As Noel Edmonds secures litigation funding ahead of his upcoming legal battle, our Commercial Disputes expert Andrew Brown looks at the motivations for using this kind of fund to finance claims.

Noel Edmonds' reference to litigation funding below is a shrewd move.

Few claims actually reach the court room, but your ability to drive a favourable settlement beforehand often depends on your ability to convince your opponent. Not just about the merits of your claim, but that you also have the financial clout to see it through. 

It’s a powerful message to tell them that your claim is so strong that a third party financier is prepared to back it. 

If the claim is lost, you pay nothing. There is no need to gamble any of your own money on pursuing the claim either. Your resources can be saved for other things. 

But there is now a funding ‘market’, and Capital Law became the first law firm to fund and cover the risks of claims we believe in. 

Find out more about Capital Dispute Finance