One of our goals at Invest4Justice is to make litigation finance truly affordable for the first time. There are far too many businesses hawking lawsuit loans at usurious rates, which means that even a litigant who wins a case can end up losing money overall. Loans should be avoided unless a litigant is truly desperate.
Every plaintiff in the world has an asset that has value – it is a contingent fee, the potential compensation that they will receive to right the wrong that has been done to them. The value of this contingent fee depends on a number of factors, but primarily the strength of the case, the temperament of the adjudicator, and an economic calculation which depends on the statutory and other legal rules in place.
By offering a small fraction of this potential future compensation to potential investors, litigants can fund their case without loans and without debt. All meritorious claims have value, and litigants can make use of this rather than going into debt.
The most difficult aspect of selling a partial right to future potential compensation to purchasers is that many investors remain unfamiliar with litigation funding, which is a novel asset class. While third-party funders have raised hundreds of millions of dollars to invest in legal disputes many ordinary investors simply do not know that this asset class exists. They will learn, however, since no other investment of which we are aware offers similar potential returns.
While Invest4Justice has over 50,000 visitors per month only a small, but growing, fraction of investors have decided to take the plunge and to pledge to invest in a legal dispute (investors do not actually pay anything on Invest4Justice, they merely pledge to invest if 100% of funds are promised – once this occurs, a bespoke multi-party litigation funding agreement is drawn up by Invest4Justice’s highly-qualified lawyers, and the funds are then transferred to the litigant’s lawyer and investors follow the case).
Many cases have in fact been funded and litigants have absolutely nothing to lose by trying. If you lose your case you owe nothing, and if you win it you owe only 2.5%, which Invest4Justice reinvests into meritorious disputes.
- Invest4Justice
How Much Does Invest4Justice Cost To Use? Nothing If You Lose, 2.5% If You Win
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