Litigation Funding Investment Market Report 2026

The litigation funding investment market size has grown rapidly in recent years. It will grow from $22.76 billion in 2025 to $25.8 billion in 2026 at a compound annual growth rate (CAGR) of 13.4%. The growth in the historic period can be attributed to increasing legal costs across jurisdictions, rising complexity of commercial litigation, expansion of third-party funding acceptance, growth in corporate dispute resolution, increased awareness of alternative legal financing.

The litigation funding investment market size is expected to see rapid growth in the next few years. It will grow to $41.37 billion in 2030 at a compound annual growth rate (CAGR) of 12.5%. The growth in the forecast period can be attributed to increasing institutional investor participation, rising demand for transparent litigation returns, expansion of funding in international arbitration, growing use of analytics in case selection, increasing regulatory clarity around litigation finance. Major trends in the forecast period include increasing use of data-driven case evaluation models, rising adoption of portfolio-based litigation funding, growing integration of ai in legal risk assessment, expansion of cross-border litigation funding, enhanced focus on structured funding instruments.

The increase in legal conflicts is expected to drive growth in the litigation funding investment market moving forward. Legal conflicts are disputes between individuals or organizations that require resolution through formal legal processes such as court trials or arbitration. This rise in conflicts is attributed to the growing complexity of business contracts and commercial transactions, which often involve multiple parties, jurisdictions, and regulatory frameworks, increasing the likelihood of disputes. Litigation funding investment supports parties involved in these conflicts by providing essential financial resources, facilitating access to expert legal counsel, reducing the burden of upfront legal costs, and enhancing the chances of a successful resolution. For example, in March 2025, the Court of Justice of the European Union, a Luxembourg-based judicial authority, reported that 1,706 new cases were filed in 2024, up from 1,689 cases in 2023. Thus, the rise in legal conflicts is fueling the growth of the litigation funding investment market.

Key players in the litigation funding investment market are developing innovative solutions like zero-interest credit lines to improve financial access for small businesses. A zero-interest credit line offers borrowers funds without any interest charges during the repayment period. For instance, in January 2024, LegalPay, an India-based legal financing firm, introduced Quick Settle, a zero-interest credit line designed to help businesses, startups, freelancers, and individual entrepreneurs manage legal disputes without straining their working capital. This financing option offers a flexible repayment term of 6 to 12 months, enabling users to cover legal costs efficiently without prolonged financial pressure. Quick Settle promotes quicker dispute resolution by providing interest-free funding with minimal entry barriers, helping small and medium-sized enterprises maintain financial stability and operational continuity throughout legal proceedings.

In November 2024, Fenchurch Legal, a UK-based litigation funding company, partnered with Altify Inc. to launch a legal finance security token. This collaboration aims to democratize access to litigation funding by utilizing blockchain technology to increase transparency and enable a wider range of investors to participate in legal finance via tokenized assets. Altify Inc., based in the UK, specializes in blockchain and tokenization software solutions supporting litigation funding investment.

Major companies operating in the litigation funding investment market are SoftBank Group, Burford Capital Limited, Omni Bridgeway Limited, Augusta Ventures Limited, Legalist Inc., Parabellum Capital LLC, GLS Capital LLC, Harbour Litigation Funding Limited, Balance Legal Capital LLP, Bench Walk Advisors, Deminor Recovery Services, LegalPay, Lex Ferenda Litigation Funding LLC, LexShares LLC, Longford Capital Management LP, Pravati Capital LLC, Therium Group Holdings Limited, Validity Finance LLC, Apex Litigation Finance Limited, Arcadia Finance.

North America was the largest region in the litigation funding investment market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the litigation funding investment market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the litigation funding investment market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The litigation funding investment market includes revenues earned by entities through case evaluation, risk assessment, portfolio financing, single-case funding, appeals funding, enforcement financing, arbitration funding, and monetization of legal claims. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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