Litigation Finance
Litigation financing, including law firm finance, is a rapidly growing alternative asset class. As a relatively new asset class, however, the rules and case law governing these investments are inconsistent across jurisdictions and still maturing, presenting funds and investors with a myriad of challenges and risks.
Schulte is the market-leading litigation finance firm, with unmatched volume and range of representations in all aspects of litigation finance. Our size and breadth of experience give us vast knowledge of “the law and the lore” of litigation finance—both the statutes and regulations governing these transactions and a sense of which way the wind is blowing in how courts and agencies are interpreting and enforcing litigation finance’s evolving legal framework. Our Litigation Finance Group has international reach and multi-jurisdictional experience as we are active in this area from both our New York and London offices.
We bring the full weight of this insight and experience to bear when guiding our clients through this complex and shifting terrain. In addition to helping existing litigation finance providers in evaluating potential litigation investments, structuring and negotiating the terms and executing these transactions, we also advise private capital clients in establishing funds to invest in litigation funding and in connection with raising capital.
Financing law firms present additional unique challenges—in addition to complying with regulations, lenders and funders must conduct careful due diligence regarding their counterparties, as law firms are often bound by an array of previously existing legal and financial arrangements and obligations.
Our engagements span the litigation finance landscape, including:
- Loans to law firms (mass tort and other firms)
- Single-event claim funding
- Receivables purchases
- Disbursement funding
- Secondary participation
- Securitization
- Equity investment in funding platforms
- Syndicated loans
- Insured transactions (including ATE, judgment preservation and case performance risk)
- Award monetization