Hedge funds, private equity and sovereign wealth funds are piling billions into the outcome of high stakes court cases at a faster rate than ever before.
Litigation finance -- the practice of paying legal fees up front with a promise to share in any eventual payout -- soared to a $39 billion global industry in 2019, according to law firm Brown Rudnick. It’s being used to fund everything from Russian oligarch’s divorces to take on banks in fraud suits. And now regulators are asking whether there’s enough oversight.
