The risks of losing and benefits of success of litigation have typically been confined to the universe of attorney and client, but third parties are increasingly entering the picture. The development is emerging largely outside of the U.S. (two U.K.-based investment firms, for example, have committed more than $160M in at least 30 legal disputes), but the U.S. Chamber of Commerce has sounded an alarm as the phenomenon begins to appear in the U.S.
Read more:
ABA Journal: Third-party litigation funding picks up as UK investors eye US cases
Institute for Legal Reform: Third party litigation financing (PDF)
New York Law Journal: More Attorneys Exploring Third Party Litigation Funding
