A mass tort is a single wrongful action that causes injury to many different people, generally litigating against giant defendants like product and medication manufacturers. Leading mass torts firms generally work on a contingency basis, meaning that they receive no compensation until the lawsuit is over. Paying costs out of pocket subjects attorneys to massive risk, especially when litigation costs exceed early forecasts or defendants prolong the settlement process.

Daylesford Capital lowers the risk to law firms by offering non-recourse investments in which plaintiffs' attorneys can convert a portion of their fee risks to finance portfolios of cases. Litigation funding can also be used to accelerate and streamline collection of receivables, to fund expected and unexpected out-of-pocket expenses and as an alternative to bank loans.

To assess whether a law firm's contingent portfolio meets our investment standards, Daylesford Capital’s investment team researches the facts and applicable laws of the case. Attorneys may be asked to provide additional documents and information, including detailed background information, publicly available court filings, and select financial documents. A case budget and project management plan are prepared and evaluated. If Daylesford's Investment Committee approves the proposed investment, the funding agreement is finalized. Law firms who use litigation funding for their mass tort contingency portfolios generally report more stable cash flow as a result of investment.