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Commercial Legal Innovation Special Features

Key Takeaways from LFJ’s Podcast with Steve Shinn

December 13, 2021

Key Takeaways from LFJ’s Podcast with Steve Shinn

On the latest episode of the LFJ Podcast, Steven Shinn, founder of FinLegal, described the solutions his platform provides for both funders and lawyers, and explains his company’s points of differentiation with other third party platform providers.

Q: Why move into litigation funding and after-the-event insurance? Can you explain how FinLegal’s offerings are different than those of traditional funders?

A: Absolutely. I think one of the challenges is that the litigation funding market could grow a great deal. But there are challenges where lawyers don’t necessarily understand litigation funding, and there are a lot more funders that you can go to. So you want to help educate people who are new to litigation funding and ATE about how to access it and how it works.

There are more funders joining, which is increasing the number of claims that get funded. So whereas before you might have only had funders looking to deploy $5 million to a claim, you now find situations where there are funders who want to deploy as little as $100,000 or less. So there’s a much broader range of funders…and it’s hard to go to all of them individually and it’s hard to know who’s in the market.

We thought, let’s build a sticky platform which provides the law firm with visibility and control over those funding requests, and let’s give them an online process (to write the best possible funding request) in terms of how it’s positioned to the funders so that it does get funding. With lots of funders to navigate, let’s build a platform to help lawyers navigate them, help them understand it—and let’s help them put forward the request with the best possible positioning.

Q: You mentioned getting involved in group actions (the UK version of US-style class actions). What got you interested in that space particularly, and does your technology background in any way penetrate that space?

A: Definitely. It started out as me seeing the VW group claim, and also seeing cartel claims, price-fixing on football shirts, and things like this. With my technology background, I thought ‘Well, how are law firms doing this?’

I saw that they had a lot of off-line case management platforms, they use a lot of spreadsheets. You know these systems didn’t talk to each other. There’s a lot of manual effort and no mobile interfaces for claimants to interact with the law firm. So I thought, ‘We can build a platform that will enable that.’ Essentially, we’d be taking a completely fresh look at it. With a technology and software development background and a product development background. How do we build/provide something that enables lawyers to spend the least time possible working with each claim. We know that’s important to the economics of the claim—not having to spend a lot of manual effort on each claim.

So that’s what we produced, a solution that works on a management by exception basis, so essentially the claimant goes through an automated set of steps. And where they fall out of those steps or where they don’t meet certain criteria, only then do they need to get picked up by the law firm.

Q: I know you offer a claim automation solution, can you explain what this solution does?

A: The main benefit of the solution is that it increases the volume of clients. So what you tend to find, is if there’s a bad claimant experience, people fall out of the process. You’ve spent money on acquiring that claimant, you spend advertising pounds or dollars to get them into your funnel, to start working with them. But they become disenfranchised from your process, right? Or they don’t like getting a lot of phone calls, or they feel like the process is insecure and it happens via Email without clear instruction. So if you have a good online process, it increases the volume of clients. That’s the first thing.

And it reduces the amount of time spent per client also, because…the law firm is only working with clients who fall out of the automated process. It’s also plug-n-play, so if you want to start work on a new type of matter it might be that this week you’re building a book of emissions claimants, and the following week you want to launch a shareholder claim.

You can launch that from the platform in a matter of days and start book building. You’re not having to have lots of different contractors and different systems that you have to modify to start doing something new or different. You talk to us, we set it up for you, and then you manage it through an interface that you’re very familiar with.

Commercial

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Commercial Special Features

Smarter Intake for Litigation Finance Firms

By Eric Schurke |

The following piece was contributed by Eric Schurke, CEO, North America at Moneypenny.

From the very first interaction, litigation finance firms and legal teams should be capturing structured, decision-ready information that enables early case assessment, risk evaluation, and efficient routing. 

This typically includes:

• Who the potential claimant or referrer is and their preferred method of communication
• The context of the matter, including jurisdiction and type of claim
• The stage, urgency, and timeline of the case
• Key parties involved and any relevant documentation
• How the opportunity originated

When captured consistently, this information allows for faster triage, more effective screening, and quicker progression from initial enquiry to investment decision. 

What are the most common mistakes organizations make when handling inbound investment or M&A inquiries?

In litigation finance, the most common mistakes are operational but they have direct commercial and reputational consequences:

1. Slow response times
Prospective clients often contact multiple firms at once. Delays can signal lack of availability or interest.

2. Unstructured information capture
Inquiries can come in over the phone, through email, website forms and LinkedIn, resulting in fragmented or incomplete information.

3. Over-automation or under-humanization
Generic automated responses can feel impersonal, while entirely manual processes create inconsistency and delays.

