Litigation finance companies provide financing to companies and individuals to pay litigation costs (legal fees and expenses). These firms also invest in portfolios of cases managed by law firms.

Benefits of litigation finance include:

For counsel

  • Enhances competitiveness and increases revenue

  • Smooths lumpy income streams

  • Ensures prompt payment of fees

  • Monetizes WIP

  • Alleviates client’s fee fatigue

For litigants

  • Enables a choice of lawyer based on quality and experience, not price

  • Improved settlement dynamics (timing and quantum)

  • Overcomes liquidity or budgetary constraints

  • Non-recourse funding 

  • Spreads litigation risk

  • Controls cost and provides budgetary certainty

  • Avoids adverse impact on corporate balance sheets and earnings

  • Monetizes the claim and/or judgment on appeal to fund business operations