Wednesday, December 21, 2011
Keith Hylton (Boston University) has posted to SSRN The Economics of Third-Party Financed Litigation. The abstract provides:
This paper examines the law and economics of third-party financed litigation. I explore the conditions under which a system of third-party financiers and litigators can enhance social welfare, and the conditions under which it is likely to reduce social welfare. Among the applications I consider are the sale of legal rights (such as contingent tort claims) to insurers, to patent trolls, and to financiers generally.