Code of Ethics and Self Regulation

This Code of Ethics (hereinafter the “Code”) was approved by LexCapital s.r.l. – Benefit Corporation (hereinafter “LexCapital”) with a decision from its Board of Directors on 14 November 2023.

This Code of Ethics (hereinafter the “Code”) was approved by LexCapital s.r.l. – Benefit Corporation (hereinafter “LexCapital”) with a decision from its Board of Directors on 14 November
2023.
Customers and other third parties interacting with LexCapital can view the Code on the company’s websitewww.lexcapital.it.  All LexCapital employees, board members, managers, and collaborators may also
access the Code online or be directly provided with a copy.

1. PREAMBLE

This Code governs the principles of conduct that board members, managers, employees, and all collaborators of LexCapital must follow when assessing, acquiring and selling claims or causes of action (res litigiosa), both in Italy and abroad.

2. MISSION

LexCapital assesses, acquires, and sells all kinds of res litigiosa, including by planning, developing, and managing a technological, electronic, and documental infrastructure or, more simply, a digital platform for litigation funding, called LexCapital Litigation Assessment (LLA).

VALUES

3. RELATIONS WITH CLIENTS AND THEIR TECHNICAL REPRESENTATIVES

In the pursue of its Mission, Lexcapital is committed to transparency, confidentiality, and fairness.

A. TRANSPARENCY

3.1 LexCapital advertises its services in a clear and unambiguous manner, providing its interlocutors with all the required information and offering maximum transparency, including information on the adequacy of its share capital. In particular, the latest parameters for calculating the fees due to the assignees of the res litigiosa, based on the presumed value of the assigned dispute, will be available in a special section of the LexCapital website.
3.2 During the due diligence phase, LexCapital provides its stakeholders with all the information that could reasonably be perceived as potentially giving rise to a conflict of interest. Examples include, but are not limited to: relations with the other parties to the proceedings and their lawyers, or relations with the arbitrators or the mediator.
3.3 LexCapital’s contract proposal will be in writing, in Italian or in a language known to the other contracting party, written in a clear and easily comprehensible manner.
3.4LexCapital’s contract proposal will clearly and unequivocally indicate the circumstances under which LexCapital may withdraw from the contract, the relative notice period and the consequences of the withdrawal.
3.5 LexCapital’s contract proposal will clearly and unequivocally indicate whether the prior consent of the assignor is required to accept settlement or conciliation proposals.
3.6 LexCapital’s contract proposal specifies whether the assignor will have to contribute to the other party’s litigation costs in the event of losing the case relating to the disputed right assigned and whether, in such a case, there is an insurance obligation on the assignor against the risks of litigation (adverse outcome).
3.7 LexCapital’s contract proposal will clearly and unequivocally specify what consequences are entailed with regard to the relationship between the party and the party’s lawyer when concluding the assignment of claim agreement. For example, it will expressly indicate whether LexCapital needs to be kept informed of the progress of the litigation by the assignor’s lawyer and to have access to the documents contained in the case file.
3.8 LexCapital will not require from the assignor any consideration other than that agreed in the assignment of claim agreement, except in the event of non-performance by the assigning party.

B. RESPECT AND FAIRNESS

3.9 LexCapital recommends that the potential assignor be assisted by a trusted lawyer, particularly for especially complex legal matters, also during the due diligence phase.
3.10 LexCapital diligently protects the interest of the assignor throughout the litigation.
3.11 LexCapital undertakes to put the interests the assignor before its own, it being understood that it reserves the right to authorise the acceptance of settlement or conciliation proposals (see 3.5).
3.12 LexCapital undertakes to refrain from making any request to the assignor’s lawyer that is incompatible with compliance with the code of professional ethics.
3.13 LexCapital undertakes to respect and enforce the so-called Fair Compensation legislation following the new provisions introduced by Law No. 49 of 21 April 2023.

C. CONFIDENTIALITY

3.14 LexCapital shall treat as confidential any information pertaining to the client or third parties acquired during the due diligence stage or during the execution of the assignment of claim agreement, with the exception of any information that i) was already in the public domain and/or legally in LexCapital’s possession at the time of the disclosure, or ii) LexCapital became aware of without violating the assignment of claim agreement.

D. PERSONAL DATA AND PRIVACY

3.15 Personal data will be properly processed in accordance with the law in force.
3.16 Personal data concerning third parties, whether clients, employees, or others, will be processed in accordance with current legislation.
3.17 Personal data will only be collected, processed and shared with third parties for specific, legitimate reasons and only insofar as deemed strictly necessary (e.g., to estimate the likelihood of a successful outcome of the dispute).

4. FINANCIAL ADEQUACY

The signing of an assignment of claim agreement by LexCapital will depend on its financial situation. LexCapital will check whether it has adequate financial resources to comply with the obligations arising from the contracts signed for the duration of the proceedings, including any appeal stages.

5. BREACHES OF THE CODE

As any unethical or unlawful conduct would damage the relationship of trust between LexCapital and its stakeholders, seriously damaging its image, reputation, and credibility, compliance with the provisions of this Code constitutes an essential part of the contractual obligations of LexCapital employees and collaborators.

6. HOW TO REPORT A BREACH (Whistleblowing)

Reports can involve violations or alleged violations of the Code or potentially critical situations. Reports made in good faith can be submitted, anonymously or otherwise, through the channels provided by Lexcapital:

Email: whistelblowing@lexcapital.it
Post, including registered mail: LexCapital S.r.l. – Benefit Corporation, Via Emilia, 14, -65122_
Pescara, Italy

Reports must be supported and substantiated by specific and consistent facts. Facts pertaining to the alleged breach must be described as clearly and comprehensively as possible to allow the relevant investigations to be carried out and,
if possible, they must be adequately documented.

LexCapital will not tolerate any form of retaliation against anyone who in good faith reports a breach of conduct or participates in an investigation of such a breach, and will ensure, to the extent permitted by law, the anonymity of the reporter and the alleged perpetrator and the maximum confidentiality of the information contained in the whistleblowing report.

7. FINAL PROVISIONS

This Code is valid from the date it is approved by the Board of Directors.

The Code is periodically reviewed; all amendments and additions must be approved by the Board of Directors and duly published on LexCapital’s website.

When it comes to complying with the principles set by this Code, recipients who find themselves in a position of authority are required to monitor compliance and lead by example.