Law Firm Alliance’s Post

Litigation Finance: Key Considerations for Companies Litigation finance is reshaping how claimants pursue claims and manage business funding. When considering litigation financing, companies should evaluate the protection of sensitive information and the strategic implications of such funding. 1. Information Sharing with Potential Funders Investors need detailed information to assess the potential payoff of a case. They typically review the case's status, the experience of legal counsel, decisions on key motions, and their own experiences with similar cases. Funders may also rely on summaries or discussions with counsel to determine if the case meets their funding criteria. However, shared information might become discoverable, presenting a trade-off for companies to consider. 2. Disclosure Rules for Litigation Funding As litigation financing grows, so do the rules governing its disclosure. Some courts view funding arrangements as irrelevant to the case's merits, denying motions to compel their disclosure. Others require such disclosures through local rules. 3. Discovery of Funding-Related Information by Adversaries Before disclosing non-public information to potential funders, parties should secure a non-disclosure agreement. However, this agreement does not guarantee the protection of shared materials. Courts differ on whether a third-party funder shares a common interest with the client and whether the attorney work-product doctrine protects materials shared with funders. Some courts liken litigation funding decisions to business transactions not covered by attorney-client privilege, assuming disclosed information is commercial, not privileged. This may lead to a waiver of privilege over any shared privileged information. Conversely, some courts are more open to applying the work-product doctrine, if not the attorney-client privilege, to funder communications, viewing them as confidential and litigation-related, not intended for adversaries. These rulings are often fact-specific, so funding-seeking parties should anticipate privilege disputes. 4. Impact of Funding Arrangements on Strategy and Settlement Claimants should consider the control provisions in funding arrangements and their impact on settlement and other strategic decisions. Issues arise over whether a funder can continue litigation against the client's wishes and if the funder can replace the client as the plaintiff to seek a higher return. 5. Protecting Sensitive Information and Maintaining Control Litigation funding can support clients in managing litigation costs or monetizing claims that might otherwise go unpursued. However, due to varying court approaches to disclosure and privilege, companies must carefully protect sensitive information and scrutinize funding terms to ensure they retain control over significant decisions and resolutions. #thirdpartyfunding #litigationfinance #litigationfunding #legalfinance

Last week, Banton Group, as the solicitors for the Plaintiffs in the Sydney Light Rail class action, prosecuted a groundbreaking claim, which, if successful, would require the Defendant in those proceedings, Transport for NSW, to pay the for the Plaintiffs’ costs of obtaining litigation funding for the proceedings.   The funding commission claim follows the decision handed down by Justice Cavanagh on 19 July 2023, which found that Transport for NSW’s failure to properly plan and procure the Sydney Light Rail Project (Project) had caused nuisance to the two representative plaintiff businesses, Hunt Leather and Ancio Investments (trading as Khing Thai).   In order to bring the proceedings, the Plaintiffs (as well as other Group Members) entered into funding agreements with litigation funder, International Litigation Partners. Those funding agreements provided that the funder would pay all costs of the proceedings (including taking on all adverse costs risks) and, in exchange, the Plaintiffs agreed that, if they were successful, they would reimburse those costs, plus pay a percentage of their damages to the funder as a ‘funding commission’.   At the hearing on 13 and 14 December 2023, we advanced three key arguments in support of plaintiffs’ claim for the funding commission to be included as a head of damage in the proceedings:   First, compensation in tort law (including the law of nuisance) is intended to put the injured party in the same position as the party would have been, had the tort not been committed. In this case, we argued that this could only be achieved if the Defendant paid the funding commission because otherwise, the Plaintiffs would only receive the damages necessary to put them back into their previous position minus the funding commission.   Second, to be recoverable in tort, damages must be a reasonably foreseeable consequence of the tort. Here, we argued that a funded class action (with the associated funding costs) was also a foreseeable consequence of Transport for NSW’s conduct because (a) Transport for NSW did in fact foresee nuisance claims and a class action arising from the Project as they were recorded as risks in its risk registers for the Project, (b) it is obvious that any nuisance claim or class action brought in relation to the Project would be costly to prosecute and beyond what individual Group Members in the proceedings could afford.   Third, we argued that the rate of funding commission charged by the litigation funder in the proceedings is reasonable, given the significant cost and risks that were involved in bringing a nuisance claim against a government authority in relation to a major piece of public infrastructure.  A decision on the funding commission claim is expected to be handed down in February or March 2024. Amanda Banton Elliott Smith Ross Garland Melissa Morgan (nee Crowley) #classaction #sydneylightrail #legal #law #bantongroup

