Hedge funds and private equity firms are always seeking new avenues for profit. While they have been in the game of financing litigation via loans for some time, they have recently started loaning money to mass tort law firms. Specifically, these law firms specialize in mass tort cases against drug companies and medical device manufacturers. Traditionally, hedge funds have been in the business of financing long-term commercial litigation, but reports have indicated that funding consumer suits could prove even more profitable.
Lawmakers are concerned that lenders are gaining undue influence over legal strategy and settlements. Accordingly, many of them believe that funding needs to be disclosed, at the very least when the lender has a vested interest in the outcome of the case, as is the law in the state of Wisconsin. For example, a federal judge recently required disclosure of a third-party financier in a case against hundreds of opioid manufacturers. Other lawmakers have suggested that there needs to be limits on interest rates that financing firms can implement when advancing cash to fund litigants.
If you or a loved one has been injured as the result of a faulty product, you may be entitled to significant monetary relief. Act now and contact one of our expert products liability attorneys here at the Law Offices of Gilbert R. Hoy, Jr. and Affiliates to discuss your potential claim. Call our injury attorneys today at 617-787-3700 or email us at [email protected] for your free and private consultation. Your needs are our top priority!