Legal Funding
/ˈliːɡəl ˈfʌndɪŋ/
Definitions
- (n.) Provision of capital to a plaintiff or law firm to cover litigation costs in exchange for a portion of any financial recovery.
The plaintiff sought legal funding to cover attorney fees during the prolonged trial.
- (n.) Financing method allowing litigants to pursue claims without upfront costs, often used in complex or contingency-fee cases.
Legal funding enables plaintiffs to access justice without immediate financial burden.
Forms
- legal funding
Related terms
See also
Commentary
Legal funding is distinct from traditional loans because repayment typically depends on winning the case; clarity in contracts is key to avoid usury or champerty issues.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.