Litigation Finance 101
Understanding the Power of Capital in the Pursuit of Justice
Litigation finance—also known as legal funding—is transforming how meritorious claims are pursued around the world. At Avyana Litigation Funding, we believe that financial barriers should never determine who has access to justice. This page provides a simple yet comprehensive overview for investors, claimants, lawyers, and journalists who are new to this powerful and evolving industry.
Litigation finance is the practice of funding legal claims in exchange for a portion of the proceeds—only if the case is successful. It allows individuals, companies, or law firms to pursue strong legal actions without bearing the upfront legal costs or financial risk. The funding is non-recourse, meaning that if the case is lost, the claimant owes nothing. It is a performance-based investment model, where capital supports legal merit and accountability.
The process is straightforward. A claimant or their legal counsel submits a case to Avyana for confidential review. We evaluate the claim’s legal strength, evidentiary support, enforceability, and financial potential. If the case qualifies, we issue a tailored non-recourse funding agreement. We then cover litigation expenses including attorney fees, court costs, expert reports, and in some cases, working capital. When the case results in a successful judgment or settlement, Avyana recovers its investment along with an agreed return. If the case is unsuccessful, the claimant bears no repayment obligation.
Litigation finance is used by a wide range of parties: companies seeking to avoid the impact of legal costs on their balance sheets; shareholders pursuing damages related to corporate misconduct; law firms looking to manage risk in contingency matters; insolvency professionals reclaiming assets; and whistleblowers or minority investors seeking justice against more powerful adversaries. It is a solution for those with strong claims but limited resources—and a strategic tool for those managing legal risk.
Avyana’s returns are structured according to each case’s profile. This may include a percentage of the recovered proceeds, a multiple of the invested capital, or a hybrid of both. Our model ensures alignment with the claimant: we only profit when the case succeeds. The majority of the proceeds remains with the claimant, while we provide the capital and strategic backing to make justice possible.
Litigation finance plays a critical role in enabling access to justice. It allows meritorious claims to be pursued based on legal strength—not financial power. It empowers companies to monetize legal assets, supports investors in enforcing their rights, and gives a voice to those who would otherwise be silenced by cost or complexity.
At Avyana, we fund what is legally sound, ethically justified, and strategically viable. Litigation finance is not just a financial tool—it is an instrument of fairness, enforcement, and change.
