Commercial litigation
Capital for commercial claims between sophisticated parties
Nonrecourse financing for contract, business tort, fiduciary duty and securities claims, so companies and their counsel can pursue meritorious disputes without diverting operating capital.
Executive overview
Commercial disputes can absorb years of legal fees, expert costs and management time before value is realized. Many companies with strong claims settle early, or never file, because the cost sits on their income statement.
LOFFCO funds the case against its expected proceeds. Fees and expenses are paid as the matter proceeds, and our return comes only from a successful recovery, according to the terms of the financing.
| Claim value | $10 million and above |
|---|---|
| Capital use | Legal fees, expert costs, court costs, working capital |
| Stage | Pre-filing through appeal |
| Counsel | Hourly, hybrid or full contingency |
| Recourse | Generally nonrecourse |
What we finance
Matters we review
- Breach of contract and warranty
- Business torts and tortious interference
- Breach of fiduciary duty and shareholder disputes
- Securities and investor claims
- Fraud and misrepresentation
- Antitrust overcharge claims
Funding structures
Fees and expenses funding
Capital that pays some or all of counsel's fees and case costs as they are incurred.
Hybrid fee support
Funding for the hourly portion of a reduced-rate, partial contingency arrangement.
Working capital
Capital against the claim for general corporate use while the case proceeds.
Claim monetization
An upfront payment in exchange for a share of future proceeds.
Underwriting focus
What we test first
Contract language and the documentary record, the defendant's ability to pay, and whether damages can be proven with a method a court will accept.
Industries served
Process timeline
Indicative timeline
Overview
Response within five business daysConfidentiality
Weeks 1 to 2Diligence
Weeks 2 to 6Term sheet
Weeks 4 to 8Funding
At closing
Timing is indicative and depends on complexity and document readiness.
Questions
Frequently asked
Other solutions
Will the defendant know the case is funded?
Disclosure rules vary by court and jurisdiction. Some courts require disclosure of funding arrangements; many do not. Counsel should advise on the rules that apply to your matter.
Can financing replace a contingency arrangement?
Yes. Funding can pay counsel on an hourly or hybrid basis, or can support a firm that takes the case on contingency by covering expenses and a portion of fees.
What if the case loses?
Under a nonrecourse structure, the client generally owes nothing on the funded amount if there is no recovery, subject to the terms of the final agreement.
Do you fund defense-side matters?
Selectively, where a defense has a measurable economic outcome that can support a structure. Our focus is affirmative claims.
Confidential case review
Start with a nonprivileged overview
Send a short summary of the dispute, the parties and the capital need. We answer every submission within five business days. Substantive materials come later, once a confidentiality framework is in place.