NEW YORK, Dec. 4, 2012 /PRNewswire/ -- Litigation finance has a clear use in the U.S. market, and lawyers and general counsel expect this type of financing to grow in commercial litigation over the next 18 months, according to Burford's first annual survey about litigation finance released today. Some of the other highlights of the survey are:
- 69% of AmLaw 200 litigators surveyed expect that the use of litigation finance will increase in the next 18 months; only 3% expect it to decrease.
- 51% of AmLaw 200 litigators surveyed said that they have had a case that would have benefitted from outside financing, and 18% said they currently have a case that could use funding.
- 63% of general counsel and 71% of CFOs said that litigation finance should be viewed as just another form of corporate finance (e.g., aircraft leasing).
- 59% of general counsel and 70% of CFOs say that litigation finance levels the playing field between parties with unequal financial resources.
- 93% of the litigators at AmLaw 200 firms and 93% of commercial litigators (not in the AmLaw 200) say they are aware of the practice of litigation funding.
Christopher Bogart, CEO of Burford, remarked: "Companies with meritorious claims can be drained by litigation or outspent by better financed adversaries. With financing, the case is about the merits, not about the bank accounts. The survey findings show just how relevant this kind of financing is." Burford is the world's largest provider of investment capital and risk solutions for litigation.
The survey is the first of its kind and was conducted by Briefcase Analytics, a leading business intelligence firm. It surveyed litigation partners at AmLaw 200 firms and at smaller law firms as well as general counsel and chief financial officers serving large and mid-sized corporations. According to Briefcase Analytics, the survey is statistically valid and representative of the opinions of the audiences surveyed.