Justice systems across the globe continue to embrace the use of third party litigation finance.
Litigation Finance Overview
- Australia, The United Kingdom, Germany and the USA have all embraced litigation finance into their judicial systems, and the trend has extended into Canada, South Africa, Hong Kong and Singapore. We believe the trend will continue to expand to all significant judicial systems around the world.
- Commercial litigation finance is a rapidly growing form of specialty finance used by companies and law firms to undertake meritorious claims. Litigation finance firms provide non-recourse capital to (i) pay attorneys’ fees and out-of-pocket expenses incurred in litigation and (ii) invest in cases managed by leading law firms.
- Commercial litigation finance is increasingly being promoted by justice systems to provide plaintiffs with the means to access justice and to ‘level the playing field’ between defendant and plaintiff.
- The sector, although nascent, offers a range of investment strategies with various risk/reward profiles.