Enable – Overcoming Third Party Litigation Funding Myths

Damian Carter provides some guidance to dispel third party litigation funding myths

Myth 1: Litigation Funding is only useful if you can't afford to fund litigation

Third party litigation funding is not just for those who cannot afford to fund litigation. It is available for individuals and companies, to manage costs risks in litigation and reduce the financial burden of funding litigation.

Companies welcome the benefits provided by keeping the costs of litigation off the balance sheet and to manage the risk of potentially being unsuccessful. Individuals are also attracted to the fact that the funding is non-recourse so that the funder only gets repaid (and is paid a multiple of its investment amount) in the event of a successful claim. Litigation funding has become much more than a source of money for those unable to afford the costs of the litigation process and it is a much broader market presenting risk management opportunities and upfront cash savings.