Madgett LawMinneapolis · Minnesota

Litigation Funding

Non-recourse funding solutions so plaintiffs can pursue justice without financial risk — evaluation, funder selection, and agreement review.

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Unleashing the Power of Litigation Funding

At Madgett Law, we understand that pursuing legal claims can be financially daunting. Litigation costs can mount quickly, making it difficult for individuals and businesses to access the justice they deserve. That’s where litigation funding comes in.

What is Litigation Funding?

Litigation funding is a non-recourse financial solution that provides upfront capital to cover the costs of legal action. In exchange, the funder receives a portion of any proceeds recovered through settlement or judgment. This allows plaintiffs to pursue their claims without the risk of losing their own money.

Our Litigation Funding Services

  • Case Evaluation and Funding Strategy: We will assess your case and advise you on the best funding options available, including individual case funding and portfolio funding.
  • Funder Selection and Negotiation: We will help you navigate the selection process and secure funding on the most favorable terms possible.
  • Funding Agreement Drafting and Review: We will ensure your funding agreement is clear, fair, and protects your interests.
  • Ongoing Support and Guidance: We will be your advocate throughout the litigation process, providing guidance and support every step of the way.

Common questions

What does non-recourse litigation funding actually mean?

It means that if the case recovers nothing, you generally owe the funder nothing. The funder is betting on the outcome rather than lending against your credit. That is genuinely different from a loan — and it is also why the pricing is higher than a loan, because the funder is absorbing the risk of a zero.

How much of my recovery does a funder take?

It varies with the size of the advance, the risk profile of the case, and how long the money is outstanding — and it compounds over time, which is the part people miss when they compare offers. A modest advance on a case that takes three years can consume far more of the recovery than the headline rate suggests. Read the schedule, not the summary.

Is litigation funding allowed in Minnesota?

Third-party litigation financing is used in Minnesota, and the Minnesota Supreme Court has addressed the doctrines that historically restricted it. That said, the enforceability of any particular agreement still turns on its own terms, and consumer-facing funding is subject to its own requirements. This is an area where the specific agreement matters more than the general rule.

Will taking funding affect who controls my case?

It should not. Litigation decisions belong to you and your lawyer, and an agreement that hands settlement authority or strategic control to a funder is a serious problem — including for your lawyer's professional obligations. Control provisions are one of the first things we look at when reviewing a proposed agreement.

Should I have a lawyer review a funding agreement before signing?

Yes, and preferably one who is not receiving anything from the funder. These agreements are drafted by the funder, the pricing terms are often buried in an exhibit, and the differences between offers are rarely visible on the front page. An hour of review before signing routinely changes what a case is worth to the client at the end.

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