Trending Now
  • Kansas Enacts Transparency in Consumer Legal Funding Act
  • Legal Finance ABS for Institutional Investors: Market Securities Expands Offering
Announcements Commercial Deals

New research shows GCs seek greater value from legal claims and judgments

September 19, 2023

New research shows GCs seek greater value from legal claims and judgments

Burford Capital, the leading global finance and asset management firm focused on law, today releases new independent research that reveals how businesses are finding solutions to extract greater value from legal claims and judgments, based on a survey of 350 GCs, heads of litigation and senior in-house lawyers in the US, Europe, Asia, Australia and the Middle East.

The economic climate has amplified longstanding pressures on businesses, including legal departments. With research released earlier this year by Burford showing that GCs expect commercial disputes to increase in the next two years, how companies pay for and extract value from their meritorious claims is more important than ever. Burford’s new report on the economics of commercial disputes and enforcement demonstrates a desire by senior in-house lawyers to maximize the value of claims, judgments and unenforced awards, without adding to costs. Notably, 61% of those surveyed say that uncertain or challenging conditions would impact their likeliness to consider legal finance solutions.

Christopher Bogart, CEO of Burford Capital, said: “Companies account for well over fifty percent of Burford’s business today, including very large Fortune 500 global companies. As the former GC of such a company, I am awake to the financial pressures legal departments face, especially in uncertain economic times. The new research confirms GCs’ desire to achieve optimal financial outcomes with their claims, judgments and awards. At Burford, we are strategic partners for businesses seeking to reduce risk and maximize value both through our legal finance offerings and our enforcement and recovery services. More in-house counsel are realizing the innovative ways we can help them avoid leaving money on the table, and the research affirms that.”

Consistent with the growth of its business with leading companies, Burford on a group-wide basis recently entered into a $325 million transaction with a Fortune 500 company to finance a portfolio of matters in its affirmative recovery program, allowing the company to recognize immediate value from those claims.

Key findings from the research include:

Economic pressures impact how clients manage their costs and partners, with the majority of those surveyed likely to seek cost-sharing solutions.

  • Over half (52%) say they are likely to seek cost-sharing solutions with counsel or legal finance providers to mitigate the impact of the current economic climate.
  • Although many say they are likely to implement cost-saving measures to mitigate these impacts (44%), in-house lawyers seem to favor cost-shifting over cost-cutting.
  • Aside from relevant legal expertise, the top attributes in-house lawyers seek in outside counsel are efficiency and speed (89%), the ability to provide accurate budgets (87%) and familiarity with legal finance (69%).

Unenforced awards remain a problem for businesses, and even more so in the current climate.

  • Vanishingly few (2%) say they recovered 100% of the value of their judgments and awards over the last five years and a clear majority (61%) state that their opponents voluntarily pay their outstanding judgments and awards less than 50% of the time.
  • The consequence of slow-to-pay or fail-to-pay judgment debtors is many millions of dollars in lost value to businesses at a time when legal teams wish to minimize costs and maximize recoveries.

Enforceability is a key consideration for litigation and arbitration strategy.

  • Top perceived barriers to enforcement are jurisdiction and cost.
  • More than three quarters (77%) view ease and likelihood of recoverability as important factors in whether to pursue claims.
  • Immediate liquidity is a key benefit for funded enforcement and recovery.
  • More than half (57%) say they are likely to use financed enforcement and recovery services for a pending judgment or award.

The 2023 Commercial Dispute & Enforcement Economics Survey can be downloaded on Burford’s website. The independent research was conducted by GLG in June 2023.

About Burford Capital

Burford Capital is the leading global finance and asset 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 New York Stock Exchange (NYSE: BUR) and the London Stock Exchange (LSE: BUR), and it works with companies and law firms around the world from its offices in New York, London, Chicago, Washington, DC, Singapore, Dubai, Sydney and Hong Kong.

For more information, please visit www.burfordcapital.com.

This announcement does not constitute an offer to sell or the solicitation of an offer to buy any ordinary shares or other securities of Burford.

Announcements

View All
Announcements Commercial

Loopa Finance Wins at the Lexology European Awards 2026 in the Litigation / General Counsel Category

By John Freund |

Loopa Finance has been recognized as the winner in the Litigation – General Counsel Team category at the Lexology European Awards 2026, one of the leading recognitions in the international legal sector.

The award was received in London by Ignacio Delgado, General Counsel Europe at the firm, on behalf of Loopa Finance’s European team, composed of Ignacio Delgado (General Counsel Europe), Marina Gouveia (Investment Manager), Fernando Pérez Lozada (Senior Investment Manager), and Fernando Folgueiro (Managing Partner).

