Litigation Funding
Litigation Funding
The cost of litigation can be a barrier to even the best of claims. Whether it’s through lack of funds to pay solicitors to conduct the claim or defence itself or whether it’s due to the fear/risk of having to pay both your own costs and also the opponent’s costs in the event that the claim/defence fails, the outcome is the same – without third party funding such claims will not be brought or defences mounted.
Some of the risk can be assumed by the law firm, through risk-sharing fee arrangements (where, for example, the law firm might effectively fund the claim by not billing all of its work-in-progress as the claim proceeds) and these can go a long way to redressing the imbalance. However, for the cases that don’t meet the law firm’s criteria, such as high-volume, low-value cases, the financial burden might be too great for the firm to bear, particularly when the risk and the up-front costs cannot be offset in the present market by high-margin, non-contentious work, which has been impacted by Covid-19.
There are funders in the market who can assist with this and who might be able to provide funding for the law firm’s own cases as well as providing pre-vetted, funded (and sometimes insured) claims ready for the law firm to work. The latter option solves at once the traditional headache that litigation practices faced, namely the difficulty and costs associated with generating new business.
Our clients and contacts are ready and waiting to be introduced to you. Contact us if you would like to know more.
