valuations

Litigation Finance: Creating a Code of Conduct

Lee Drucker

In mature industries, there is usually a set of rules outlining best practices for individuals and organizations. In newly developing industries, however, best practices are less clear, and once established spread more slowly. In order to promote the development of best practices in litigation finance, we recently identified key aspects of a funding arrangement that we believe will lead to the best results for a claimholder. Companies considering a litigation financing offer should consider the following principles and their importance:

Delaware Recognizes Distinction Between Litigation Finance and Champerty

Marla Decker

Last week, the Delaware Superior Court held that a litigation finance arrangement does not run afoul of the medieval doctrines prohibiting champerty and maintenance. These laws, which were originated by medieval kings who were annoyed by vexatious litigation of feudal lords, are still recognized in Delaware though their application has been very much limited.

Litigation Finance, a Success Story

Marla Decker

More than five years after a small family-owned company based in England filed suit against U.S. construction machinery giant Caterpillar Inc. for breach of contract and trade secret misappropriation of its “Bug coupler” technology (specialized equipment used with hydraulic excavators), the journey has paid off. In December, after an eight-week trial, a jury awarded plaintiff Miller UK Ltd. (“Miller”) $74.6 million in damages (including $49.7 million in exemplary damages); an award that Miller’s attorneys contend is the largest ever under the Illinois Trade Secret Act.

This entrepreneur nearly lost his company. Here’s how litigation finance helped him fight back.

Lee Drucker

As much as the landscape for biotechnology startups has changed over the last decade, one thing that hasn’t changed is this: Intellectual property is the beating heart of a business. But as more parties get involved in funding early-stage development of new technologies, locking down and protecting the rights to intellectual property has also become…

How to Value a Litigation or Legal Claim

Lee Drucker

When pricing a litigation or Legal Claim (sometimes referred to as a litigation-related asset), there are four primary components of analysis. The first component is the probability of success on the merits. Litigation is inherently uncertain. Each side has its own story, which may or may not be fully revealed at the time of evaluation.…

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The best way for companies and their counsel to determine if litigation finance is an attractive option is to discuss it with us.

Lee Drucker drucker@lakewhillans.com