Broadly speaking, litigation funding is the funding of legal cases by third parties for a pre-agreed share of the proceeds (costs + damages) if the case is successful - either through settlement or winning at trial.

In the UK, litigation funding has seen growing acceptance both by the public, investors and the judiciary - particularly with the recent reforms to the UK justice system and rapidly rising cost of pursuing legal claims.

Outside the UK, litigation funding is a well established tool in other common and civil law jurisdictions such as Australia, the USA and Canada.
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