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Announcements Commercial

Ruth Stackpool-Moore joins IMF Bentham and Omni Bridgeway Asia team

SINGAPORE (11 NOVEMBER 2019) IMF Bentham Limited (ASX:IMF) is delighted to announce that on Monday, 4 November 2019, Ms Ruth Stackpool-Moore joined our expanding global team as Investment Manager, based in our Singapore office. Ruth’s appointment follows the news of IMF Bentham and Omni Bridgeway’s plans to merge, creating a leading global dispute financier and the largest on-the-ground team in the Asian region. Ruth will be responsible for sourcing, assessing and managing funded cases throughout Asia, including arbitration, litigation and insolvency claims. She will be working closely with Mr Tom Glasgow, Chief Investment Officer - Asia (based in Singapore) in a fast-growing dispute investment practice which spans Asia, including mainland China, Hong Kong, India, Indonesia, Japan, Korea, Philippines and Singapore. In June 2019, IMF Bentham was recognised as the only ‘Band 1' funder in the Asia-Pacific by the legal industry’s leading global directory, Chambers and Partners. Ruth said: “Having been at the forefront of the growing third party funding industry in Asia, it is an exciting progression for me to join Tom and the IMF team in Singapore, and to continue to offer sophisticated funding solutions to Asian corporates from within the market-leading platform IMF has built in Asia, and globally.” Before joining IMF Bentham in November 2019, Ruth was Managing Director for an exclusive broker to a global litigation funder in the Asia-Pacific region. One of the first to set up and manage local operations for a global funder in Asia, Ruth has been commercially assessing dispute prospects and funding cases in civil and common law jurisdictions in Asia, and globally, since 2015. During that time, she has also worked to develop regional political and legislative frameworks to allow third party funding in key Asian jurisdictions. Ruth joined the funding market from the Hong Kong International Arbitration Centre where, as Managing Counsel, she led the arbitration team and, in 2014, managed the Centre as Acting Secretary-General. Ruth is a qualified lawyer in Australia and the UK, with particular expertise in international arbitration, having begun her career in private practice with specialist firms Debevoise & Plimpton in London, Orrick Herrington & Sutcliffe in Paris and Coudert Brothers in Paris and Sydney. Tom Glasgow, IMF Bentham’s Chief Investment Officer - Asia, said: “We are thrilled to welcome Ruth to our team. As one of the pioneers of the funding industry in Asia, Ruth brings with her a wealth of experience and a deep professional network. She also joins us at an exciting time of growth, alongside the merger with Omni Bridgeway, allowing us to provide a truly unparalleled depth of service and expertise to our Asian client-base.” ABOUT IMF BENTHAM IMF Bentham is a leading global litigation and dispute financier, headquartered in Australia and with offices in the US, Canada, Singapore, Hong Kong and London.  The company has built its reputation as a trusted provider of innovative litigation financing solutions and has established an increasingly diverse portfolio of litigation and dispute financing assets.  IMF Bentham has a highly experienced litigation financing team overseeing its investments, delivering, as at 30 June 2019, an 89% success rate across 192 completed cases (excluding withdrawals).  Visit imf.sg or imf.com.au to learn more. ABOUT OMNI BRIDGEWAY Omni Bridgeway was founded in the Netherlands in 1986 and is known as a leading financier of high-value claims and a global specialist in cross-border (sovereign) enforcement disputes. The Omni Bridgeway group includes ROLAND ProzessFinanz, a leading German litigation funder which became part of Omni Bridgeway in 2017, and a joint venture with IFC (part of the World Bank Group). The joint venture is aimed at assisting banks with the funding and managing the enforcement of non-performing loans and related disputes in the Middle East and Africa. Visit omnibridgeway.com to learn more.
Announcements Commercial

Parabellum Appoints Jiamie Chen as Director of Investment Initiatives

Parabellum Capital LLC (“Parabellum”), a leader in commercial litigation finance, today announced the appointment of Jiamie Chen as Director of Investment Initiatives, a newly created position that strengthens the firm’s origination and underwriting of new investment relationships in strategically significant sectors. She will be based in San Francisco. “Jiamie has an incredibly impressive background and entrepreneurial character. With experience as a plaintiffs’ and defense-side antitrust attorney and as a federal prosecutor, she is ideally positioned to target and develop strategic initiatives,” said Aaron Katz, Parabellum’s Chief Investment Officer. “I’m honored to join a team that continues to lead the commercial litigation finance field through a focus on true alignment,” said Ms. Chen. “It’s an exciting time to join this fast-growing industry. Litigation finance today is brimming with opportunities to leverage my affirmative litigation experience to develop new strategies that innovate the business of law.” Ms. Chen joins from the Joseph Saveri Law Firm, where she specialized in complex litigation. Her experience there included work on the EpiPen antitrust and RICO multidistrict litigation (MDL), the Capacitors price-fixing antitrust litigation, and the UFC monopoly and monopsony litigation. She previously served as an Assistant United States Attorney and as the designated Department of Justice Financial Crimes Task Force prosecutor for the District of Nevada, focusing in high-dollar financial crimes. Ms. Chen also previously served as judicial law clerk for Chief Judge Lawrence J. O’Neill of the United States District Court for the Eastern District of California. She began her legal career in the antitrust and white-collar defense practices at White & Case LLP. Ms. Chen is an active member of various professional associations. In addition to serving on the California Lawyers Association Antitrust, UCL & Privacy Section’s Executive Committee, Ms. Chen is the Co-Chair of the Women’s Committee and a member of the Mentorship Program for the Asian American Bar Association of the Greater Bay Area; the Regional Director for the Dartmouth Asian Pacific American Alumni Association; a Board Member of the Dartmouth Club of Greater San Francisco; and a member of the American Bar Association Antitrust Section and the Bar Association of San Francisco. She is also a Barrister member of the Edward J. McFetridge American Inn of Court in San Francisco. Ms. Chen received her J.D. from the University of Pennsylvania Law School, where she served as Symposium Editor of the University of Pennsylvania Journal of International Law, and her B.A. in Government from Dartmouth College. She has published several expert commentaries on litigation matters and is a lead chapter author of an upcoming ABA Antitrust Section treatise on expert witnesses and Daubert practice. About Parabellum Capital Parabellum Capital is a leading financier of commercial and intellectual property litigation. Its principals pioneered the commercial litigation funding market in the United States and remain on the forefront of shaping the asset class as the industry evolves. Parabellum is a trusted financial partner to claimholders and law firms for a wide array of litigation matters in the US, other common law jurisdictions, and international arbitration forums. Founded in 2012, Parabellum’s team includes legal and financial professionals with backgrounds at major law firms, investment banks, accounting firms, and the federal government. Parabellum principals previously founded the Legal Risk Strategies and Finance group at the global investment bank Credit Suisse. Parabellum manages both separate accounts and pooled private equity vehicles for institutional and high net worth investors globally. Based in New York, Parabellum’s team has invested hundreds of millions of dollars in the commercial litigation arena. Areas of focus include commercial disputes, antitrust, intellectual property infringement, trade secret misappropriation, bankruptcy and special situations. For more information, visit www.parabellumcap.com.
Announcements Consumer

Legal-Bay Settlement Funding Announces Extended Filing Deadline For Victims Of Sexual Abuse

JERSEY CITY, N.J., Nov. 6, 2019 /PRNewswire/ -- Legal-Bay LLC, The Lawsuit Pre Settlement Funding Company, reports a win for the victims of child sexual abuse at the hands of clergy members. After years of fighting, Governor Phil Murphy signed a law that offers victims of abuse the ability to sue their abusers up until they turn 55, or within seven years of their realization that the abuse caused them harm. Additionally, victims formerly excluded by the previous statute of limitations now have two years to file lawsuits seeking damages from the churches and dioceses that covered up the abuse. The bill will go into effect on December 1, 2019. If you or a loved one require an immediate cash advance from your clergy or Catholic church sexual abuse case, please visit the company's website:  http://lawsuitssettlementfunding.com or call: 877.571.0405 Chris Janish, CEO, commented on the company's focus of assisting plaintiffs in similar situations, "While these cases are appalling and heartbreaking, it's important for our company to inform the public of their options. Nothing can compensate for the lifetime trauma of childhood abuse, but with the new extended deadlines, adult victims will now be able to receive monetary reparations for their pain and suffering." Legal-Bay is an advocate for victims of sexual abuse across the country, and is well-versed in clergy abuse litigation, especially in situations where Catholic churches have filed for bankruptcy to limit their payouts. Even in those cases, the pre settlement cash company was able to provide a lawsuit cash advance to victims across the country, including NY and NJ. If you have already filed a clergy or Catholic Church sexual abuse lawsuit, you can apply for presettlement funding at:  http://lawsuitssettlementfunding.com or call: 877.571.0405 Legal-Bay's programs are non-recourse lawsuit cash advances, also known as case funding, which means you only repay the settlement advance if you win your case. None of the programs should be considered to be a lawsuit loan, lawsuit loans, settlement loans, settlement loan, pre-settlement loans, or a pre-settlement loan. SOURCE Legal-Bay LLC
Consumer

West Virginia Basically Outlaws Consumer Legal Funding

After the state of West Virginia amended article 6N of its Consumer Credit and Protection Act this past summer, the litigation funding industry has essentially been prevented from operating in the state. And that's exactly what industry opponents were hoping for. According to JD Supra, West Virginia's amendment only applies to funding towards individuals, not to commercial entities (that's in contrast to some other states' funding regulations, such as Wisconsin's, which appear to apply more broadly). The amended article now regulates both the funders themselves and their funding contracts. Key provisions include: the requirement for funders to register in the state and remain 'in good standing,' a prohibition on paying the consumer's attorney any fee or commission, a prohibition on assigning funding contracts (with some exceptions), a mandate that funding contracts be completely filled in when presented to the consumer and contain certain disclosure language, a prohibition against mandatory arbitration, and perhaps most importantly - a rate cap of 18% with no more than semi-annual compounded fees. That last provision is what essentially prevents the industry from operating in the state, since roughly 10% of all funding investments are lost due to the case being dismissed or lost at trial (funding is non-recourse, so if the consumer doesn't win a payout or settle, the funding company gets nothing). Plus, the penalties for violation are harsh. Any violation renders the funding agreement null and void, and should the funder litigate the enforcement of a contract in court and lose, they may be on the hook for the counterparty's attorney fees. All of this is a clear signal to the industry by the state of West Virginia: Go away. And as the Alliance for Responsible Consumer Legal Funding points out, that is exactly what has happened.
Announcements Consumer

U.S. Claims Makes Further Inroads into $250B Market

DELRAY BEACH, Fla., Nov. 5, 2019 /PRNewswire/ -- DRB Financial Solutions, LLC (DRBfinancial.com), and its wholly-owned subsidiary U.S. Claims (USClaims.com), America's premier pre-settlement funding company, today announced that U.S. Claims has closed on yet another private placement transaction.  This marks the company's second litigation advance backed transaction of the year and DRB Financial's fourth term securitization transaction involving this asset class overall.  It primes U.S. Claims to continue its run of impressive growth.

DRB Financial's Senior Vice President and Head of Capital Markets, Jason Sutherland, commented, "We are very pleased with the market's response to this new and rapidly growing asset class.  In each of our four-term transactions, we have achieved improved execution in terms of advance rate and credit spreads."  He continued, "We hope to issue 2-3 such term deals per year as we continue to expand the origination and servicing platform."

Donna Lee Jones, the President of U.S. Claims, added, "America's tort system presents us with a total addressable market of more than $250 billion per year, and we have barely scratched the surface of this opportunity.  We look forward to helping tort victims through the often arduous litigation process while offering attractively priced investment opportunities to the capital markets."

