[Plan for 2022 and beyond with in-depth analysis of the major trends that will shape the course of litigation in the coming year.]
The primary reason lawyers and clients use funding is because the cost of litigation is simply too high to pursue a case to conclusion without supplemental capital. However, even among large corporations, the use of funding as a risk-mitigation tool is growing. As corporate lawyers and financial officers gain deeper understanding of funding, there is increased interest in using it to mitigate litigation costs and risks, while still preserving a substantial portion of the prospective settlement or damages award.
Most legal practitioners who have used litigation finance report that they would use it again. Experienced funders can help ensure good cases get moved ahead quickly and financed sufficiently to ensure a fair outcome (and that cases without merit get “filtered out”). As more lawyers and their clients look to leverage financing to spread risk and manage costs, this is an industry that seems poised for further growth.
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