The Convergence of Asset Recovery and Litigation Funding: How Funders are Revisiting Legal and Collectability Risks

Dan Pascucci will be participating in a panel at the upcoming C5 Annual Conference titled, "The Convergence of Asset Recovery and Litigation Funding: How Funders are Revisiting Legal and Collectability Risks," which will discuss collectability risk and how litigation funders are approaching it as the pandemic induced financial crisis continues to build.

Collectability risk is being assessed as rigorously as legal risk and many anticipate a corresponding growth in demand for asset recovery and enforcement funding. The panel will discuss, among other things, the newest methodologies for properly assessing collectability in the context of litigation funding, such as:

• Determining who the key stakeholders are by looking at the profile and motivations of the main decision-makers
• When claimants may be competing with other creditors over a limited pool of assets
• Examining which assets the respondent may hold in jurisdictions that may or may not be amenable to enforcement; and to what extent the assets are leveraged
• Finding out the nature and extent of any ongoing commercial operations of the respondent
• Accounting for the proposed enforcement plan if no voluntary payments are made at the conclusion of the litigation or arbitration