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Key Findings from Westfleet’s 2024 Litigation Finance Market Report

Key Findings from Westfleet’s 2024 Litigation Finance Market Report

The U.S. litigation finance market continued to cool in 2024, according to the latest Westfleet Insider report. New capital commitments dropped 16% YoY, marking the second straight year of decline. According to the report, this reduction is being driven mostly by tight capital markets rather than any deep issues with litigation finance itself.

That said, the report doesn’t just show a market in retreat—it highlights how the space is adjusting and evolving. For one, deal sizes are getting bigger. Single-matter deals averaged $6.6 million (up from $4.8 million in 2023), while portfolio deals jumped to $16.5 million. Portfolio structures continued to dominate overall, making up about two-thirds of all new capital committed—roughly the same ratio we’ve seen since 2019.

One of the most interesting trends is the continued rise of claim monetization—essentially, turning a legal claim into upfront capital. This strategy made up 26% of new commitments in 2024, up from just 8% three years ago. Corporate claimants, in particular, seem to be driving this trend as they look for cash flow in a tougher funding environment.

Patent litigation is still the biggest slice of the pie, accounting for 32% of all new capital. Notably, most of that funding went into patent portfolios rather than one-off cases—suggesting funders are leaning into more diversified, lower-risk plays in the IP space.

Another first this year: Westfleet started tracking contingent risk insurance, and the data shows 19% of new capital commitments were insured in some way. That’s a big signal that funders are getting more creative about managing risk.

Big Law’s share of the pie grew a bit too, up to 37% of total capital commitments—though the actual dollars going to the top 200 firms fell to $850 million (down from $960 million the year before), simply because the total pool shrank.

Bottom line: while the market’s clearly under pressure, the players that are still active are getting smarter about how they deploy capital. With signs that capital flows could loosen up in 2025, funders focused on monetization, patent portfolios, and insured deals may be best positioned to ride the next wave of growth.

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Burford Covers Antitrust in Legal Funding

By John Freund |

Burford Capital has contributed a chapter to Concurrences Competition Law Review focused on how legal finance is accelerating corporate opt-out antitrust claims.

The piece—authored by Charles Griffin and Alyx Pattison—frames the cost and complexity of high-stakes competition litigation as a persistent deterrent for in-house teams, then walks through financing structures (fees & expenses financing, monetizations) that convert legal assets into budgetable corporate tools. Burford also cites fresh survey work from 2025 indicating that cost, risk and timing remain the chief barriers for corporates contemplating affirmative recoveries.

The chapter’s themes include: the rise of corporate opt-outs, the appeal of portfolio approaches, and case studies on unlocking capital from pending claims to support broader corporate objectives. While the article is thought-leadership rather than a deal announcement, it lands amid a surge in private enforcement activity and a more sophisticated debate over governance around funder influence, disclosure and control rights.

The upshot for the market: if corporate opt-outs continue to professionalize—and if boards start treating claims more like assets—expect a deeper bench of financing structures (including hybrid monetizations) and more direct engagement between funders and CFOs. That could widen the funnel of antitrust recoveries in both the U.S. and EU, even as regulators and courts refine the rules of the road.

Almaden Arbitration Backed by $9.5m Funding

By John Freund |

Almaden Minerals has locked in the procedural calendar for its CPTPP arbitration against Mexico and reiterated that the case is supported by up to $9.5 million in non-recourse litigation funding. The Vancouver-based miner is seeking more than $1.06 billion in damages tied to the cancellation of mineral concessions for the Ixtaca project and related regulatory actions. Hearings are penciled in for December 14–18, 2026 in Washington, D.C., after Mexico’s counter-memorial deadline of November 24, 2025 and subsequent briefing milestones.

An announcement via GlobeNewswire confirms the non-recourse funding arrangement—first disclosed in 2024—remains in place with a “leading legal finance counterparty.” The company says the financing enables it to prosecute the ICSID claim without burdening its balance sheet while pursuing a negotiated settlement in parallel. The update follows the tribunal’s rejection of Mexico’s bifurcation request earlier this summer, a step that keeps merits issues moving on a consolidated track.

For the funding market, the case exemplifies how non-recourse capital continues to bridge resource-intensive investor-state disputes, where damages models are sensitive to commodity prices and sovereign-risk dynamics. The disclosed budget level—$9.5 million—sits squarely within the range seen for multi-year ISDS matters and underscores the need for careful duration underwriting, including fee/expense waterfalls that can accommodate extended calendars.

Should metals pricing remain supportive and the tribunal ultimately accept Almaden’s valuation theory, the claim could deliver a meaningful multiple on invested capital. More broadly, the update highlights steady demand for funding in the ISDS channel—even as governments scrutinize mining concessions and environmental permitting—suggesting that cross-border resource disputes will remain a durable pipeline for commercial funders and specialty arbitrations desks alike.

Legalist Expands into Government Contractor Lending

By John Freund |

Litigation funder Legalist is moving beyond its core offering of case-based finance and launching a new product aimed at helping government contractors manage cash flow. The San Francisco-based firm, which made its name advancing capital to plaintiffs and law firms in exchange for a share of litigation proceeds, is now offering loans backed by government receivables.

An article in Considerable outlines how Legalist’s latest product is designed to serve small and midsize contractors facing long payment delays—often 30 to 120 days—from federal agencies. These businesses frequently struggle to cover payroll, purchase materials, or bid on new work while waiting for disbursements, and traditional lenders are often unwilling to bridge the gap due to regulatory complexities and slow timelines.

Unlike litigation finance, where returns are tied to legal outcomes, these loans are secured by awarded contracts or accounts receivable from government entities. Legalist sees overlap in risk profiling, having already built underwriting systems around uncertain and delayed payouts in the legal space.

For Legalist, the move marks a significant expansion of its alternative credit offerings, applying its expertise in delayed-cashflow environments to a broader market segment. And for the legal funding industry, it signals the potential for funders to diversify their revenue models by repurposing their infrastructure for adjacent verticals. As more players explore government receivables or non-litigation-based financing, the definition of “litigation finance” may continue to evolve.