The pre-settlement funding company, established in 1996, has been consistently voted among the best in the nation.  In 2019 alone, U.S. Claims earned first place rankings by the audiences of national legal publications in several categories, including "Best Consumer Litigation Funding Provider," "Best Law Firm Funding Provider," and the coveted "Hall of Fame" award from The Legal Intelligencer.

About U.S. Claims: U.S. Claims (www.USClaims.com) provides litigation funding for plaintiffs, attorneys, and surgeries.  Its flagship offering is providing non-recourse financial support to personal injury victims, some of whom may have suffered catastrophic injuries from defective products, unsafe premises, motor vehicle accidents, and other types of accidents; this financial support provides the injured plaintiff the means to pay bills and endure the often long and arduous litigation process.

About DRB Financial Solutions, LLC, (DRB) provides liquidity solutions to individuals and small/medium-sized businesses holding high quality but illiquid assets. Having raised over $1 billion in capital and developed a robust origination platform, DRB is a market leader in four major lines of business:  U.S. Claims, CRG Financial, (CRGFinancial.com), DRB Capital (DRBCapital.com) and Producer Advance (ProducerAdvance.com).

Commercial

Bloomberg Surveys Challenges and Opportunities in Litigation Funding Market

As we turn the corner into 2020, Bloomberg Law analyzes the results of its own Litigation Finance Survey to account for the challenges and opportunities facing the industry at this pivotal moment. As reported in Bloomberg, litigation finance had a wild year in 2019, and there is a lot to digest going into 2020. Bloomberg recently conducted a litigation finance survey, where they found that disclosure is the top concern for attorneys who have obtained or are interested in obtaining funding. Their survey shows that over 50% of attorneys who have done so are uninformed as to how frequently disclosure has been ordered (and in what contexts). Another key concern is accounting methodology. This topic was brought to the forefront in the Burford Capital / Muddy Waters saga, and has since become a hot-button issue in the industry. Burford is one of only a handful of publicly-traded funders, and the largest funder in existence; so to have the company shed nearly 50% of its value in a single day is naturally off-putting for investors and would-be investors into the space. And that brings us to one of the key points of of Bloomberg's survey findings: there is room for industry growth. The survey found that interest in funding outpaces current funding levels. Bloomberg points to Legalist's and Validity's funding rounds as two of the top-10 funding rounds in Legal Tech for 3Q19.
Announcements Commercial

Therium Access announces second round of grant awards to improve access to justice in the UK

Therium Group Holdings Limited, one of the world’s leading providers of litigation, arbitration and specialty legal finance, today announced the second recipients of grant awards by Therium Access, the firm’s not-for-profit arm dedicated to facilitating access to justice. This follows the recent appointment of Lord John Thomas of Cwmgiedd to its Advisory Committee and Jeunesse Mensier as Grant Programme Director.  The recipients of this grant round are: The Child Poverty Action Group:  a grant for the employment of an additional solicitor to build the capacity of their award-winning legal team which conducts strategic litigation to end child poverty; The Bar Human Rights Committee: a grant for the employment of a legal and policy officer to support the Bar’s influential international human rights work; JUSTICE: a grant towards their core costs to support their work which seeks to effect systemic change within the UK justice system by producing in-depth reports and recommendations; Advocate: a grant for the employment of their volunteer manager who facilitates and supports the laudable pro bono efforts of the Bar by representing those who cannot afford legal representation; The Free Representation Unit: a grant for the employment of a legal officer to provide full casework and advocacy in the social security and employment tribunals; National Family Mediation: a grant for the employment of a call handler to provide early advice and arrange mediation for families going through divorce or separation; The Speakeasy Law Centre: a grant for the employment of a new trainee solicitor who will provide legal advice to vulnerable people in the Cardiff area and ultimately qualify as a solicitor with experience in legal aid and social welfare law; Project for Registration of Children as British Citizens: a grant for the employment of a legal administrator and towards their core costs to support the specialist advice and strategic litigation they conduct on complex children’s citizenship issues; and Central England Law Centre: a grant towards their Birmingham centre’s core costs to support the direct advice they provide to local people and to bring strategic litigation cases. In addition, Therium Access has approved grants for two strategic litigation cases. Further information on these grants will follow in due course. Launched in March 2019, Therium Access has committed to providing grants worth a total sum of £900,000 to date. It is anticipated that tens of thousands of people will benefit from these grants, either by receiving direct advice and support or by the strategic litigation conducted by these organisations. Therium Access is the first of its kind initiative in the litigation funding industry. Grants awarded by Therium Access are intended to promote access to justice for those who lack the funds necessary to pursue or defend claims, as well as supporting projects that seek to improve access to justice.  John Byrne, Co-Founder and CEO of Therium Capital Management Limited, said: “We were overwhelmed by the number of worthy applications we received.  It is humbling to see the incredible work that so many organisations are doing every day to support the most vulnerable people in our society. Therium is proud to offer support to a number of these inspirational organisations and we look forward to building even more relationships in the advice sector.” Lord Falconer, Chairman of Therium Access Advisory Committee, said: “These grants demonstrate the depth of the impact Therium Access has. Most of our grants have been made to organisations which provide direct advice to those most in need, but it is also critical to support organisations which seek to challenge, influence or change the law.” About Therium Access Therium Access is the primary expression of Therium’s corporate and social responsibility programme. Therium Access dispenses with the criteria of funding for profit and has the sole purpose of facilitating access to justice.  Therium Access is a mark of Therium’s wider commitment to the pursuit of justice and the rule of law. Therium Access accepts applications from charities and other entities whose services and projects facilitate access to justice or from those seeking assistance to obtain legal representation on cases (including defence) which have strategic importance. The applicant’s need and the impact of the grant will be important factors in our review process. The deadline for the submission of the next round of grant applications is 30 April 2020. In addition, urgent applications may be considered on an ad hoc basis. Applications need to be made by legal representatives or the entity seeking a grant.  The board of Therium Access is assisted by an Advisory Committee which is chaired by Lord Falconer, former Lord Chancellor, Secretary of State for Constitutional Affairs and Secretary of State for Justice. Therium Access aims to support access to justice in the broadest terms and considers applications that further the following causes (in no particular order): The right to legal representation or due process; The proper and efficient administration of justice; The advancement of human rights; The promotion of equality of rights and diversity; The protection of children, the elderly, the disabled, minorities, asylum seekers and other vulnerable or disadvantaged groups; The advancement of environmental protection or improvement; The promotion of legal education that furthers the causes listed above; and any other case or project in which a person, group, or entity will not have access to justice without financial assistance. Therium Access is intended to be a global initiative. Its initial focus is on the UK and it will be rolled out in other jurisdictions in a number of planned phases. About Therium Therium is a leading global provider of litigation and arbitration and specialty legal finance. Over that period, Therium has funded claims with a total value exceeding £34 billion, including many of the largest and most high profile funded cases in the UK.  With investment teams in the UK, USA, Australia, Spain and Norway, Therium has established a track record of success in litigation finance in all forms, including single case litigation and arbitration funding, funding law firms and portfolios of litigation and arbitration claims.  Therium is also a founding member of the Association of Litigation Funders of England and Wales.  Therium Access and its not-for-profit funding is the latest innovation from Therium which has consistently been at the forefront of innovation in litigation finance, pioneering the combined use of insurance tools alongside funding vehicles, and introducing portfolio funding products into the UK.  Therium’s ability to develop innovative funding arrangements and bespoke financial solutions for litigants and law firms complements its unmatched experience and rigorous approach to funding a wide range of commercial disputes throughout the world. Chambers and Partners have ranked Therium as a Tier 1 litigation funder and Neil Purslow, the firm’s Chief Investment Officer, as a leading individual in the litigation funding industry, for the last two years. In February this year, Therium Capital Management was top ranked as one of the two “Leading” litigation and arbitration funding firms in the UK by legal and business directory Leaders League, in their 2019 ranking of litigation funding. Therium was also ranked as “Excellent” in the 2019 US ranking.  www.therium.com  www.theriumaccess.org
Uncategorized

LPF-Funded $750MM Shareholder Class Action Launched Against New Zealand Insurer CBL

LPF Group is funding a $750MM class action against collapsed New Zealand Insurer CBL, alleging the company directors breached their continuous disclosure obligations, made misleading statements during the IPO, and engaged in insider trading. As reported in Stuff, CBL collapsed in 2018, and now major shareholders, led by investment firm Harbour and Argo Investments Limited, are seeking redress for their financial losses. The company failure was one of the largest at the time in New Zealand corporate history. The claim alleges that the IPO statements were misleading, as they gave the impression that the company had enough in reserves to cover its insurance obligations. The claim also states that company executives failed to properly disclose key financial information post-IPO, and that directors Peter Harris and Alistair Hutchinson sold shares in CBL through companies they controlled, using information not privy to the general public. The now-defunct insurer, which did most of its business in Europe and specialized in new home renovation insurance, cost shareholders hundreds of millions when it went belly-up. Questions are also being asked about the industry regulator, the Reserve Bank, which had suspicions about CBL in 2013, but did not actively pursue an investigation until 2017 due to a lack of resources. CBL's directors are defending themselves against the allegations, and deny any wrongdoing whatsoever.
Commercial

Hearing Set for RAM Investors in LPF-Funded ANZ Claim

Ross Asset Management (RAM) investors are suing Australia and New Zealand Banking Group (ANZ), alleging that the bank breached its fiduciary duties to investors. The first legal hurdle has emerged, with ANZ filing a 'strike-out' application, asking the court to dismiss the motion entirely. As reported in ShareChat, the underlying claim involves investors in RAM, who allege that the now-defunct investment vehicle swindled them out of millions of dollars. RAM collapsed in 2012 after it was discovered to essentially be a Ponzi scheme. The $450MM under management had been wiped out, with further losses of $100MM on the books. Thus far, only $10MM has been recovered for investors. A claimant pool of 500 investors is suing ANZ for $70MM, in a claim that is funded by New Zealand funder LPF Group. With ANZ's latest application, the likelihood of a court date before 2021 is looking grim. However RAM investor group spokesman John Strahl noted that he'd rather have this application out of the way now, to ensure the court indeed wants to hear this case, than learn much later in the process that the case should be tossed.
Announcements Commercial

Augusta launches Consumer Claims Division with hires from Deloitte, Puma Investments, Prospect Capital and Stevens & Bolton

Augusta, the UK’s largest litigation funder by case volume, today announces the formation of its Consumer Claims Division, with four new hires into the business.

Led by Head of Structured Projects, Ed Yell, new joiners to the team are: Investment Managers Oliver Lawson, Solicitor (joining from Stevens & Bolton), Matthew Pitchers, ACA (joining from Deloitte) and Katherine Woodfine, CFA (joining from Puma Investments) as well as Investment Associate Lewis Davey (joining from Prospect Capital). Max Turner, already with Augusta, will also work with the team.

Louis Young, Managing Director at Augusta, said “I’m delighted to welcome Oliver, Matthew, Katherine and Lewis to the new division that Ed Yell has created. We have seen increasing demand for the funding of both large-scale consumer actions and high volume individual claims, both in the UK and in Europe, and we have responded with investment into specialist expertise to help law firms, claims managers and their clients navigate the compensation terrain on their way to gaining the access to justice that is sorely needed”.

Augusta has recently announced a further $115m fundraising from a multi-billion-dollar US-based investment manager. This follows a £150m fundraising from a global investment fund in 2018, to finance business growth and investment in funding cases.

