Litigation Funding – Is the funding supplied a loan and does it have to be repaid with interest?

Nov 12, 2020

Here at Apex Litigation Finance we know that there are misunderstandings around litigation funding and how it works. One of the most common misconceptions, we come across, is that people think the funding supplied is a loan. Due to the fact they see it as a loan, they presume that it has to be repaid with interest, regardless of the case outcome.

However, this is not the case as the funding supplied is, most definitely, not a loan. Instead it is funding supplied as a non-recourse investment in the litigation.

Would I Need To Pay Back The Funding If The Case Was Lost?

In the unlikely situation that the case was lost, then there is nothing for you to repay. This is because we, as the funder, accept the risk of loss when we make you the offer of funding.

What Do I/We Pay Back When The Case Is Won?

In the more likely situation that the case is won, you repay the Funder’s deployed capital plus an additional sum as agreed in the terms agreed in the Litigation Funding Agreement. These are the terms that are negotiated and agreed between the claimant and the funder before the case is taken on, and before the litigation funding is incepted.

The team here at Apex Litigation Finance are here to help you. We use technology and professionally experienced experts to review your claim to ensure it has a high probability of success. Unlike other litigation funding companies, we use technology as well as experts. This allows us to confirm if we can offer funding far quicker than our competition and, because our costs are lower, offer more competitive terms.

With our focus being on small to medium size claims (i.e. those with a potential claim value of less than £10m) we are able to assist you in accessing justice regardless of the size of your claim or opponent.

If you would like to apply for litigation funding, then please see our contact page or complete the application form. If you’d like to know more about the litigation funding we offer, please contact the team directly.

London Office

1 Alfred Place, Fitzrovia, London, WC1E 7EB


+44 (0) 208 012 7944