Patrick McNicholas Comments on Third-Party Legal Case Funding in the Los Angeles Business Journal
With the steadily rising cost of litigation, a crop of companies are jumping into the equation and offering plaintiffs’ attorneys funding in personal injury cases in exchange for a piece of the recovery. In the article, “Suit Supporters Court Criticism” published by the Los Angeles Business Journal, Partner Patrick McNicholas says that although his firm does not work with third-party litigation funders, he does understand why plaintiffs’ attorneys are turning to this method.
“In most instances, plaintiffs can’t afford their own cases,” Mr. McNicholas comments. “For a medical malpractice claim, you’re talking about an expensive piece of litigation. Those expenses can be in the hundreds of thousands of dollars.”
While it may be appealing to some, third-party legal case funding has drawn much criticism for their business models and are pushing for stricter regulations on these firms.