Continuing Advancements in Litigation Finance

LexShares, a commercial litigation finance firm, has recently announced the launch of a new program, LexShares Private Market (LPM).  The LexShares Private Market is an exchange for secondary litigation finance transactions, bringing together litigation funders and institutional investors.

This new announcement continues to prove what many people have been saying, litigation finance is only continuing to grow and mature at rapid rates.  Thus, creating a demand for more innovation and adaptation.  LexShares Chief Executive Officer, Jay Greenberg says that LPM will bring centralization and efficiency to the litigation finance market.

LPM will not only offer institutional investors more opportunities but will also allow litigation funders to purchase assets in the secondary market to expand their portfolios.  Additionally LPM will allow buyers to analyze available deals, connect with sellers, and transact securely, all through the online system.

This addition to the litigation finance market will continue to broaden the abilities of investors and funders to reach more people and lawsuits all through an online system.  One would hope that as the market and need for litigation finance only continues to increase that will mean that there will be justice in even more claims than before.

However, it will be interesting to see as the market continues to expand with more firms funding litigation and more innovative systems how that will affect competition.  Right now there is not much information on terms of litigation finance agreements or costs that the funders are charging.  But usually in any booming market with growing competition prices will decrease for everyone to stay competitive.

Topics:  litigation finance, alternative litigation finance, third-party funding, LexShares

Works Cited:  John Freund, LexShares Launches Private Institutional Litigation Finance Exchange, Litigation Finance Journal (June 7, 2018).