The Lexology European Awards recognize outstanding legal teams across the region through a methodology that combines independent research, quantitative and qualitative analysis, and thousands of nominations supported by clients and industry peers, as well as the annual research conducted by the Lexology Index (formerly Who’s Who Legal) and Client Choice.

The selection process is based on performance evaluations related to effective communication, commercial understanding, technical expertise, strategic management, and team strength, and is supported by a global community of more than 940,000 subscribers.

This recognition positions Loopa Finance’s European team among the leading practitioners in complex litigation and strategic legal management in Europe.

“This award reflects the strength of a team operating across two continents that understands litigation not only from a legal perspective, but also through financial analysis and risk management. It is the result of collective work and a rigorous, strategic approach to structuring complex disputes,” said Delgado during the ceremony.

More Than an Award: Validation of a Model

The award comes at a time of consolidation for the firm. Loopa Finance recently completed its rebranding process, evolving from Qanlex to Loopa Finance and reinforcing an identity aligned with its growth in continental Europe and its broader international positioning.

It also coincides with the closing of Fund III, raising €65 million to finance complex litigation and arbitration across Europe and Latin America, significantly expanding the firm’s investment capacity and supporting the continued growth of its platform in the region.

This milestone adds to the firm’s recent rankings, including its Band 1 classification by Chambers & Partners in Latin America and Europe, its recognition as “Highly Recommended” by Leaders League across multiple jurisdictions, and the inclusion of members of its team among the Thought Leaders in Third-Party Funding by the Lexology Index. Together, these results confirm the strength of Loopa Finance’s model and the consolidation of its team as a reference in the strategic financing of disputes at an international level.

About Loopa Finance

Loopa Finance is an investment fund specializing in the financing and monetization of litigation and arbitration across continental Europe and Latin America, supported by a technology-driven model and rigorous risk analysis. The firm provides capital to cover legal costs or monetize ongoing claims through non-recourse structures, where the recovery of the investment depends exclusively on the successful outcome of the case, assuming the financial risk of the dispute while fully aligning its interests with those of clients and law firms.

Announcements Commercial

Pravati Capital Partners with SEI to Bring Litigation Finance to Registered Investment Advisors

By John Freund |

One of the oldest litigation finance firms in the United States has announced a strategic partnership aimed at expanding mainstream investor access to the asset class.

As reported by Business Wire via Yahoo Finance, Scottsdale-based Pravati Capital has partnered with financial services firm SEI to provide registered investment advisors with structured access to litigation finance as an alternative investment option. The collaboration will leverage SEI's distribution platform to make litigation funding opportunities available within advisor portfolios.

The partnership reflects growing institutional interest in litigation finance as an alternative asset class. Historically, litigation funding has been difficult for mainstream financial advisors to access on behalf of their clients, with the market largely dominated by specialized funds and institutional investors. The Pravati-SEI arrangement seeks to bridge that gap by creating a more accessible pathway for advisors seeking diversification through non-correlated investments.

The announcement underscores a broader industry shift as litigation finance continues to move from a niche strategy toward greater acceptance within traditional wealth management channels. As the global litigation funding market grows — projected to reach over $25 billion in 2026 — partnerships like this one may signal a new phase of institutional adoption.

Announcements Commercial

Nera Capital Secures £50M Asset Mandate

By John Freund |

Nera Capital has strengthened its litigation finance platform with the onboarding of a new South America-based funding partner committing £50 million across litigation finance and legal assets. The mandate not only expands Nera’s available capital base but also sees the firm formally appointed as asset manager for the new funds, reinforcing its growing role as both originator and portfolio steward within the UK litigation market.

In a press release, Nera Capital announced that the £50 million commitment will be deployed across a range of UK-based claims, with the firm responsible for underwriting, structuring, capital deployment, and ongoing portfolio management. The capital will be allocated in line with Nera’s established investment criteria and risk management framework, targeting carefully selected legal assets. The funding partner, described as having an “extensive track record” in high-yielding special situations investments uncorrelated to traditional asset classes, brings prior experience in litigation finance across South America.

Robin Grant, CFO at Nera Capital, emphasized that the partnership aligns with the firm’s disciplined approach to litigation finance and enhances its ability to deliver attractive, risk-adjusted returns to investors. Aisling Byrne, Director at Nera Capital, highlighted the funder’s blend of financial and legal expertise, noting that the asset manager appointment reflects international confidence in Nera’s ability to identify viable claims and manage them through to resolution.

Established in 2011 and headquartered in Dublin, with offices in Manchester and Holland, Nera Capital provides law firm lending across consumer and commercial claim portfolios and is a member of the European Litigation Funders Association.