On June 11, 2019, the Federalist Society’s Litigation Practice Group hosted a panel titled “Third Party Litigation Financing: A Distorting or Reinforcing Practice?” at the National Press Club in Washington, DC.
Third party litigation financing (TPLF) is the practice of external financiers investing in lawsuits in exchange for a percentage of any settlement or judgment. TPLF is a global industry with approximately $100 billion available to funders and firms. Proponents argue that the practice makes it possible for marginalized plaintiffs to bring difficult cases that wouldn’t otherwise be brought. Critics, however, claim that it harms the legal system, distorting the plaintiff and defendant roles and making lawsuit settlements more difficult and expensive. Are these criticisms fair? Or do the benefits outweigh the objections?
As always, the Federalist Society takes no position on particular legal or public policy issues. All opinions expressed are those of the speakers.
-Prof. Brian Fitzpatrick, Vanderbilt University Law School
-Andrew Grossman, Baker & Hostetler LLP
-Prof. Erin Hawley, University of Missouri School of Law
-Luther Strange III, Former Alabama Senator
-Moderator: Dean Reuter, The Federalist Society