DSK Law has been serving Florida for over 50 years with commercial and business litigation cases. You can read more about them in our Corporate Law and Commercial Litigation Legal Guide. #BestLawyers #CorporateLawLegalGuide #LegalNews #FloridaLaw #CorporateLaw #FloridaNews #BusinessLitigation #CommercialLitigation #BestLawFirms

How To Handle Commercial/Business Litigation: https://bit.ly/3NP1And INVOLVED IN A COMMERCIAL DISPUTE? There are many cases that involve business and commercial ventures that can greatly benefit from the assistance of an experienced attorney. The Law Office of Bruce C. Bridgman can help you with the following areas of commercial litigation in Orange County: - Forming a business - Insurance - Leases - Contracts - Contract disputes - Forming an LLC - Forming an LLP - Forming a partnership - Business disputes - Partnership disputes When you need help with your commercial situation, you will be able to get the advice, counsel and representation that you need from Mr. Bridgman and his legal team. Business law can be confusing and difficult to understand if you aren’t familiar with the statutes and legal terms used. When you are trying to get a project moving, it can be very frustrating to be unable to navigate the California legal system. With the help of an experienced commercial litigation lawyer, you can achieve your goals. The laws governing formation of corporations and businesses can be especially confusing to individuals who are not familiar with their language and terms. An Orange County civil litigation attorney from the firm is fully prepared to help you to form your partnership, business, corporation or other entity. BUSINESS LAW IN ORANGE COUNTY: Commercial and business statutes are set in place to protect you when you are involved in a commercial or business situation. That is why it is important that you utilize these laws to their fullest extent when forming your corporation. With the help of your attorney, you can ensure that you are on the right track with your commercial litigation case. Contact us today for your free consultation. If we can help you, even if it's just to answer a question, please feel free to call our office anytime at (949) 679-4250. We're here for you! #Irvine #OrangeCounty #Lawyer #Attorney #BusinessLawyer

Litigating For Success: Understanding The Role Of A Business Litigation Attorney Business disputes and conflicts are an inevitable part of conducting business and as a business owner, you hope that they never escalate to the point of needing legal action. However, when every other option has been exhausted, litigation may be the only recourse left. An experienced business litigation attorney proves invaluable in such instances. https://lnkd.in/gGryiX5w #businesslitigation #lawyerlife #LegalInsights #corporatelaw #businesslaw #LegalBattle #realestate #intellectualproperty #businessattorney #legalhelp #protectyourbusiness #LegalInsights #businesslawyer #litigationsupport #LegalRepresentation Dunn Sheehan LLP Indeed FindLaw Pro Nolo Anthony Bogguess Bhumika Naik Jordan Sakamoto

How To Handle Commercial/Business Litigation: https://bit.ly/3NP1And INVOLVED IN A COMMERCIAL DISPUTE? There are many cases that involve business and commercial ventures that can greatly benefit from the assistance of an experienced attorney. The Law Office of Bruce C. Bridgman can help you with the following areas of commercial litigation in Orange County: - Forming a business - Insurance - Leases - Contracts - Contract disputes - Forming an LLC - Forming an LLP - Forming a partnership - Business disputes - Partnership disputes When you need help with your commercial situation, you will be able to get the advice, counsel and representation that you need from Mr. Bridgman and his legal team. Business law can be confusing and difficult to understand if you aren’t familiar with the statutes and legal terms used. When you are trying to get a project moving, it can be very frustrating to be unable to navigate the California legal system. With the help of an experienced commercial litigation lawyer, you can achieve your goals. The laws governing formation of corporations and businesses can be especially confusing to individuals who are not familiar with their language and terms. An Orange County civil litigation attorney from the firm is fully prepared to help you to form your partnership, business, corporation or other entity. BUSINESS LAW IN ORANGE COUNTY: Commercial and business statutes are set in place to protect you when you are involved in a commercial or business situation. That is why it is important that you utilize these laws to their fullest extent when forming your corporation. With the help of your attorney, you can ensure that you are on the right track with your commercial litigation case. Contact us today for your free consultation. If we can help you, even if it's just to answer a question, please feel free to call our office anytime at (949) 679-4250. We're here for you! #Irvine #OrangeCounty #Lawyer #Attorney