Augusta has also recently announced hirings into its senior team with the arrival of Proskauer Director Polly Bahl as Chief Operating Officer, FTI Consulting Managing Director Leor Franks as Chief Marketing Officer and Ardonagh Group’s Chief Counsel Frances Coats as General Counsel. These additions reflect Augusta’s ongoing growth and increasing client demand for dispute and litigation funding.

About Augusta:

- Established in 2013, Augusta is the largest litigation and dispute funding institution in the UK by # case. Augusta’s scale enables us to make decisions in market-leading timeframes and fund cases of any size. - Augusta is organised into a series of specialist practice groups: Arbitration, Class Action, Competition, Consumer, Intellectual Property and Litigation, and sectors including Financial Services and Construction & Energy. - By the end of H12019, Augusta had funded 213 claims with a market-leading win ratio of over 80%. - Augusta has offices in London, Sydney, Melbourne and Toronto. - #consumer #litigation #legalservices #investment #privateequity

Announcements Commercial

Lord Thomas of Cwmgiedd joins the Advisory Committee of Therium Access, which is chaired by Lord Falconer

Jersey, Channel Islands, 29 October 2019. Therium Access, the not-for-profit arm of leading global litigation finance provider Therium, today announced that Lord John Thomas of Cwmgiedd is joining its Advisory Committee. Jeunesse Mensier has also been named Grant Programme Director. Lord Thomas was Lord Chief Justice of England and Wales – the most senior judge in the UK – between 2013 and 2017, and is a life peer. He was born in Wales and read law at Trinity Hall, Cambridge before being called to the Bar in 1969. Lord Thomas commenced practice in commercial law at what is now Essex Court Chambers in 1972 and became Queen’s Counsel in 1984. In 1992, he was appointed by the Department of Trade to inquire into the affairs of the Mirror Group Newspapers when owned by Mr Robert Maxwell. He became a High Court Judge in 1996, became a Lord Justice of Appeal in 2003 and was Senior Presiding Judge of England and Wales from 2003 to 2006. In 2008, he was appointed Vice-President of the Queen’s Bench Division and Deputy Head of Criminal Justice. He succeeded Sir Anthony May as President of the Queen’s Bench Division in 2011 before becoming Lord Chief Justice of England and Wales two years later. More recently, Lord Thomas has been the Chair of the Commission on Justice in Wales tasked with reviewing the Welsh justice system. The Report will be released later this month. Jeunesse Mensier was previously an Investment Officer at Therium, and the change in her role further demonstrates Therium’s commitment to this ground-breaking initiative in the litigation funding industry. Throughout her career, Jeunesse has been committed to access to justice and she will lead the direction of the grant programme as it continues to expand. Therium Access, launched in March this year, awards grants for cases with strategic importance which tackle important or systemic issues, as well as to organisations that seek to improve access to justice. The Advisory Committee is chaired by former Lord Chancellor and Justice Secretary Lord Falconer.  The inaugural recipients of Therium Access grants included The Personal Support Unit, LawWorks, Crosslight Advice and the Suffolk Law Centre. Jeunesse Mensier, Grant Programme Director of Therium Access, said: “To add someone of the calibre and experience of Lord Thomas to our esteemed Advisory Committee is a real privilege. We are currently reviewing over 50 applications received as part of our second grant round, and the next grant recipients will be announced on the 4th of November. We look forward to Lord Thomas’s support and invaluable insights in helping to ensure that Therium Access fulfils its purpose.” Lord Thomas said: “I am delighted to join the Advisory Committee of Therium Access, an important initiative in restoring the right to legal support. The pressure of austerity and legal aid cuts have resulted in a justice system that is unable to protect the rights and serve the interests of its most vulnerable citizens. Access to the courts and the ability to rely on the rule of law form the bedrock of a civilised society.” John Byrne, Co-Founder and CEO of Therium Capital Management Limited, said: “Therium Access is extremely fortunate to have the commitment and enthusiasm of Jeunesse Mensier and a distinguished Advisory Committee, chaired by Lord Falconer, which assesses grant applications from those shut out of the justice system. Adding Lord Thomas to the committee makes an even more formidable team.” About Therium Access Therium Access is the primary expression of Therium’s corporate and social responsibility programme. Therium Access dispenses with the criteria of funding for profit and has the sole purpose of facilitating access to justice.  Therium Access is a mark of Therium’s wider commitment to the pursuit of justice and the rule of law. Therium Access accepts applications from charities and other entities whose services and projects facilitate access to justice or from those seeking assistance to obtain legal representation on cases (including defence) which have a strategic importance. The applicant’s need and the impact of the grant will be important factors in our review process. The deadline for the submission of the next round of grant applications is 30 April 2020. In addition, urgent applications may be considered on an ad hoc basis. Applications need to be made by legal representatives or the entity seeking a grant.  The board of Therium Access is assisted by an Advisory Committee which is chaired by Lord Falconer, former Lord Chancellor, Secretary of State for Constitutional Affairs and Secretary of State for Justice. Therium Access aims to support access to justice in the broadest terms and considers applications that further the following causes (in no particular order): The right to legal representation or due process; The proper and efficient administration of justice; The advancement of human rights; The promotion of equality of rights and diversity; The protection of children, the elderly, the disabled, minorities, asylum seekers and other vulnerable or disadvantaged groups; The advancement of environmental protection or improvement; The promotion of legal education that furthers the causes listed above; and any other case or project in which a person, group, or entity will not have access to justice without financial assistance. Therium Access is intended to be a global initiative. Its initial focus is on the UK and it will be rolled out in other jurisdictions in a number of planned phases. About Therium Therium is a leading global provider of litigation and arbitration and specialty legal finance, active in England and Wales since 2009. Over that period, Therium has funded claims with a total value exceeding £34 billion, including many of the largest and most high profile funded cases in the UK.  With investment teams in the UK, USA, Australia, Spain and Norway, Therium has established a track record of success in litigation finance in all forms, including single case litigation and arbitration funding, funding law firms and portfolios of litigation and arbitration claims.  Therium is also a founding member of the Association of Litigation Funders of England and Wales. Therium Access and its not-for-profit funding is the latest innovation from Therium which has consistently been at the forefront of innovation in litigation finance, pioneering the combined use of insurance tools alongside funding vehicles, and introducing portfolio funding products into the UK.  Therium’s ability to develop innovative funding arrangements and bespoke financial solutions for litigants and law firms complements its unmatched experience and rigorous approach to funding a wide range of commercial disputes throughout the world. Chambers and Partners have ranked Therium as a Tier 1 litigation funder and Neil Purslow, the firm’s Chief Investment Officer, as a leading individual in the litigation funding industry, for the last two years. In February this year, Therium Capital Management was top ranked as one of the two “Leading” litigation and arbitration funding firms in the UK by legal and business directory Leaders League, in their 2019 ranking of litigation funding. Therium was also ranked as “Excellent” in the 2019 US ranking. www.therium.com www.theriumaccess.org
Announcements Commercial

New research: Lawyers’ use of legal finance is growing—and becoming more sophisticated

October 23, 2019 – Burford Capital, the leading global finance and investment management firm focused on law, today announced the results of its 2019 Legal Finance Report: A Survey of In-House and Law Firm Lawyers. Based on online survey data from 509 in-house and law firm lawyers in the US, UK, Canada and Australia, as well as in-depth phone interviews conducted with 32 leading lawyers across seven countries, the report reveals that legal finance is continuing to grow in use and sophistication, with lawyers predicting still more use in the event of a recession. Christopher Bogart, Burford’s CEO, commented: “What stands out about the findings is that lawyers not only expect their companies and firms to use legal finance but also are becoming more discerning in how they do so—whether that means funded recovery programs or high-value monetizations for in-house lawyers, or a proactive use of finance as a new business and client retention tool for law firms.” He continued: “This reflects the tremendous evolution of the category Burford led in our first decade, and we are of course gratified that the research also shows how much experience and track record matter to lawyers in their choice of legal finance provider.” Key findings from the research include: Awareness and use of legal finance continue to grow
  • 69.2% of lawyers are “very familiar” with legal finance, up from 50.3% in 2018.
  • 73.9% of lawyers see legal finance as growing and increasingly important.
  • 80.0% of lawyers agree that legal finance is an essential law firm new business tool.
Lawyers are becoming more sophisticated in their use of legal finance
  • The #1 factor cited by lawyers in choosing a legal finance provider is “expertise/track record” (45.6%), and the least is “cost of capital” (33.3%).
  • 3 out of 4 lawyers (74.8%) cite as a very important/important benefit that legal finance allows their businesses to invest in growth and “use capital efficiently”.
  • In interviews, Burford was the first or only legal finance company named by 91.0% of lawyers who were able to name any providers of legal finance unprompted.
Companies leave millions in claim value on the table 
  • 72.0% of in-house lawyers say their companies have failed to pursue meritorious legal claims for fear of adversely impacting the bottom line.
  • In interviews, half of in-house lawyers note that their companies have recovery programs.
Lawyers agree that legal finance is accepted and ethical
  • 72.1% of lawyers agree that “discovery and professional conduct rules adequately address issues raised by the presence of legal finance”.
  • 68.6% of lawyers agree that “most lawyers support litigation finance; its opponents are a vocal minority who exploit unjustified fears about its use”.
Use is predicted to increase should the economy worsen
  • 67.1% of lawyers regard as an “important” or “very important” benefit of legal finance that it allows their companies and firms to “recession-proof” legal budgets.
  • 69.5% of lawyers will push for legal finance in the event of a recession, and in-house lawyers will be even more likely to advocate for the tool.
The full 2019 Legal Finance Report: A Survey of In-House and Law Firm Lawyers is available on Burford’s web site and will be discussed in two upcoming webcasts; see Burford’s event calendar for details.

Contact

Liz Bigham, Burford Capital, 646-763-6163, lbigham@burfordcapital.com

About Burford Capital

Burford Capital is the leading global finance and investment management firm focused on law. Its businesses include litigation finance and risk management, asset recovery and a wide range of legal finance and advisory activities. Burford is publicly traded on the London Stock Exchange, and it works with law firms and clients around the world from its principal offices in New York, London, Chicago, Washington, Singapore and Sydney. For more information about Burford: www.burfordcapital.com.
Announcements Commercial

Esquire Financial Holdings, Inc. Reports Third Quarter 2019 Results

JERICHO, N.Y., Oct. 25, 2019 /PRNewswire/ -- Esquire Financial Holdings, Inc. (ESQ) (the "Company"), the holding company for Esquire Bank, National Association ("Esquire Bank"), today announced its operating results for the three and nine months ended September 30, 2019.

Significant achievements during the quarter include:

  • Net income increased to $3.8 million, or $0.49 per diluted share, for the current quarter compared to net income of $3.5 million, or $0.45 per diluted share for the quarter ended June 30, 2019.
  • Returns on average assets and common equity were 2.01% and 14.58%, respectively, as compared to 1.89% and 14.04% for the trailing quarter ended June 30, 2019.
  • Supported by a strong net interest margin of 4.82%, net interest income for the third quarter increased $1.5 million, or 20%, to $8.7 million compared to the same period in 2018.
  • Total assets increased 19% annualized, or $95.8 million, to $759.7 million when compared to December 31, 2018.
  • Loans increased 19% annualized, or $65.8 million, from December 31, 2018, to $533.9 million, primarily driven by our higher yielding commercial loan portfolio.
  • Continued solid asset quality metrics with 0.20% in nonperforming loans to total loans and an allowance for loan losses to total loans of 1.26% at September 30, 2019.
  • Merchant services fees increased 153% to $3.3 million compared to the quarter ended September 30, 2018. Total fee income represented 28.4% of total revenue for the quarter.
  • Efficiency ratio improved to 54.0% for the third quarter of 2019 compared to 55.7% for the second quarter of 2019.
  • Deposits totaled $644.5 million, a $76.1 million, or 18% annualized increase from December 31, 2018 with a cost of funds of 0.44% (including demand deposits). This growth was driven by our litigation and merchant platforms.
  • Average demand deposits represent approximately 40% of our average total deposits for the three and nine months ended September 30, 2019.
  • Esquire Bank remains well above the bank regulatory "Well Capitalized" standards.

