Whilst a claimant who wants their ‘day in court’ is a potentially good thing for a law firm, it can be far from ideal for a funder. The funder wants to ensure that the claimant is not merely seeking to have their position vindicated but that they have reasonable settlement expectations.
Even though the claimant does not have to have the means to fund a claim, their financial position is a factor that needs to be considered. The funder needs to ensure the claimant has sufficient resources to carry on as a going concern during the course of proceedings as if a claimant were to become insolvent during proceedings this could cause issues as to subsequent ongoing management of a claim.
Confirm with claimant;
Curious to find out more about the economics of a claim? Check out the previous blog in this ‘litigation funder’s checklist’ series, ‘The litigation funder’s checklist – economics’.
Next in this series, we’ll be understanding how the funder ensures that the defendant is in a position to pay any judgement sum in a claim.
If you are considering litigation funding and have a case which broadly meets the above criteria, please do not hesitate to contact Glyn or a member of our team of litigation funding experts to discuss the process in further detail.