Monetization, litigation and arbitration finance, coverage of adverse claims
Problem
The cooperative did not have the resources to pay the professionals necessary to file a lawsuit for damages arising from a cartel formed by the cooperative’s client. Claim amounted to more than €30m. In addition, the cooperative could not bear the risk of potential adverse costs
Solution
Claimbnb structured an investment that:
-Retained top-notch legal counsel, economic experts, support staff
– Monetized part of the lawsuit by providing liquidity to the cooperative
– Covered a high amount of potential adverse costs
Result
The cooperative was able to initiate the lawsuit, not bearing the cost associated nor the risk of potential adverse costs. In addition, it was able to monetize part of the claim, while preserving a significant portion of the upside in the event of a favorable ruling