Often there is no budget for the enforcement of legal claims. Litigation funding makes it possible to enforce legal claims. On the AEQUIFIN platform, sponsors provide funding for a share in the success of the lawsuit. Sponsors profit in many ways. They also provide support for legal clarification, e.g. on fundamental rights, tax regulations and much more. Therefore, a direct participation in the litigation proceeds is not always necessary.
Risk Management for Litigants
Litigation funding enables a plaintiff or defendant to shift the cost risk of enforcing his or her legal claim. This enables him to control litigation risks in a very targeted manner and to use litigation funding as part of his risk management.
If the case wins, the litigation proceeds are distributed between the sponsors and the litigant on the basis of the concluded agreements. If the litigant is defeated in the process, the unused sponsorship will be refunded to the sponsors. There is no further obligation on the part of the litigant to reimburse the sponsors.
Often litigants do not have the expertise or the time capacity for the detailed planning of a litigation budget or the correct involvement of commercial and legal experts for the litigation management. Litigation funding activates specialised knowledge and enables the company's own resources to be used as needed. Using the AEQUIFIN platform creates the best conditions for successful litigation.
A Fair Market Price
The AEQUIFIN Quota Balancing enables the financing of a legal matter with several sponsors. It is a unique bidding process, which is optionally available to platform users for their case. During the specified period, both the sponsors and the litigants have the opportunity to adjust their offers with regard to the distribution of the litigation proceeds. This results in a fair market price.