As a defense attorney, I'm on de fence about litigation funding. On the one hand, I can appreciate the theory that litigation funding could allow worthy cases to go to trial, allowing injured parties to be fairly compensated for their injuries. (Note that I don't know that this actually happens.) On the other hand, allowing venture capitalists or similar to invest in civil litigation is a terrible idea. "Hi, I heard you were injured and I'd like to make some money by helping you go to court; I'll hook you up with these attorneys." Yes, I realize that's not exactly how the funding works but that's not totally inaccurate. At a time when many Americans do not trust the judicial system (see, e.g., dismal public opinion of the federal courts since the last president) the optics are not good. In many states there are rules prohibiting fee-sharing with non-attorneys; isn't this merely fee-sharing by a different name--a fancy technical arrangement to skirt the rules? (That's before we even get into the conflict-of-interest problems, which are equally or more problematic.) Or is this another variation on "I'll help you by buying out your structured settlement for cash today"? (Are they equally predatory?) With litigation funding largely unregulated is it really the injured parties who benefit?

Is it possible to resolve a contract dispute without business litigation in San Diego and Southern California? The experienced dispute resolution attorneys at the Watkins Firm have served the San Diego business community for more than four decades. Our unique approach to litigation ensures that our client’s goals and objectives are met in the shortest possible time frame and in a cost-effective way. There are several strategies to resolve contract disputes or a breach of contract. San Diego business and contract disputes don’t have to result in expensive and time consuming business litigation. https://lnkd.in/eZHMUCZc

Litigation Finance in 2023: A Year of Growth and Strategic Shifts As we reflect on the developments of 2023 in the legal industry, one area that stands out is the robust growth and evolution of litigation finance. This year marked a significant phase in the industry’s maturity, setting a strong precedent for 2024. 📈 Steady Growth Amidst Increased Demand The demand for financing in key practice areas has been a driving force behind the industry's growth. Despite ongoing discussions about the need for greater transparency, litigation finance has not only weathered these calls but also continued its upward trajectory. This optimism is not just speculative; it's backed by data. Results from Bloomberg Law’s 2023 Litigation Finance and State of Practice surveys, involving over 450 attorneys and 20 funders, highlight a collective agreement on the industry's steady expansion. 🎯 Focused Investment Strategies in 2024 Looking ahead to 2024, we're seeing a strategic shift in investment approaches. While certain practice areas will remain predominant in attracting investments, there's a noticeable trend towards diversification and exploring areas with long-term growth potential. A significant development is the move towards more targeted funding, particularly in cases with clearer success paths. 🔍 The Rise of Single-Case Funding A fascinating trend emerging is the preference for single-case funding over the traditional portfolio approach. This method, which involves funding individual cases either through law firms or directly to claimholders, is increasingly preferred for its potential to manage the inherent risks in funding lawsuits more effectively. According to Bloomberg Law's surveys, a substantial portion of funding is now being allocated to this model, signaling a strategic pivot in the industry. 🌟 What Lies Ahead As we venture into 2024, it’s clear that litigation finance is not just growing; it’s evolving with strategic foresight. This evolution presents new opportunities for both funders and lawyers to navigate the legal landscape more effectively. #LitigationFinance #LegalIndustry #InvestmentTrends #LegalTrends2024 #BloombergLaw #IndustryInsights

My latest blog on business law and business litigation.