Over the past few decades we have watched, on thousands of cases, the caustic effect non-recourse lending has had on individual clients, legal practices and the civil justice system in general. Our foundation’s mission is to develop a sustainable model of fundraising and to lend non-recourse as a not-for-profit in order to provide lending as a service to the civil justice community and to inspire leadership in the nonprofit and private foundation space to better serve disabled clients.
The national debate will continue on whether these agreements should be capped by our legislatures, as we are very aware of their usury nature. Although the NY Attorney General and others have probed this section of the litigation finance industry, little has been done to protect consumers.
Our goal is to support the lives of plaintiffs who are in financial duress. In the name of the Seventh Amendment, we are capping our interest rates on our funding agreement at seven percent simple interest. We think this is a big deal. We hope you agree.