The term 'litigation funding' is also known as 'legal financing' and 'third-party funding'. Litigation funded solutions offer individual bespoke products to consumers to litigate or arbitrate without having to pay for it.
Claimants or defendants can apply to obtain all, or part of the necessary funding, which is required to cover the actual legal costs and disbursements.
Consumers should consider the products on offer and choose the most suitable one for their own individual needs.
Taking or defending legal action, a consumer must accept that the legal adventure will come at a cost. A consumer will need advice and must pay the necessary disbursement so that a case can be delivered. Apart from the obvious, a consumer will need to pay for their own personal expenses and those of any witnesses.
If a consumer elects to fund the case, then clearly the consumer will not have the need for litigation funding, however, when considering how much litigation can cost, and having regard for the disposable money available, the consumer may consider inviting another to assist with their legal funding requirement.