"Our lending and merchant platforms continue to grow, driving strong performance metrics despite the current interest rate environment and economic outlook," stated Tony Coelho, Chairman of the Board. "We will continue to invest resources in both verticals."

"We continue to experience strong growth in our litigation platform despite excess liquidity in the alternative litigation finance market," stated Andrew C. Sagliocca, President and Chief Executive Officer.

Third Quarter Earnings

Net income for the quarter ended September 30, 2019 was $3.8 million, or $0.49 per diluted share, compared to $1.7 million, or $0.22 per diluted share for the same period in 2018. Returns on average assets and common equity for the current quarter were 2.01% and 14.58% compared to 1.07% and 7.66% for the same period of 2018. The prior year quarterly results included a one-time $859 thousand after tax compensation charge. Excluding this charge net income was $2.5 million, or $0.33 per diluted share in 2018. Returns on average assets and common equity were 1.62% and 11.57% excluding the compensation charge.

Net interest income for the third quarter of 2019 increased $1.5 million, or 20.2%, to $8.7 million, primarily due to growth in average interest earning assets totaling $113.0 million, or 18.6%, to $720.4 million when compared to the same period in 2018. Our net interest margin increased to 4.82% for the third quarter of 2019 compared to 4.75% in 2018. Average loans in the quarter increased $112.3 million, or 27.0%, to $528.3 million when compared to the third quarter of 2018. Loan growth was primarily driven by commercial loans representing organic growth funded with core deposits (total deposits excluding certificates of deposit). Core deposits represent 96.9% of total deposits at September 30, 2019 while our loan-to-deposit ratio was 82.8%.

The provision for loan losses was $425 thousand for the third quarter of 2019, a $25 thousand decrease from the comparable period in 2018. As of September 30, 2019, Esquire had nonperforming loans to total loans of 0.20%.

Noninterest income increased $1.7 million, or 93.1%, to $3.5 million for the third quarter of 2019 as compared to third quarter 2018. Our merchant services platform experienced strong growth, offset by decreased administrative service payment ("ASP") fees on off-balance sheet funds. Merchant processing income increased $2.0 million or 152.6% compared to the third quarter of 2018. This increase was due to the expansion of our sales channels through independent sales organizations ("ISOs"), merchants and additional fee allocation arrangements as we continue to focus on prudently growing this source of stable fee income. Other noninterest income, consisting primarily of ASP fee income, declined by $309 thousand compared to the quarter ended September 30, 2018. Our ASP fee income is impacted by the volume and duration of off-balance sheet funds as well as short-term interest rates.

Noninterest expense increased $274 thousand, or 4.3%, to $6.6 million for the third quarter of 2019 as compared to the third quarter of 2018. Excluding the aforementioned one-time pretax compensation charge totaling $1.2 million, noninterest expense increased $1.4 million for the third quarter of 2019. This increase was driven by increases in employee compensation and benefits, professional and consulting services and data processing costs. Employee compensation and benefits costs increased due to an increase in the number of employees as well as the impact of year end salary increases. Professional and consulting costs increased due to our IT enterprise-wide architecture assessments and other pre-development IT costs. Data processing costs were higher due to increased processing volume primarily driven by our core banking platform as well as additional costs related to certain system implementations. The Company's efficiency ratio continued to improve to 54.0% for the three months ended September 30, 2019 as compared to 56.8% for the same period ended 2018.

The effective tax rate for the third quarter of 2019 was approximately 27%. Year to Date Earnings Net income for the nine months ended September 30, 2019 was $10.3 million, or $1.32 per diluted share, compared to $5.9 million, or $0.76 per diluted share for the same period in 2018. Returns on average assets and common equity for the nine months ended September 30, 2019 were 1.90% and 13.86% compared to 1.35% and 9.19% for the same period of 2018. The prior year to date results included a one-time $859 thousand after tax compensation charge. Excluding this charge, net income was $6.7 million, or $0.87 per diluted share. Returns on average assets and common equity were 1.54% and 10.54% excluding the compensation charge. For the nine months ended September 30, 2019, net interest income increased $5.2 million, or 26.2%, to $25.3 million, primarily due to growth in average interest earning assets totaling $121.1 million, or 21.2%, to $691.9 million when compared to the same period in 2018. Our net interest margin increased to 4.88% for the nine months ended 2019 compared to 4.69% for the same period in 2018. Average loans for the nine months ended 2019 increased $118.1 million, or 31.0%, to $499.0 million. Loan growth was primarily driven by commercial loans which represents organic growth funded with core deposits. The provision for loan losses was $1.3 million for the nine months ended September 30, 2019, $275 thousand higher than the comparable period in 2018. The higher provision is reflective of growth as well as the composition of the loan portfolio. Noninterest income increased $2.8 million, or 47.7%, to $8.6 million for the nine months ended 2019. Our merchant services platform experienced strong growth, offset by decreased ASP fees. Merchant processing income increased $4.5 million or 126.3% compared to the nine months ended 2018. This increase was due to the expansion of our sales channels through independent sales organizations ("ISOs"), merchants and additional fee allocation arrangements. Other noninterest income, consisting primarily of ASP fee income, declined by $1.7 million or 71.9% compared to the nine months ended September 30, 2018. Noninterest expense increased $1.7 million, or 10.1%, to $18.6 million for the nine months ended 2019 as compared to the nine months ended 2018. Excluding the aforementioned one-time pretax compensation charge totaling $1.2 million, noninterest expense increased $2.9 million for the third quarter of 2019 driven by an increase in compensation and benefits, data processing and professional and consulting services costs. Employee compensation and benefits costs increased due to an increase in the number of employees as well as the impact of year end salary increases. Data processing costs were higher due to increased processing volume primarily driven by our core banking platform as well as additional costs related to certain system implementations. Professional and consulting costs increased due to our IT enterprise-wide architecture assessments and other pre-development IT costs. The Company's efficiency ratio continued to improve to 54.8% for the nine months ended September 30, 2019 as compared to 60.8% for the period ended 2018. The effective tax rate for the nine months ended 2019 was approximately 27%. Asset Quality Nonperforming assets, consisting of several nonaccrual consumer loans, totaled $1.1 million as of September 30, 2019. Nonperforming assets as a percentage of total assets was 0.14%. There were no nonperforming assets as of September 30, 2018. The allowance for loan losses was $6.7 million, or 1.26% of total loans, as compared to $5.2 million, or 1.19% of total loans at September 30, 2018. The increase in the allowance as a percentage of loans was primarily related to loan growth in the commercial, commercial real estate and consumer loan categories. Balance Sheet At September 30, 2019, total assets were $759.7 million, reflecting a $114.1 million, or 17.7% increase from September 30, 2018. This increase is attributable to increases in loans totaling $96.1 million, or 21.9%, to $533.9 million, primarily driven by commercial attorney related, commercial real estate and consumer loans, funded with core low-cost deposits. Total deposits were $644.5 million as of September 30, 2019, a $92.3 million, or 16.7% increase from September 30, 2018. This was primarily due to a $66.8 million, or 20.1% increase in Savings, NOW and Money Market deposits to $398.8 million and a $35.8 million, or 18.8% increase in noninterest bearing demand deposits to $225.7 million, offset by a decrease in time deposits of $10.3 million, or 33.9%, to $20.0 million. These increases were driven by commercial and escrow low-cost deposits from our litigation and merchant customers. Stockholders' equity increased $18.4 million to $106.9 million at September 30, 2019 compared to September 30, 2018. Esquire Bank remains well above bank regulatory "Well Capitalized" standards. The Company anticipates continued earnings growth in 2019 driven by its lending pipelines as well as its merchant services fee income opportunities. About Esquire Financial Holdings, Inc. Esquire Financial Holdings, Inc. is a bank holding company headquartered in Jericho, New York, with one branch office in Jericho, New York and an administrative office in Boca Raton, Florida. Its wholly-owned subsidiary, Esquire Bank, National Association, is a full service commercial bank dedicated to serving the financial needs of the legal industry and small businesses nationally, as well as commercial and retail customers in the New York metropolitan area. The bank offers tailored products and solutions to the legal community and their clients as well as dynamic and flexible merchant services solutions to small business owners. For more information, visit www.esquirebank.com. Cautionary Note Regarding Forward-Looking Statements This press release includes "forward-looking statements" relating to future results of the Company. Forward-looking statements are subject to many risks and uncertainties, including, but not limited to: changes in business plans as circumstances warrant; changes in general economic, business and political conditions, including changes in the financial markets; and other risks detailed in the "Cautionary Note Regarding Forward-Looking Statements," "Risk Factors" and other sections of the Company's 10-K as filed with the Securities and Exchange Commission. The forward-looking statements included in this press release are not a guarantee of future events, and that actual events may differ materially from those made in or suggested by the forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "might," "should," "could," "predict," "potential," "believe," "expect," "attribute," "continue," "will," "anticipate," "seek," "estimate," "intend," "plan," "projection," "goal," "target," "outlook," "aim," "would," "annualized" and "outlook," or similar terminology. Any forward-looking statements presented herein are made only as of the date of this press release, and the Company does not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise, except as may be required by law.

ESQUIRE FINANCIAL HOLDINGS, INC.

Condensed Consolidated Statement of Condition (unaudited)

(dollars in thousands except per share data)

September 30, 

December 31, 

September 30, 

2019

2018

2018

ASSETS

Cash and cash equivalents

$

61,676

$

30,562

$

39,840

Securities available for sale, at fair value

139,165

145,698

147,522

Securities, restricted at cost

2,665

2,583

2,403

Loans

533,949

468,101

437,883

Less: allowance for loan losses

(6,741)

(5,629)

(5,229)

Loans, net of allowance

527,208

462,472

432,654

Premises and equipment, net

2,872

2,694

2,616

Other assets

26,152

19,890

20,568

Total Assets

$

759,738

$

663,899

$

645,603

LIABILITIES AND STOCKHOLDERS' EQUITY

Demand deposits

$

225,740

$

212,721

$

189,960

Savings, NOW and money market deposits

398,812

335,283

332,016

Certificates of deposit

19,959

20,417

30,215

Total deposits

644,511

568,421

552,191

Other liabilities

8,324

2,704

4,917

Total liabilities

652,835

571,125

557,108

Total stockholders' equity

106,903

92,774

88,495

Total Liabilities and Stockholders' Equity

$

759,738

$

663,899

$

645,603

Selected Financial Data 

Common shares outstanding

7,541,670

7,532,723

7,445,723

Book value per share

$

14.17

$

12.32

$

11.89

Equity to assets

14.07

%

13.97

%

13.71

%

Capital Ratios (1)

Tier 1 leverage ratio

13.11

%

13.26

%

13.40

%

Common equity tier 1 capital ratio

16.90

%

17.54

%

17.78

%

Tier 1 capital ratio

16.90

%

17.54

%

17.78

%

Total capital ratio

18.08

%

18.70

%

18.92

%

Asset Quality

Nonperforming loans  

$

1,076

$

—

$

—

Allowance for loan losses to total loans

1.26

%

1.20

%

1.19

%

Nonperforming loans to total loans

0.20

%

—

%

—

%

Nonperforming assets to total assets

0.14

%

—

%

—

%

Allowance/nonperforming loans

626.49

%

—

%

—

%

_______________

(1) Regulatory capital ratios presented on bank-only basis.

