Frequently Asked Questions
LegalFund is a third-party litigation funding company, who provide financial support to the litigants to pursue legal dispute on the non-recourse basis.
Third party litigation funding is an arrangement between a funder and litigants, where the independent third-party provides financial supports for legal cases, usually in exchange for a share of the proceeds if the case succeeds.
Non-recourse funding means claimants repay the funder only if the case succeeds, if the case is lost, no repayment is required.
Yes, start-ups, MSMEs, and corporate disputes with meritorious legal claims are eligible for funding.
Yes, Lawyers can secure financing for their client’s case, through legalFund.
Yes, the investment opportunity is open for everyone, whether you are an individual, company, start-ups or SMEs.
Commercial disputes, Breach of contract, Intellectual Property disputes, Insolvency Matters and recovery cases etc.
Returns are often a fixed percentage of claim proceeds, or may be set at a predetermined amount.
No, control remains with the claimant and their legal counsel, as a third-party funder LegalFund not only supports financially but also provide case assistance for smooth process and end-to-end case management. Still the ultimate decision making power is in the hand of the claimant.
Funding depends on case merits, size of claim, and potential recovery; minimums claim value may apply.
There is often a threshold for minimum claim value to be eligible for funding; details vary by case to case.
Yes, claimants may engage lawyers of their choice. LegalFund also helps to find a right lawyer for the case for successful outcome.
Due diligence refers to the thoroughly review case documents, merits, and legal theory before approval.
Approval timelines vary, from a few days to a couple of weeks depending on case nature and complexity.
LegalFund, track case progress to safeguard their investment. LegalFund may appoint dedicated legal expert for case management.
Investors may lose their investment if the case fails, since most structures are non-recourse.
Client confidentiality is prioritized and bound by the agreement.
Any stages of litigation funding can be funded which includes, pre-trial, trial, appeals, or enforcement proceedings.
Yes, LegalFund finance arbitration matters as well as court cases.
No, submitting an application for funding is free.
LegalFund currently funds cases all across in India. However, our vision is not limited with territorial limitation investors may invest in litigation funding in India around the globe.
No, you don’t need lawyer before applying, Legalfund will support you with necessary legal assistance.
Legal funds covers all the expenses related to the case, which includes but not limited to;
Lawyer’s fees, Stamp Duty, Court fees, Expert fees if required, or any other related expenses.
If the case is loose, the claimant does not need to repay anything.
After submitting the case, and taking due diligence, then the agreement is sign between the litigant and LegalFund by agreeing the terms and condition, the claimant receive funds.
LegalFund take due diligence before taking case, if the case has meritorious claim and backed by respective law the case will get funding.
In the Bar council of India V/S A.K Balaji and others, the Supreme Court stated that there is no restriction in third-party litigation funding. However Lawyers are barred to fund the case.
Sometimes, when the opponent got to know that the claimant is backed by funding they feel pressure and may withdraw the case or settle out of court.
Litigation funding is non-recourse and only repaid is the case succeeds, while a loan must be repaid regardless of the case outcome.
Legalfund does not cover past legal costs.
Yes, In the event that the Second Party conceals, withholds, or fails to disclose any material facts, documents, or communications relevant to the litigation, and such omission is subsequently discovered by the First Party at any stage of the legal proceedings, the Second Party shall be held solely and fully liable for any loss, damage, delay, or additional expenses suffered or incurred by the First Party as a direct or indirect result of such concealment or withholding. In such circumstances, the Second Party shall also remain obligated to pay the agreed amount in accordance with the terms of this Agreement, without any deduction, set-off, or delay.