Litigation Fund Investment

[mikekim1219]

I recently ran into information about litigation fund investment. I tried to get more info by registering to site but couldn't. So here I am asking if anybody in this forum know about this investment?

What is the general return and what is the risk? How does it work and where can I buy the fund in Thailand?

[topt]

I have read some articles in the past which mentioned Juridica Investments Ltd (JIL on the LSE). They are or were held by Neil Woodford in one of his funds.

If you google them you should find out more like this - http://markets.ft.com/Research/Markets/Tearsheets/Summary?s=JIL:LSE

I think there is another listed company in the US.

I would have thought all highly speculative but I know nothing specific......

[Time Traveller]

It works like this.

A stupid unfortunate woman spills hot coffee on herself at the Fast food restaurant. It was her own the fast food corporations fault. A greedy generous lawyer thinks she is an idiot convinces her that she is a victim and deserves compensation from the evil corporation. This dispicable kind lawyer will help her pursue her ridiculous rightful claim for compensation by a contigency no money down, no-fees-unless-they-win agreement.

The corporation wants to avoid another gold digger damages claim against them decides to put their best legal tacticians evil legal counsel on the case. A more than generous insultingly small consolation offer is offered by the company to settle which is rejected. Fast forward a year or five, the evil corporation's legal team have stalled and postponed while the no-money-down litigation lawyer could not care less about risking his own assets does not have the money to continue the case so then asks for money from suckers angel litigation investment funds to continue this charade battle of good v. evil. with the final million dollar payout to be the return on investment. Eventually, the plaintiff's Lawyer realizes he's going to lose, so negotiates a very small settlement for his client. After court costs, and the laywer's extraordinarily high reasonable legal fees the plaintiff is left with enough in compensation to afford another coffee from the fast food restaurant, whilst the Litigation investors count the pennys of what is left.

In the case where the defendant is not a large mega corporation with money to spend on out of court settlements, the defendent usually ends up bankrupt where the lawyer, the plaintiff and the "investor" all are left fighting with the trustee of the bankrupt's carcass for the loose change in the defendents lounge.

[mikekim1219]

This still doesn't explain how my investment return is calculated. What if the plaintiff lose the litigation?

[Time Traveller]

This still doesn't explain how my investment return is calculated. What if the plaintiff lose the litigation?

There must be some prospectus if a fund is raising money for these alternative investments. There would be a general method calculation outlining how proceeds are divided to investors and likely the information that you are looking for is in the all important disclaimer. These are not mainstream investments and I would liken them to highly speculative investments such as film financing.