ESQUIRE FINANCIAL HOLDINGS, INC.

Condensed Consolidated Income Statement (unaudited)

(dollars in thousands except per share data)

Three months ended 

Nine months ended 

September 30, 

September 30, 

2019

2018

2019

2018

Interest income

$

9,498

$

7,620

$

27,303

$

20,754

Interest expense

751

344

2,044

741

Net interest income

8,747

7,276

25,259

20,013

Provision for loan losses

425

450

1,250

975

Net interest income after provision for loan losses

8,322

6,826

24,009

19,038

Noninterest income:

Merchant processing income

3,284

1,300

7,994

3,532

Other noninterest income

191

500

653

2,322

Total noninterest income

3,475

1,800

8,647

5,854

Noninterest expense:

Employee compensation and benefits

3,817

4,161

10,841

10,230

Other expenses

2,787

2,169

7,752

6,661

Total noninterest expense

6,604

6,330

18,593

16,891

Income before income taxes

5,193

2,296

14,063

8,001

Income taxes

1,376

614

3,793

2,140

Net income

$

3,817

$

1,682

$

10,270

$

5,861

Earnings Per Share

Basic

$

0.52

$

0.23

$

1.39

$

0.80

Diluted

$

0.49

$

0.22

$

1.32

$

0.76

Basic - adjusted (1)

$

0.52

$

0.34

$

1.39

$

0.91

Diluted - adjusted (1)

$

0.49

$

0.33

$

1.32

$

0.87

Selected Financial Data

Return on average assets

2.01

%

1.07

%

1.90

%

1.35

%

Return on average common equity

14.58

%

7.66

%

13.86

%

9.19

%

Adjusted return on average assets (1)

2.01

%

1.62

%

1.90

%

1.54

%

Adjusted return on average common equity (1)

14.58

%

11.57

%

13.86

%

10.54

%

Net interest margin

4.82

%

4.75

%

4.88

%

4.69

%

Efficiency ratio(2)

54.0

%

56.8

%

54.8

%

60.8

%

__________________

(1) Figures have been adjusted to exclude a $1.2 million one-time charge (pretax) related to the passing of the Company's Executive Chairman in 2018. See non-GAAP reconciliation provided elsewhere herein.

(2) Efficiency ratio represents noninterest expenses divided by the sum of net interest income plus noninterest income. See non-GAAP reconciliation provided elsewhere herein addressing non-recurring charges.

ESQUIRE FINANCIAL HOLDINGS, INC.

Condensed Consolidated Average Balance Sheets and Average Yield/Cost (unaudited)

(dollars in thousands)

For the Three Months Ended September 30, 

2019

2018

Average

Average

Average

Average

Balance

Interest

Yield/Cost

Balance

Interest

Yield/Cost

INTEREST EARNING ASSETS

Loans

$

528,328

$

8,312

6.24

%

$

416,004

$

6,432

6.13

%

Securities, includes restricted stock

146,408

950

2.57

%

157,635

1,035

2.60

%

Interest earning cash

45,688

236

2.05

%

33,777

153

1.80

%

Total interest earning assets

720,424

9,498

5.23

%

607,416

7,620

4.98

%

NONINTEREST EARNING ASSETS

34,267

14,803

TOTAL AVERAGE ASSETS

$

754,691

$

622,219

INTEREST BEARING LIABILITIES

Savings, NOW, Money Markets

$

381,533

$

625

0.65

%

$

327,548

$

291

0.35

%

Time deposits

19,902

125

2.49

%

17,555

41

0.93

%

Total interest bearing deposits

401,435

750

0.74

%

345,103

332

0.38

%

Short-term borrowings

1

—

—

%

1,131

7

2.46

%

Secured borrowings

88

1

6.22

%

273

5

7.27

%

Total interest bearing liabilities

401,524

751

0.74

%

346,507

344

0.39

%

NONINTEREST BEARING LIABILITIES

Demand deposits

240,502

183,864

Other liabilities

8,785

4,708

Total noninterest bearing liabilities

249,287

188,572

Stockholders' equity

103,880

87,140

TOTAL AVG. LIABILITIES AND EQUITY

$

754,691

$

622,219

Net interest income

$

8,747

$

7,276

Net interest spread

4.49

%

4.58

%

Net interest margin

4.82

%

4.75

%

ESQUIRE FINANCIAL HOLDINGS, INC.

Condensed Consolidated Average Balance Sheets and Average Yield/Cost (unaudited)

(dollars in thousands)

For the Nine Months Ended September 30, 

2019

2018

Average

Average

Average

Average

Balance

Interest

Yield/Cost

Balance

Interest

Yield/Cost

INTEREST EARNING ASSETS

Loans

$

498,989

$

23,524

6.30

%

$

380,918

$

17,378

6.10

%

Securities, includes restricted stock

151,557

3,073

2.71

%

149,556

2,906

2.60

%

Interest earning cash

41,326

706

2.28

%

40,249

470

1.56

%

Total interest earning assets

691,872

27,303

5.28

%

570,723

20,754

4.86

%

NONINTEREST EARNING ASSETS

30,281

11,556

TOTAL AVERAGE ASSETS

$

722,153

$

582,279

INTEREST BEARING LIABILITIES

Savings, NOW, Money Markets

$

356,812

$

1,665

0.62

%

$

281,768

$

580

0.28

%

Time deposits

20,034

375

2.50

%

27,126

140

0.69

%

Total interest bearing deposits

376,846

2,040

0.72

%

308,894

720

0.31

%

Short-term borrowings

1

—

—

%

382

6

2.10

%

Secured borrowings

88

4

6.08

%

275

15

7.29

%

Total interest bearing liabilities

376,935

2,044

0.73

%

309,551

741

0.32

%

NONINTEREST BEARING LIABILITIES

Demand deposits

238,485

184,382

Other liabilities

7,676

3,117

Total noninterest bearing liabilities

246,161

187,499

Stockholders' equity

99,057

85,229

TOTAL AVG. LIABILITIES AND EQUITY

$

722,153

$

582,279

Net interest income

$

25,259

$

20,013

Net interest spread

4.55

%

4.54

%

Net interest margin

4.88

%

4.69

%

ESQUIRE FINANCIAL HOLDINGS, INC.

Condensed Consolidated Non-GAAP Financial Measure Reconciliation (unaudited) 

 (dollars in thousands except per share data)

Adjusted net income, which is used to compute adjusted return on average assets, adjusted return on average common equity and adjusted earnings per common share, excludes the impact of a one-time charge relating to compensation expense as a result of the passing of our Executive Chairman in 2018. 

We believe that these non-GAAP financial measures provide information that is important to investors and that is useful in understanding our financial position, results and ratios. However, these non-GAAP financial measures are supplemental and are not a substitute for an analysis based on GAAP measures. As other companies may use different calculations for this measure, this presentation may not be comparable to other similarly titled measures by other companies.

The efficiency ratio is a non-GAAP measure of expense control relative to revenue. We calculate the efficiency ratio by dividing total noninterest expenses excluding non-recurring items by the sum of total net interest income and total noninterest income, each as determined under GAAP, but excluding net gains(losses) on securities and other non-recurring income sources, if applicable, from this calculation, which we refer to as recurring revenue. We believe that this provides one reasonable measure of recurring expenses relative to recurring revenue.

Three months ended 

Nine months ended 

September 30, 

September 30, 

2019

2018

2019

2018

Net income 

$

3,817

$

1,682

$

10,270

$

5,861

Add: compensation charge

-

1,173

-

1,173

Less: tax impact

-

314

-

314

Compensation charge, net

-

859

-

859

Adjusted net income

$

3,817

$

2,541

$

10,270

$

6,720

Return on average assets-GAAP

2.01

%

1.07

%

1.90

%

1.35

%

Add: compensation charge

0.00

%

0.55

%

0.00

%

0.19

%

Adjusted return on average assets

2.01

%

1.62

%

1.90

%

1.54

%

Return on average common equity-GAAP

14.58

%

7.66

%

13.86

%

9.19

%

Add: compensation charge

0.00

%

3.91

%

0.00

%

1.35

%

Adjusted return on average common equity

14.58

%

11.57

%

13.86

%

10.54

%

Diluted earnings per share-GAAP

$

0.49

$

0.22

$

1.32

$

0.76

Add: compensation charge

0.00

0.11

0.00

0.11

Adjusted diluted earnings per share

$

0.49

$

0.33

$

1.32

$

0.87

Efficiency Ratio 

Net interest income

$

8,747

$

7,276

$

25,259

$

20,013

Noninterest income

3,475

1,800

8,647

5,854

Recurring revenue

$

12,222

$

9,076

$

33,906

$

25,867

Total noninterest expense

$

6,604

$

6,330

$

18,593

$

16,891

Less: compensation charge

-

1,173

-

1,173

Recurring noninterest expense

$

6,604

$

5,157

$

18,593

$

15,718

Efficiency ratio

54.0

%

56.8

%

54.8

%

60.8

%

SOURCE Esquire Financial Holdings, Inc.
Announcements

Therium Expands London Investment Team with Appointment of James Dobias

London, 22 October, 2019 – Therium Group Holdings Ltd., a leading provider of litigation finance globally with over $1 billion of assets under management, has added to its investment team in London with the appointment of James Dobias as an Investment Officer. James joins Therium from Slaughter and May, where he advised on a broad range of complex commercial disputes, as well as white-collar and corporate investigations, including: High-value follow-on and standalone competition damages claims, including collective settlement negotiations with claimant law firms; Mass tort and other group claims across a number of sectors; Defending Aegis in High Court litigation alleging breach of warranty and fraudulent misrepresentation; Advising a FTSE 100 company on a fraud and asset tracing claim, involving considerations as to jurisdiction, location of assets and foreign enforcement risk; and Advising Rolls-Royce during its bribery and corruption investigations, including the negotiation of simultaneous deferred prosecution agreements with the UK Serious Fraud Office and the US Department of Justice. James has also held senior commercial roles at SAM Labs, an internet-of-things electronics company, and online lawyer introduction service Lexoo. Neil Purslow, Co-Founder and Chief Investment Officer of Therium, said: “James is a first class litigator with tremendous experience of working on very challenging, typically cross-border disputes with multiple stakeholders. His expertise and entrepreneurial flair fits perfectly with Therium and he will play a key role as we continue to see substantial demand for our litigation funding services globally. We are delighted that James has joined our investment team.” James Dobias, Investment Officer, Therium Capital Management, said: “I have admired Therium for many years and been hugely impressed by its work, innovation and rapid growth across the world. It’s very exciting to be joining such a preeminent leader of the litigation finance industry.” James is a graduate of the University of Oxford (First Class Honours in Philosophy, Politics and Economics (PPE)), where he came top of his year in Economics, and BPP Law School, where he achieved a Distinction in both the Graduate Diploma in Law and the Legal Practice Course. Therium is one of world’s leading litigation financing firms. The firm has funded claims valued at £34 billion and has operations across Europe, including in the UK, Germany, Italy, Spain and Scandinavia, and in the USA and Australia. Therium is ranked as a Tier 1 litigation funder in Chambers and Partners’ 2019 litigation support directory. About Therium Therium is a leading global provider of litigation, arbitration and specialty legal finance and has funded claims with a total value exceeding £34 billion.  The firm has investment teams in the UK, USA, Australia, Spain, Germany and Oslo, supplementing its resources in its corporate headquarters in Jersey, Channel Islands.  Therium has established a track record of success in litigation finance in all forms including single case litigation, group litigation and arbitration funding, funding law firms, funding portfolios of litigation and arbitration claims and monetising judgments and awards.  Therium has raised over $1 billion since its foundation, which includes the latest £325 million fund raised in March 2019. www.therium.com
Announcements Consumer

