Sheahan Lock Partners is retained by a number of international litigation funders, hedge funds, special situation investors and high net worth individuals to identify significant, potentially valuable legal claims which may be available for sale or joint venture.  We are regularly approached by companies, frequently but not always in financially distressed circumstances, which control such legal claims, but which lack the necessary resources to fully investigate, fund and prosecute same.  Some corporations do not wish to devote the management time which would undoubtedly be required in pursuing legal claims and are unaware of their potential ability to capitalise on such assets by selling part or all of their claims.  Litigation can be extremely expensive when all costs such as solicitors, counsel, experts, security for costs where appropriate and potential adverse costs orders are considered.  For this reason, our potential funders are generally only interested in evaluating claims with face values of at least $50m – preferably significantly more.

We can assist by accepting an insolvency appointment, if appropriate, fully investigating and utilising our insolvency powers of compelling early document production and provision of oral evidence from identified witnesses, following which a brief is prepared for counsel to provide an advice on evidence.  The resulting advice is then provided under legal privilege to potential funders who may then proceed to negotiate a litigation funding proposal and budget.

We are acutely aware that many significant, valuable legal claims are not prosecuted because they are either not fully identified or because the controller of such claims does not have the financial resources available to litigate.  Indeed, many solicitors, and senior and junior counsel, are frequently frustrated by their clients’ unwillingness or inability to prosecute perfectly valid and extremely valuable causes of action.  Our access to such litigation capital can provide a beneficial outcome to all parties.