funding Agreement (the "Litigation Funding Agreement") with the Funder and associated Priorities Agreement (the “Priorities Agreement”) relating to the proposed group claim against Mercedes and related entities (“Mercedes”) in relation to emissions control technology in Mercedes diesel vehicles (the Litigation Funding Agreement and the Priorities Agreement together are known as the “Funding Agreements”).
Background
(A)In the Litigation Funding Agreement, the Funder has agreed to provide funding to claimants who instruct Hausfeld to pursue claims in relation to the emissions control technology in Mercedes diesel vehicles (the “Group Claims” and the “Claimants”);
(B)The Litigation Funding Agreement sets out the terms on which the Funder will provide funding to the Claimants, including: the costs which the Funder agrees to advance for the Claimants; the obligations on the Claimants in relation to the provision of information and
Funder will indemnify the Claimants against the risks of having to pay Mercedes’ costs if the Group Claims fail based on the insurance which the Funder will put in place (the “Insurance”); the share of a Claimants’ damages which it will pay to the Funder and others parties in the event that a Claimants’ claim is successful; the circumstances in which the Litigation Funding Agreement may be terminated by the Claimant and the Funder; and the consequences which apply in the event of termination;
(C)The Priorities Agreement sets out the terms on which it is agreed that any proceeds from successful Group Claims will be allocated between the Claimants, the Funder, the insurer, Hausfeld and counsel (to cover any conditional fees) and the US Consortium (as defined in the Litigation Funding Agreement), who provide the Claimant platform and associated services;
(D)The Claimant wishes to participate in the Funding Agreements and confirms his/her agreement to the terms of the same.
1.Agreement to participate in the Funding Agreements
1.1I have been provided with copies of the Litigation Funding Agreement and Priorities Agreement which have been agreed with the Funder by the Chair of the Claimant Committee and I confirm that in entering into this Funding Participation Agreement, I agree with each of the other Parties to the Funding Agreements from time to time that:
a)I will observe, perform and be bound by all the terms of the Funding Agreements which are capable of applying to me as a Claimant and which have not yet been performed; and
b)all such rights and obligations of the Claimants in the Funding Agreements shall be construed as rights and obligations to which I am party and to which I agree to be bound.
2.Right of Cancellation
2.1I understand that where I participate in the Group Claims as a consumer in my individual capacity rather than as a business, I have a right to cancel this Funding Participation Agreement within 14 days of the date of agreement by providing notice in the form set out in Schedule 1.
2.2I understand that if I cancel my participation in this Funding Participation Agreement then Hausfeld will be unable to act for me under the Hausfeld Engagements and my participation in the Litigation Management Agreement will also be terminated.
3.Notice
3.1I agree that for the purpose of service of Notice or other documents under the Funding Agreements, service on Hausfeld shall be valid and adequate service on the Claimants.
4.Disputes
4.1This Funding Participation Agreement and any disputes or claims arising out of or in connection with its subject matter or formation (including
4.2Any disputes or claims arising out of or in connection with this agreement, including the validity of termination of this Funding Participation Agreement, shall be finally resolved by a sole arbitrator under the arbitration rules of the London Court of International Arbitration in accordance with the terms set out in Clause 12 of the Funding Agreement.
I confirm my agreement to the terms of the Funding Agreement and the Priorities Agreement.
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Claimant