Multi Funding USA Receives Approval to Serve Ohio Legal Community

Woodstock, NY—October 21, 2019 — Multi Funding USA, a leading pre-settlement funding provider serving law firms, attorneys and plaintiffs, announced that it has received authorization to provide pre-settlement funding to lawyers throughout the state of Ohio. Through its advanced and secure technology, attorneys can easily apply for litigation financing on Multi Funding USA’s secure website, and receive automated notifications, documentation, and funding in an expedited manner. Based in Woodstock, New York, Multi Funding serves attorneys in approximately fourteen states across the country. The company is one of a handful of NMLS (Nationwide Mortgage Licensing System)-certified pre-settlement providers. The NMLS certification process includes a rigorous set of financial, operational and technology audits, indicating that Multi Funding has the financial resources and security protocols to satisfy the needs of lawyers and plaintiffs. “We are delighted that Multi Funding  has received approval to serve the needs of attorneys and clients in the state of Ohio, and we are eager to help clients manage the financial burdens associated with waiting for cases to settle,” said Joseph Duffy, managing partner of Multi Funding USA. “Our secure technology, combined with the peace-of-mind associated with NMLS certification, should resonate with Ohio attorneys who are looking to partner with a skilled, experienced, and highly reputable partner.” The company leverages a state-of-the-art litigation financing platform provided by Segue Cloud Services. This platform automates the entire burdensome pre-settlement process, including intake, verification, notification, funding, and reporting. This system typically places funds into the hands of plaintiffs and attorneys in less than 24 hours, providing financial security in the often-lengthy pre-settlement period. About Multi Funding USA Headquartered in Woodstock, New York, Multi Funding is a major provider of specialized legal funding, attorney funding, and law firm funding services. With decades of lawsuit funding, business, and legal experience, the company’s founders have made it their focus to provide simple and fast services while maintaining a high standard of excellence. Multi Funding has provided millions of dollars of legal funding to plaintiffs and attorneys across the United States. www.multifundingusa.com
Announcements Commercial

Acuity Law Signs £10m Litigation Funding Deal with Augusta

Leading Welsh commercial law firm Acuity Law has agreed a £10 million litigation funding facility with the UK’s largest litigation funder by volume, Augusta Ventures.

From its headquarters in Cardiff and offices in Swansea and London, Acuity provides legal advice to a portfolio of national and international business clients. The preferred arrangement offers Acuity’s clients competitive funding rates, with a time-efficient process in place to ensure effective decision making. Under the terms of the facility, Augusta will fund the full cost of pursuing a claim, including legal fees and expert witness costs and other agreed disbursements. This arrangement provides Acuity’s clients with 'non-recourse' funding, ensuring claimants are not called on to repay in the event their claim is unsuccessful. Augusta only recovers its investment from any sums received from defendants.

Hugh Hitchcock, Head of Litigation at Acuity, said: "Acuity has established its reputation as a leading UK litigation law firm. We’ve been delighted to serve an increasing number of clients over recent years, and this deal with Augusta further differentiates our offering to clients in Wales and across the UK. We are now able to help clients pursue meritorious cases that otherwise may not have proceeded due to financial constraints.”

Robert Hanna, Managing Director at Augusta, said: “We are delighted to be working with Wales’s leading litigation firm, Acuity Law, on providing funding for their clients’ disputes. Augusta has built a market-leading reputation for our team and processes, which enable access to justice. We are looking forward to offering these to Acuity’s clients to help them secure the funding they need to pursue meritorious claims.”

Acuity Law has recently been recognised in the Wales Legal Awards as both the Commercial Litigation Team of The Year and the overall Legal Team Of The Year. Acuity Law is a new model law company that is enjoying rapid and successful growth. With a team of over 100 lawyers and expanding, Acuity last year advised on over 100 UK-based transactions with an aggregate value of over £1.5 billion. Acuity Law specialises in high value and complex commercial disputes.

Augusta has recently announced a further $115m fundraising from a multi-billion-dollar US-based investment manager. This follows a £150m fundraising from a global investment fund in 2018, to finance business growth and investment in funding cases.

Augusta has also recently announced hirings into its senior team with the arrival of Proskauer Director Polly Bahl as Chief Operating Officer, FTI Consulting Managing Director Leor Franks as Chief Marketing Officer and Ardonagh Group’s Chief Counsel Frances Coats as General Counsel. These additions reflect Augusta’s ongoing growth and increasing client demand for dispute and litigation funding.

About Acuity:

  • Founded in 1999, Acuity Law is a commercial law firm headquartered in Cardiff and with offices in Swansea and London.
  • Acuity is an award-winning firm whose most recent accolades include Law Firm of the Year (Wales) at the Legal 500 Awards 2019 and Litigation Team and Legal Team of the Year at the Wales Dealmakers Awards 2019.
  • Acuity are specialists in providing corporate (M&A’, disposals, joint venture and partnering arrangements, management buy-outs and management buy-ins, private equity and venture capital investments and business transfers and restructuring), commercial, litigation, real estate, employment and tech advice.
  • Acuity’s corporate and commercial and TMT teams were ranked tier 1 in this year’s edition of the Legal 500.

About Augusta:

- Established in 2013, Augusta is the largest litigation and dispute funding institution in the UK by # case. Augusta’s scale enables us to make decisions in market-leading timeframes and fund cases of any size. - Augusta is organised into a series of specialist practice groups: Arbitration, Class Action, Competition, Consumer, Intellectual Property and Litigation, and sectors including Financial Services and Construction & Energy. - By the end of H12019, Augusta had funded 213 claims with a market-leading win ratio of over 80%. - Augusta has offices in London, Sydney, Melbourne and Toronto.

Commercial

UK Court of Appeal Approves Therium’s £3B Opt-Out Class Action Against Google

A UK Court of Appeal has approved the enormous U.S.-style class action against Google in the now infamous 'Safari workaround' claim. 4 million claimants will be represented in an opt-out action brought by Mishcon de Reya and backed by Therium Capital Management. As reported in Law Gazette, the underlying claim alleges Google used software to bypass privacy settings and illegally spy on iPhone users from August 2011 to February 2012. The Court of Appeal found that an iPhone user's data amounts to a financial asset, and therefore any loss of control over one's data amounts to an invasion of privacy. As such, the class will be awarded the same amount per-claimant, without needing to show any financial hardship. Consumer rights advocate Richard Lloyd who helped bring this claim forward, is seeking £750 per claimant, which would amount to over £3B in total payout. However, the court suggested that damages will be assessed according to the lowest common denominator of damages within the claimant group, which means the final payout could be much lower. For its part, Google intends to appeal the Court of Appeal's decision up to the Supreme Court. Google cited the fact that the events took place nearly a decade ago and have already been addressed by the company. Google's data breach claim will join the even larger Mastercard competition claim which is currently before the UK Supreme Court. The claim was originally tossed by the Competition Appeals Tribunal, only to be reinstated with an entirely different litigation funder on board (Innsworth, taking the place of Burford Capital). The Supreme Court's ruling on both cases will have a major impact on both sectors going forward, especially as pertains to the appetite levels of funders looking involve themselves in either data breach or competition class actions.
Announcements Commercial

Leading Dispute Financiers IMF Bentham and Omni Bridgeway Announce Plans to Merge

SYDNEY (October 15 2019)  Leading litigation and disputes funder IMF Bentham Limited (IMF Bentham) (ASX:IMF) announces that it is acquiring Omni Bridgeway Holdings BV (Omni Bridgeway) to create a truly global diversified funder with over A$2.2 billion in capital to fund disputes and enforcement proceedings of significant size and complexity throughout the world. On completion of the deal IMF Bentham will acquire all of Omni Bridgeway’s investment and business activities. The minimum transaction value amounts to approximately EUR 55 million, which may further increase contingent on future business development. “While the transaction involves IMF Bentham buying Omni Bridgeway’s business, it is a merger of equals,” said Andrew Saker, Managing Director and Chief Executive Officer of IMF Bentham. The combination forms a formidable ally for clients, with 18 offices in 10 countries across the US, Canada, Asia, Europe, Australia and the Middle East and 145 professionals experienced in legal and recovery systems world-wide and fluent in more than 20 languages. Together IMF Bentham and Omni Bridgeway have a 33-year track record of funded and recovered claims throughout the world to create a reliable partner for individuals, companies and professional advisers seeking strategic finance solutions. Those solutions span from inception of a case through trial, appeal, enforcement and legal recovery, and include:
  • funding and management of disputes, and international enforcement of judgments and awards (including against sovereigns in all continents)
  • enforcement of non-performing loans of banks and subrogation claims of insurance companies
  • world-first After-the-Event cost protection cover in cost-shifting jurisdictions.
The tie-up combines two pioneers of the litigation funding industry. IMF Bentham began funding disputes in Australia in the 1990s and has helped shape the globalized litigation finance industry via continual expansion and a record of achieving notable success rates and returns. Omni Bridgeway was founded in the Netherlands in 1986 and is known as a leading financier of high-value claims and a global specialist in cross-border enforcement against sovereign governments. The Omni Bridgeway group includes ROLAND ProzessFinanz, a leading German litigation funder which became part of Omni Bridgeway in 2017, as well as Omni Bridgeway’s joint venture with IFC (part of the World Bank Group) which consists of a dedicated fund and Dubai-based expertise center aimed at assisting banks with the funding and managing the enforcement of non-performing loans and related disputes in the Middle East and Africa region. “Like IMF Bentham, Omni Bridgeway has been at the forefront of the dispute finance industry in its regions and areas for decades,” said Andrew Saker. “As one of Continental Europe’s leading litigation funders, it offered unique advantages compared to other acquisition candidates that IMF Bentham considered for its European expansion. Those factors, combined with a strong cultural fit, made clear that merging was the right choice at the right time for both companies.” IMF Bentham and Omni Bridgeway achieve a shared goal of global diversification and presence in key litigation markets via the merger. Their new team includes professionals with wide-ranging expertise across all types of disputes and economists, financial experts, business intelligence and asset tracing professionals. “We view the merger as a partnership of complementary strengths,” said Raymond van Hulst, Managing Director at Omni Bridgeway. “Together, we have the global scale and local understanding needed for today’s complex multi-jurisdictional and domestic disputes.” “Since we were introduced by leading global investment bank Houlihan Lokey in March 2018, IMF Bentham and Omni Bridgeway have partnered on numerous projects and have discovered that our two companies, which have evolved on parallel paths, have a like-mindedness and commitment to excellence that distinguishes us from the competition,” said Andrew Saker. IMF Bentham will continue to be listed on the Australian Securities Exchange and the combined group will use the first-class business operations, reporting and accounting practices that have shaped IMF Bentham’s reputation as a trustworthy and reliable disputes financier. The combined group will assume one global name pending a rebrand projected for completion by 30 June 2020. About IMF Bentham IMF Bentham is a leading global litigation and dispute financier, headquartered in Australia and with offices in the US, Canada, Singapore, Hong Kong and London. The company has built its reputation as a trusted provider of innovative litigation financing solutions and has established an increasingly diverse portfolio of litigation and dispute financing assets. IMF Bentham has a highly experienced litigation financing team overseeing its investments, delivering, as at 30 June 2019, an 89% success rate across 192 completed cases (excluding withdrawals).  Visit imf.com.au to learn more. About Omni Bridgeway Omni Bridgeway was founded in the Netherlands in 1986 and is known as a leading financier of high-value claims and a global specialist in cross-border (sovereign) enforcement disputes. Visit omnibridgeway.com to learn more. About ROLAND ProzessFinanz ROLAND ProzessFinanz AG has been providing commercial litigation funding solutions since 2001. The company became part of Omni Bridgeway in mid-2017, creating one of Continental Europe’s leading litigation funders. ROLAND funds medium-sized merits and group claims in the German speaking jurisdictions of Europe.  Visit roland-prozessfinanz.de/en/ to learn more.
Commercial

