Patent Litigation Funding for IP Infringement Cases
Patent litigation funding (sometimes called patent litigation financing) helps businesses and inventors pay for the costs of suing someone who used their intellectual property without permission. These cases are expensive. They drag on. Funding covers expert fees, court costs, and day-to-day expenses so you don’t have to drain your operating capital just to defend what you invented.
What is IP infringement lawsuit funding?
IP infringement lawsuit funding, also called patent lawsuit funding, is a cash advance against your pending case. Inventors and businesses use it to pay legal costs, hire expert witnesses, and keep the company running while the case works its way through court. The money gives you room to pursue fair compensation instead of settling early because you’re out of cash.
Who can get patent litigation funding?
Anyone who is the victim of IP infringement may qualify. The most common applicants tend to fall into a few groups.
Startups fighting bigger competitors
Startups often face infringement from larger, better-funded companies. Defending a patent at that scale is expensive and slow. Patent litigation funding lets you protect your innovation without putting the company’s survival at risk.
Established companies protecting their IP
Larger companies run into their own version of this, usually messier and with more parties involved. Pre-settlement funding (and in some situations, broader litigation financing) gives you extra capital to keep the case moving without pulling money away from your core business.
Individual inventors
If you’re an individual inventor, you may not have the resources to go up against a well-funded defendant. An IP lawsuit loan helps you pay for the legal fight, avoid pressure to take a lowball settlement, and keep your patent rights.
Eligibility requirements
To qualify for pre-settlement funding on an IP infringement case, you must:
- Be the victim of IP theft (someone used your intellectual property without permission)
- Have suffered financial loss because of the infringement
- Have an attorney working on contingency who agrees to the funding
How to get patent lawsuit loans
- Apply. Fill out our online application or call 800-961-8924.
- We evaluate. With input from your attorney, we review the merit of the case, the expected settlement value, and the likely timeline.
- We send a contract. You’ll see the advance amount, the interest rate, and the terms in writing.
- You get the cash. Once you and your attorney sign, funds are usually transferred in less than 24 hours.
Benefits of patent litigation funding
The funding is non-recourse, which is the main thing to understand. If you lose the case, you don’t repay anything. You keep control of your lawsuit instead of being pushed into an early settlement because the cash ran out. The advance pays for expert witnesses, technical analysis, and other litigation costs that actually strengthen your case. And your business keeps running while the case plays out, which matters more than people expect once a lawsuit starts eating into payroll.
Keep control of your IP lawsuit
Patent infringement lawsuit loans are non-recourse cash advances tied to the outcome of your case. Use the money for legal expenses, hire the team you need, and stay focused on the business. You only repay if you win.
Call 800-961-8924 or apply online to get started.
Frequently asked questions
What is patent litigation funding, and when should I consider it?
Patent litigation funding (also called IP infringement or patent lawsuit funding) is a non-recourse cash advance that helps pay for an ongoing IP infringement case where you’re the victim. It makes sense when the case is going to be expensive and slow, but you need to protect your patents without draining your operating cash.
Who is eligible for patent lawsuit funding?
Individuals or businesses that are victims of IP theft with an active infringement lawsuit may qualify. You’ll need to have suffered financial loss and have an attorney working on contingency who signs off on the funding. Startups, established companies, and individual inventors can all apply.
How do I apply, and how quickly can I receive funds?
Fill out the online application or call 800-961-8924. We’ll review the case with your attorney and look at the merits, the likely settlement value, and how long the case is expected to take. If approved, you’ll get a contract with the advance amount, interest rate, and terms. After you and your attorney sign, funds are usually sent within 24 hours.
Do I have to repay if I lose my case? How is this different from a traditional loan?
No. This is non-recourse funding. If you lose, you don’t repay. Unlike a traditional loan, repayment only comes out of a successful settlement or judgment.
How does funding affect my case and business operations?
Funding lets you stay in control of your lawsuit and cover litigation costs without the pressure of running out of money. Your business keeps operating normally while the case works through court.