Litigation Finance
/ˌlɪtɪˈɡeɪʃən ˈfaɪnæns/
Definitions
- (n.) The funding of legal claims or lawsuits by a third party who provides capital to a claimant in exchange for a portion of any judgment or settlement.
The plaintiff secured litigation finance to cover the costly expenses of the lawsuit.
Forms
- litigation finance
Related terms
See also
Commentary
Litigation finance is distinct from contingency fees as it involves external investors financing the litigation rather than the attorney assuming risk.
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.