IMF Bentham Funding Class Action Against CBL

IMF Bentham is funding a shareholder class action against New Zealand-based CBL Corp., claiming the company failed to disclose that the Reserve Bank of New Zealand had been investigating its solvency for several years. CBL has since entered liquidation, leaving many shareholders out in the cold. According to ShareChat, law firm Glaister Ennor is leading the action, which has several institutional investors on board already. IMF and Glaister are now seeking retail investors for their claim, the valuation of which will likely run into the tens of millions of dollars. The case will be opt-in, because New Zealand does now allow for common fund orders the way neighboring Australia does (the country only permitted its very first opt-out claim last month). That means IMF and Glaister have to build a book of claimants, which they claim makes their case more substantiated, as numerous parties have already signed on. According to the liquidators' report, CBL owes nearly $200MM to an array of creditors. The company's assets are locked up in subsidiaries, which are currently under control of liquidators. IMF and Glaister intend to apply for the right to proceed against the liquidated company to the New Zealand Supreme Court, assuming the liquidators don't consent to move forward with the claim. They are also anticipating that insurance will cover any payout, though they aren't yet certain who the insurer is, or what the terms of any agreement are. IMF and Glaister are alleging that CBL violated The Financial Markets Conduct Act 2013. They have thus far only named the company, not individual executives or regulators, though there may be additions at a later date, should further liability be proven.
Announcements Commercial

Woodsford Litigation Funding continues its significant expansion with three key London hires and continued international recruitment drive

LONDON 14 October 2019, Woodsford Litigation Funding, the global provider of litigation financing solutions for businesses, individuals and law firms, has announced further expansion of its international executive team with the appointment of Adam Erusalimsky to the position of Senior Investment Officer, Alex Hickson as Investment Officer and Daniel Littman as Commercial Manager. All three will be based at Woodsford’s London HQ.

Adam, a seasoned litigator who joins Woodsford from Stewarts and Alex, who joins from Slater & Gordon, will be part the underwriting team led by Charlie Morris, focusing on cases in the UK and EMEA, including class and group actions, IP claims and general commercial disputes. Daniel will join the commercial team led by Woodsford’s Commercial and Finance Director, Mark Spiteri. Daniel will focus on structuring and negotiating litigation funding and law firm finance deals globally.

These appointments are a graphic illustration of the rapidly increasing deal flow at Woodsford. And the recruitment push in new (Canada) and existing (Singapore) markets illustrates how the business is not resting on its laurels.

“Our business continues to grow and succeed because we have a winning combination of high quality capital and high quality professionals. Particularly following last year’s injection of significant further capital by our shareholders, Adam, Alex and Daniel complete the ingredients for a successful litigation finance business” said Steven Friel, Woodsford’s CEO.

Woodsford’s new Senior Investment Officer, Adam Erusalimsky commented, “It’s tremendously exciting to be joining one of the world’s leading litigation funders at a time when it is growing so quickly. I am really looking forward to playing my part in taking Woodsford to the next level.”

About Woodsford Litigation Funding

Founded in 2010 and with a presence in London, Philadelphia, San Francisco, New York, Singapore, Brisbane and Tel Aviv, Woodsford Litigation Funding provides tailored litigation financing solutions for businesses, individuals, and law firms. This includes both single case and portfolio litigation funding and arbitration funding. Woodsford’s Executive team blends extensive business experience with world-class legal expertise. Woodsford is a founder member of the Association of Litigation Funders of England and Wales (ALF). Woodsford’s Chief Operating Officer, Jonathan Barnes, was recently re-elected to the board of ALF for a further three years.

Commercial

MDL Judge Rejects Motion to Disclose Litigation Funding

The judge in a product liability MDL in the U.S. District Court for the District of New Jersey has rejected the defense's motion to discover whether the plaintiff is using litigation funding. As reported in Bloomberg, Judge Joel Schneider followed previous court rulings in determining that defendants have no standing to inquire as to how deep the pockets of plaintiffs actually go. In Civil No. 19-2875 (RBK/JS), Valstran (NDMA) Contamination Products Liability Litigation, the court rejected the motions to discover whether the plaintiffs were utilizing litigation funding, the terms of any funding agreements, and any communications between the plaintiff and litigation funders. Defense had cited the need to discover if the plaintiffs were “real parties in interest” in the claim. However, the court flatly rejected that argument, in keeping with a host of previous judicial decisions. What's more, the court went so far as to state that opening the door to the plaintiff's finances would rightly open the door to defense's as well. The court did, however, indicate that there may be circumstances where discovery is appropriate. Such circumstances include any where a funder may be seeking to exert undue control over the outcome of a claim. In the end, the plaintiffs suggested that the court review any funding agreements in-camera, to which Judge Schneider agreed. With Judge Polster ordering an in-camera in the prominent Opioid MDL, that seems to be the trend these days as pertains to funding agreements, at least where MDLs are concerned.
Announcements Consumer

Baker Street Funding Secures $30 Million for New Attorney Focused Fund

NEW YORK, NY / ACCESSWIRE / September 23, 2019 / A leading pre-settlement funding provider, Baker Street Funding LLC, announced today the closing of a series A round of investment into their Attorney Funding Division. Founded in 2018, Baker Street Funding has quickly become a rising star in the legal funding space and their core business model is to provide plaintiffs with much needed liquidity while their case is awaiting settlement. The newly named Attorney Funding Division will provide Attorney Funding to law practitioners across the country.

Attorney Loans, also known as Attorney Funding, are credit facilities that attorneys can access, collateralized by their future receivables to help them pay for the cost of new litigation. Attorney funding is the fastest growing division at Baker Street Funding and they expect to deploy all $30 million in the next six months.

Daniel Digiaimo, President and CEO of Baker Street Funding commented, "This new capital is going to be key to growing our attorney relationships and expanding our reach in the legal funding space and will be invested solely in attorney funding transactions." DiGiaimo also said, "Since traditional banks do not recognize future fees as valid collateral, we believe we provide a much needed service to the attorneys we work with. Since we are a private institution, we eliminate much of the headache and run-around our clients would receive dealing with a more traditional financial institution. Our process is quick and effective and once we analyze an attorneys portfolio, we are able to give them immediate access to a portion of those fees, well before they are collected". About Baker Street Funding's Attorney Funding Division The firm is designed by attorneys, for attorneys to help them grow their existing practice or branch out into new areas of the legal field. This program is being piloted by providing capital to attorneys that the firm already has an existing relationship with and will provide them with case costs as well as general working capital. Baker Street Funding does not take into account credit ratings or scores, and focuses strictly on the attorney or law firms receivables. Their due diligence process normally takes 5-7 business days which includes the analyzation of the current portfolio of receivables and creation of the credit facility.

Baker Street Funding will be opening their attorney funding program to attorneys in all 50 states and has seen a large amount of initial indications of interest from attorneys in California, New York, New Jersey, Florida, Texas, Mississippi and Georgia.

Solo practitioners and law firms who are looking to utilize their receivables to pay for expert reports, operational cash flow, trial costs or other costs incurred while running a legal practice, may contact them directly online at www.bakerstreetfunding.com/attorneys or by calling (888) 711-3599. Contact information: Name: Daniel Digiaimo Company: Baker Street Funding Email: Christie@bakerstreetfunding.com Website: www.bakerstreetfunding.com Address: 303 5th Avenue, New York, NY Phone: (888) 711-3599

SOURCE: Baker Street Funding LLC

Commercial

Prominent GCs Want FRCP Oversight of Litigation Funding

45 general counsel and chief legal officers have signed a letter which requests that the Committee on Rules of Practice and Procedure amend the Federal Rules of Civil Procedure (FRCP) as pertains to three specific areas of MDL litigation: census of claims, interlocutory appellate review, and litigation funding. As written in the letter, the GCs and legal officers lament that the growth of MDLs (now 50% of the federal civil docket) has led to their being "less and less grounded in the widely accepted principles of procedural fairness and transparency that are the FRCP’s hallmarks." The signatories express "serious concerns" about a lack of fairness in MDL procedures, and about the viability of MDLs going forward. The letter outlines the procedural uncertainties that MDL litigants now face, including questions over uniformity of process in multiple jurisdictions, and whether procedures such as discovery tools, accepted motions and pathways to appeal should be clearly explained to all stakeholders. The 1937 adoption of the first FRCP stemmed from similar procedural uncertainties. Along with changes to the initial census of claims and interlocutory appellate review process, the letter urges the FRCP to mandate disclosure of litigation funding agreements, citing the fact that litigation funding in MDLs is "growing by leaps and bounds," yet few MDL judges "report that they are aware of TPLF in the proceedings before them." The letter goes on to state: "Disclosure is the only way that courts, parties and the Committee will learn who is in the courtroom and understand the issues that are raised by their presence. The funders’ fear of revealing privileged information should be handled just like it is for everyone else: redact it and ask for a protective order. The funders’ fear of rampant discovery is misplaced; disclosure of insurance agreements (which earlier judicial rulemakers decided to require over the strong objection of defendants) has not led to any such problems." 45 GCs and legal officers signed the letter, including from prominent companies like AstraZeneca, Comcast, Exxon Mobil, Microsoft and Johnson & Johnson.  Read the full letter here.
Announcements Commercial

Westfleet Advisors Adds Federal Prosecutor and Litigation Finance Veteran To Growing Executive Team

NASHVILLE, October 10, 2019—Westfleet Advisors, the leading U.S. litigation finance advisory firm, announced today that it has expanded its executive team with the additions of Barry Kamar and Michael Perich, both as Vice President and Legal Counsel. Mr. Kamar was most recently an Assistant United States Attorney (AUSA) in New Jersey. Mr. Perich joins Westfleet from AmLaw 200 law firm, Ice Miller.

“We are thrilled to add such high-quality talent to our team, enabling us to keep pace with the growing demand for our independent litigation finance advisory services,” said Charles Agee, founder and CEO of Westfleet Advisors. “Barry and Michael have diverse backgrounds in law, financial analysis, and litigation finance that ideally complement and bring important new perspectives to our service offerings. They will deliver tremendous value to our clients as they help them navigate litigation finance opportunities.”

Mr. Kamar spent nearly a decade in public service before joining Westfleet, first as an enforcement attorney in the Securities and Exchange Commission’s New York office and later as an AUSA in New Jersey. He brings years of experience in evaluating the strengths of cases involving financial fraud, and his extensive courtroom experience includes nearly a calendar year of trial work in a large RICO prosecution. Mr. Kamar previously worked as an investment banking analyst at Morgan Stanley & Co., where he developed skills in financial analysis, due diligence and deal negotiation.

“I’m excited to combine my trial and corporate finance experience for the benefit of parties seeking litigation funding,” said Mr. Kamar, who was named co-chief of the U.S. Attorney’s Office’s public protection unit while serving as an AUSA. “There was no doubt that Westfleet was the right place for me to do that, given its industry stature and commitment to operating ethically and transparently.”

Mr. Perich brings substantial experience in litigation finance to Westfleet. He previously worked at two leading litigation finance providers, where he underwrote litigation funding deals across a wide range of subject matter and assessed the strengths of new legal claims. At Ice Miller, he was the firm’s primary resource to answer questions about litigation funding and to structure unique contingency or alternative fee arrangements.

