The Frankfurt-based litigation financing company LF Legal Finance SE, through its subsidiary Legal Finance International GmbH (Düsseldorf) , has acquired an option to finance an international tort case with a value in dispute of up to EUR 1.0 million. If the case is financed and won, Legal Finance expects significant cash inflows.
The option agreement was signed on 11 August 2023 and has a term of 2 months. It gives Legal Finance the exclusive option to fund the litigation with a value of approximately EUR 1.0 million. Subject to funding, Legal Finance will decide whether to exercise the option within the term of the agreement.
The financing of further claims and ancillary litigation arising from related matters with a further cumulative amount in dispute of up to a further EUR 1.0 million is currently being negotiated.
The complex international case involves several jurisdictions, including non-European jurisdictions, and is ripe for trial. The defendant in the main action is solvent and reachable. The issues in the case include damages and corporate law.
As usual, Legal Finance is only involved in the funding of the proceedings and is not intervening in the litigation. The proceedings are conducted solely by the plaintiff through experienced litigators. Any cost-increasing measures will be taken in consultation with Legal Finance.
LF Legal Finance SE is in the process of further clarifying the ancillary litigation and will involve external lawyers in a more detailed examination of the prospects of success of the claims. In addition, other sources will be consulted to verify the solvency of the defendants in the ancillary proceedings.