As I noted in the last post, the ‘active managers’ accounted for by the real options approach want the flexibility to calibrate their investments in litigation to developments in the case at hand and the portfolio as a whole. Fully … Continue reading
A paradigm shift is underway regarding claim valuation, from viewing claims as assets to real options. The asset approach, while accurate and workable at a basic level, oversimplifies the reality of litigation by treating all the decisions involved as essentially … Continue reading
The draft model contract includes a fiduciary duty provision we recommend access-to-justice plaintiffs bargain for. The fiduciary duty supplements the conflict of interest disclosures the contract requires. However corporate finance plaintiffs do not need such protection, and may not be … Continue reading
Last week Professors Sebok and Wendel posted a comment on contract and tort good faith norms in litigation funding. In it they expressed the view that they “do not think that the owner [of a claim, i.e. the plaintiff – … Continue reading
Earlier this week, professors Sebok and Wendel posted a thought provoking post on contract and tort good faith norms in litigation funding. (The post is part of a more comprehensive analysis forthcoming in Anthony J. Sebok & W. Bradley Wendel, … Continue reading
We expect that eventually every state in the USA will accept litigation investment as fully and completely as it has been accepted in England and Australia. Many questions will remain if this comes to pass, especially if the commercial litigation … Continue reading
One of the biggest challenges in litigation finance is striking the right balance of risk between litigants and funders, consistent with the norms of the legal system and the ethical duties constraining counsel. Striking the right balance increases the chances … Continue reading
We begin this blog post with a few suggestions on nomenclature. For purposes of this post, we introduce the use of the terms “triad” and “dyad” to discuss and differentiate the possible combinations and permutations of conflicts inherent in any … Continue reading
In his comment to the Accelerated Investment concept, Mr. Reilly objected to the idea that the funder should be forced to prematurely purchase Litigation Proceed Rights with capital committed to future closings. His core reason was fairness-based: the funder is … Continue reading
Today and Friday we’re introducing the last of our provisions tied to the funding process. Today we have two: one is the essentially boilerplate provision from venture capital contracts that disclaims any promise by the funder(s) to provide or assist … Continue reading