“Having seen litigation funding deals from the perspective of both funders and law firms, I appreciate the need for parties seeking financing to have a truly independent advisor at the table,” said Mr. Perich. “Westfleet recognized that need years ago. That’s one of the reasons Charles and Westfleet are so well respected as leaders in the industry.”

Mr. Perich will work from Chicago, while Mr. Kamar will be based in New York.

About Westfleet Advisors

Westfleet Advisors is the leading litigation finance advisor in the United States. It was founded in 2013 to bring greater transparency and efficiency to the litigation finance market by equipping users of litigation financing with expertise and resources. Our core mission is to ensure claimholders and lawyers have all the information they need to be successful with litigation financing. Our senior leadership has been active in the litigation finance industry since 1998.

Announcements Commercial Consumer

NYU Center on Civil Justice Hosting Litigation Finance Conference

The Center on Civil Justice recently launched its Dispute Financing Library, a free, neutral repository of documents relating to the third-party litigation funding industry.  It is online at www.DisputeFinancingLibrary.org. To celebrate the Library's launch, the Center is hosting a luncheon and conference on the present and future of the litigation funding industry, looking at the state of the market and potential ethical concerns, with a keynote by Richard Painter. The Future of Dispute Finance: Pricing, Profits, and Policy will take place on October 18, from 12pm-4:30pm, in Greenberg Lounge in Vanderbilt Hall, 40 Washington Square South. For more information and to RSVP, visit https://tinyurl.com/y23baryf.
Announcements Commercial

Frances Coats joins Augusta as General Counsel

London 10th October 2019, Augusta today announces the appointment of Frances Coats as General Counsel, based in London.

Frances joins from diversified insurance business The Ardonagh Group, where, as Chief Counsel, she managed the Corporate and Commercial legal needs of the group. Coats was named as Legal 500 In-House Insurance Individual of the Year 2019, Legal Business’ Rising Star In-House Counsel of the Year 2019 and was listed in The Lawyer’s Hot 100 2019.

Frances’s recruitment is a further addition to Augusta’s management group following the arrivals of Proskauer’s Director of Professional Resources Polly Bahl as Chief Operating Officer (COO) and FTI Consulting Managing Director Leor Franks as Chief Marketing Officer (CMO). These additions reflect Augusta’s continued growth and investment in professional functions to support the increasing demand for dispute and litigation funding.

Commenting on the appointment, Louis Young, Managing Director at Augusta, said: “We’re pleased to welcome Frances to Augusta. With her deep experience of financial services in-house legal management, Frances will play an important role in advising on the next phase of our growth”.

Frances Coats commented: “I’m delighted to be joining leading litigation funder Augusta. As the business continues to grow, entering new markets and forming strong strategic client relationships, I’m looking forward to supporting Augusta's management team in the UK and internationally”.

About Augusta:

- Established in 2013, Augusta’s scale enables us to make decisions in market-leading timeframes and fund cases of any size.

- Augusta is organised into a series of specialist practice groups: Arbitration, Class Action, Competition, Consumer, Intellectual Property and Litigation, and sectors including Financial Services and Construction & Energy.

- By the end of H12019, Augusta had funded 213 claims with a market-leading win ratio of over 80%.

- Augusta has offices in London, Sydney, Melbourne and Toronto.

Uncategorized

Legal-Bay Settlement Funding Announces Extended Deadlines for Victims of Sexual Abuse

NEW YORK, Oct. 8, 2019 /PRNewswire/ -- Legal-Bay, the premier lawsuit funding company, previously reported on Governor Cuomo's new legislation to extend filing deadlines for sexual abuse survivors in the state of New York. The law went into effect last month, and since then, over 500 new cases have been filed. While most of the lawsuits targeted churches or scouting organizations, many were against Rockefeller UniversityHospital, where Reginald Archibald (now deceased) was employed as a pediatrician for decades, enabling him to sexually abuse over 1000 children. While the hospital has already settled over 200 cases, details regarding payout amounts have not yet been divulged. If you or a loved one require an immediate cash advance from your sexual abuse lawsuit, please visit the company's website: http://lawsuitssettlementfunding.com or call: 877.571.0405 Chris Janish, CEO, commented on the company's focus of assisting plaintiffs in similar situations, "We applaud the efforts in New York and New Jersey to extend the statute of limitations on all sex abuse cases, and we are hopeful that more victims will take this opportunity to obtain some justice after years without a voice." New legislation in more than a dozen states offers sexual abuse victims the ability to sue their abusers up until they turn 55. Because of similar landmark decisions, Legal-Bay predicts an influx of new filings by the end of 2019. Legal-Bay is an advocate for victims of sexual abuse across the country, and is well-versed in clergy abuse litigation, especially in situations where Catholic churches have filed for bankruptcy to limit their payouts. Even in those cases, the pre settlement cash company was able to provide a lawsuit cash advance to victims across the country, including NY and NJ. If you have already filed a sexual abuse lawsuit, you can apply for presettlement funding at: http://lawsuitssettlementfunding.com or call: 877.571.0405 Legal-Bay's programs are non-recourse lawsuit cash advances, also known as case funding, which means you only repay the settlement advance if you win your case. None of the programs should be considered to be a lawsuit loan, lawsuit loans, settlement loans, settlement loan, pre-settlement loans, or a pre-settlement loan. Contact: Chris Janish, CEO
Email: info@Legal-Bay.com 
Ph.: 877.571.0405 SOURCE Legal-Bay LLC
Consumer

Divorce Funding Has Arrived

Couples save for weddings, not divorces. As a result, many are cash-strapped and taken aback by the high costs of divorce. This places undue burden on attorneys, who must often choose between working on contingency or turning away clients. Fortunately, divorce attorneys can leverage divorce funding options, which allow receivables to be covered as they emerge. As reported in Bloomberg, the average cost of a contested divorce ranges from $15-$30k. Of course some reach into the millions and last for many years. Many divorce attorneys end up bearing the brunt of these costs, or turning away clients who can't afford the expense. Litigation funding has permeated the Legal Services industry, and divorce law is no exception. Unlike traditional banks and finance companies which assess a prospective client's eligibility based on assets, credit or income score, divorce funders base eligibility off of the expected settlement of the claim. As a result, funding becomes available for legal fees, expert costs and living expenses. As with other consumer funding, divorce funding can enable clients to hire the best possible attorney - one whose billable hour might be outside the scope of the client's normal budget. This optimizes the outcome in the client's favor. Divorce funding is a relatively new sector of the consumer legal funding space - having truly emerged in the last decade. And with the high cost of divorce, it's likely here to stay.
Announcements Commercial

Debut Of Litigation Finance Firm BlueWhite Legal Capital Marks Latest Jules Kroll Venture, Leveraging Decades Of Legal And Business Success

NEW YORK, Oct. 7, 2019 /PRNewswire/ -- BlueWhite Legal Capital ("BlueWhite" or "the Company"), a privately-held litigation finance firm led by Jules Kroll, Aaron Rubinstein, Earl Doppelt, and Jack Blackburn – all prominent business, legal and finance professionals – today announced its official company launch. BlueWhite, which will focus on financing commercial litigation, is distinguished in an increasingly important industry by its experienced team; agile, strategic, and highly-focused approach; skills in asset tracing and recovery; and committed capital. "My colleagues and I are excited to launch BlueWhite Legal Capital and help build a leading firm that can deliver real value to companies and law firms," said Jules Kroll, Principal of BlueWhite and Chairman of K2 Intelligence and Kroll Bond Ratings. "We are veteran problem solvers who think like the lawyers and corporate executives we support, giving us powerful insight and a unique competitive profile." Mr. Kroll noted that commercial litigators are under increasing pressure to find business solutions that allow them to pursue meritorious cases with the right economics, and are finding litigation finance a value added approach. "Litigation finance is a powerful tool that can give companies and law firms a competitive advantage while enhancing efficiency and profitability. BlueWhite's team and I have worked to ensure that from day one, we are delivering these advantages with top-of-the-line capabilities, capital to deploy, and a culture of excellence and integrity," Mr. Kroll concluded. Uniquely Qualified Team of Business, Law, and Finance Professionals 
BlueWhite is led by its four principals: Jules Kroll, Aaron Rubinstein, Earl Doppelt, and Jack Blackburn. Each brings unparalleled experience at the highest levels of business, law, and finance:
  • Jules Kroll pioneered the business intelligence industry. He is the founder of K2 Intelligence, Kroll Bond Ratings, cybersecurity firm BlueVoyant, and Kroll Inc. He is currently the Chairman of Kroll Bond Ratings and K2 Intelligence. K2 Intelligence, which is an intelligence, investigations, and asset recovery firm, is one of the strategic owners of BlueWhite.
  • Aaron Rubinstein, most recently a partner at Arnold & Porter Kaye Scholer LLP, chaired the Kaye Scholer litigation practice for more than a decade.
  • Earl Doppelt was formerly a senior executive and general counsel of several major multinational corporations, including The Dun & Bradstreet Corporation, The Nielsen Corporation, and Walter Energy, Inc.
  • Jack Blackburn is a former Wall Street executive with experience in litigation finance, having spent his career with Freddie Mac, Citicorp, Merrill Lynch & Co., and Burford Capital.
The BlueWhite Approach 
The Company's strategy will focus on commercial litigation, with specific targeted areas to include breach of contract, securities, M&A, antitrust, fraud, breach of duty, bankruptcy, intellectual property, and asset recovery. BlueWhite's strategic relationship with corporate investigations firm K2 Intelligence is expected to provide a distinct advantage with respect to matters that involve tracing hidden assets and enforcing legal judgments. BlueWhite will target average initial litigation finance commitments between $5 and $15 million, while maintaining the flexibility to evaluate each matter on its own merits and, where appropriate, provide financing outside of this range. The collective experience and expertise of its principals and its relationship with K2 Intelligence will enable BlueWhite to be a highly effective strategic partner to lawyers, corporate executives, and other claimants. Committed Capital 
BlueWhite is backed by Magnetar Capital, a leading alternative asset manager with over $12.9 billion of assets under management1, and a wide range of alternative credit and fixed income, systematic investing, and energy and infrastructure investment strategies. The Company will operate with committed capital, allowing it to move quickly for the benefit of its funded parties. 1 Moelis & Company LLC acted as exclusive financial advisor and placement agent for BlueWhite Legal Capital. Arnold & Porter served as BlueWhite's legal advisor. For further information about BlueWhite Legal Capital, please visit BlueWhiteLegalCapital.com. SOURCE BlueWhite Legal Capital
Announcements Commercial

Financial Poise™ Announces “Ethical Problems Associated with Paying for Litigation,” a New Webinar Premiering October 16th at 1:00 PM CST through West LegalEdcenter™

CHICAGO (PRWEB) OCTOBER 04, 2019: Lawyers’ ethical duties don’t just inform how they do their jobs – they also dictate how they get paid. Join our panel for a discussion of ethical issues arising out of legal fee arrangements, from basic requirements of reasonableness to ongoing and developing law concerning third party litigation finance in multimillion dollar cases.

To learn more, click here.

The webinar will be available on-demand after its premiere. As with every Financial Poise Webinar, it will be an engaging and plain English conversation designed to entertain as it teaches.

About Financial Poise –  Financial Poise has one mission: to provide reliable plain English business, financial and legal education to investors, private business owners and executives, and their respective trusted advisors. Financial Poise content is created by seasoned, respected experts who are invited to join our Faculty only after being recommended by current Faculty Members. Our editorial staff then works to make sure all content is easily digestible. Financial Poise is a meritocracy; nobody can “buy” their way into the Financial Poise Faculty. Start learning today at https://www.financialpoise.com/