4. Poor routing and follow-up
Without clear ownership, communications can sit in inboxes or be passed between teams meaning opportunities can stall or be lost internally.

Ultimately, the biggest mistake is treating first contact as administrative rather than strategic, when, in reality, it is the starting point of deal quality.

The most effective approach is a hybrid one - using technology for speed, structure, and consistency and people for judgement and relationship-building.

Technology can:
• Capture and structure case data
• Provide immediate acknowledgement
• Ensure questions are routed quickly and consistently
• Create a clear audit trail

People can:
• Understand nuance and context
• Build rapport and trust
• Ask the right follow-up questions
• Represent the funder’s brand and values

At the start of any case or investment journey, relationships matter. Technology should enhance that experience, not replace it.

What measurable impact can better first contact have on pipeline strength, relationships, and deal outcomes?

Stronger first contact directly improves:

  • Pipeline quality: better intake leads to more qualified, investment-ready opportunities
  • Conversion rates: fast, more professional responses increase engagement and exclusivity, as well as the likelihood of securing instructions
  • Investor confidence: structured early-stage data improves decision-making
  • Operational efficiency: less time chasing incomplete information and faster conflict checks
  • Deal velocity: quicker progression from enquiry to evaluation and funding decision.

Small improvements at the top of the funnel compound across the entire investment lifecycle.

If firms could make just one or two changes today to improve their approach to inquiries, what would you recommend?

1. Create a standardized intake framework
Define the essential data needed for case screening and risk assessment, and ensure it is captured consistently across every channel.

2. Treat first contact as a strategic touchpoint
Ensure every enquiry receives a prompt, professional and human response that reflects the firm’s brand and client-care standards.

In litigation finance, early impressions don’t just shape relationships, they shape deal outcomes. These two changes alone can significantly improve conversion, efficiency and client relationships.

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Eric Schurke is CEO, North America at Moneypenny, the world’s customer conversation experts. He works with legal firms, litigation funders, and professional services to transform how they manage and qualify inbound opportunities. Eric is passionate about helping organisations strengthen deal flow, improve first impressions, and deliver exceptional client experiences from the very first interaction.

Commercial

Cartiga Closes Inaugural Private Credit Fund, Explores Public Listing via SPAC

By John Freund |

Litigation finance firm Cartiga has closed its inaugural LBS Income Fund and is now exploring a public market listing through a potential combination with Alchemy Investments Acquisition Corp 1, a special purpose acquisition company.

As reported by Stock Titan, Cartiga describes itself as a data-driven, tech-forward asset management platform for investing in legal claims and law firms. The company reports having deployed more than $1.9 billion over its 20-year history, participating in matters generating over $20 billion in estimated settlement values.

The newly closed LBS Income Fund is a private credit vehicle anchored by a major alternative asset manager, designed to give institutional investors exposure to Cartiga's litigation finance platform. The fund complements the firm's two core business lines: direct asset origination across consumer pre-settlement advances and commercial attorney financing, and fee revenue from synthetic equity participations in law firms and cases.

Alchemy Investments is evaluating a potential business combination with Cartiga and has initiated PIPE (private investment in public equity) discussions to support the transaction. No definitive agreement has been reached, and no assurance has been given that a deal will be completed.

If consummated, the transaction would represent another milestone in the maturation of litigation finance as an institutional asset class, following a broader trend of funders seeking public market capital to scale their platforms. Cartiga's combination of consumer and commercial funding, paired with its proprietary data analytics, positions it as a diversified player in an increasingly competitive market.

Commercial

IPWatchdog Panel: Patent Licensing Ecosystem Is Broken and Litigation Finance Capital Is Reshaping the Market

By John Freund |

The voluntary patent licensing ecosystem is "functionally broken," according to a panel at IPWatchdog LIVE 2026, with litigation finance capital now identified as one of five macro forces reshaping the patent transaction landscape.

As reported by IPWatchdog, panelists described a market in which demonstrating the economic ability to litigate has become a structural requirement for meaningful licensing negotiations. Without credible financial backing, patent owners struggle to extract fair value from their intellectual property.

Approximately 25% of financed patent deals now include insurance arrangements, providing alternative collateral, reducing investor exposure in settlement scenarios, and extending enforcement financing to a broader range of patent owners. The convergence of litigation funding and insurance products is creating new pathways for smaller patent holders to pursue enforcement actions.

However, the panel raised concerns about proposed transparency requirements for IP financing arrangements. One panelist warned that mandatory disclosure of funding relationships could "paint a big target on the unfunded party's back," potentially disadvantaging under-capitalized patent owners competing against well-resourced corporate defendants.

The discussion underscores litigation finance's deepening role in the intellectual property market, where the ability to credibly fund enforcement has become as important as the strength of the underlying patent itself.