The key to success in any type of contingency representation is maintaining the
alignment of interests between the client and the law firm. Interests are usually aligned
at the outset, but frequently as the case matures and evolves, the law firm must expend large sums of cash for discovery and expert witnesses. This may result in the law firm pushing the client to a pre-trial settlement well below everyone’s reasoned expectations at the start of the case.
Litigation funding guarantees that absent extraordinary circumstances, the agreed necessary funding will be present through the trial of the case creating a three way alignment of interests between and among the client, the law firm and the funder.
This means no pressure on the client to settle early; no pressure on the law firm to settle before laying out cash; and an enhanced likelihood for the funder that the case will proceed as originally designed so that the fund can realize its expected IRR.
Single case litigation funding
Portfolio litigation finance
Our experienced team can help clients take full advantage of litigation funding opportunities. Our leader, Fred Fabricant, has been at the forefront of litigation finance since 2008, long before this type of alternative funding arrangement was de rigueur.
Fred and his team have consistently been involved since then with complex cases that have been financed. Fred has been a frequent speaker at numerous forums and conferences throughout the United States on litigation finance and has formed relationships on many cases with a number of the leading Funds in the world. While not every case is right for litigation finance, if that is a client objective, Fabricant LLP can design the case for funding and introduce the client and the opportunity to the most appropriate Fund for the case.
There are a range of litigation funding products available for litigants, which include single case litigation funding, portfolio litigation funding (where multiple claims may be considered and funded under a single facility), litigation appeal and enforcement funding.
Through our relationships with the most active and leading litigation funding firms in the world we are able to offer litigating clients the ability to fund part or all of their litigation costs, to ease burdens and meet their end goals. Typically, litigation funding is on a non-recourse basis to the client. The funding is not a loan. The Fund is only paid out of the proceeds realized as a result of the litigation. .Litigation funding is most commonly required on a single case basis and is primarily intended for claimants.
At Fabricant LLP, we are now offering defense side funding opportunities where the ultimate fee paid is based on not just the result obtained for the accused but also the timing of that successful result.
We would be pleased to discuss these options further with clients and prospective clients.