The rise of third-party litigation funding (TPLF) has reshaped patent litigation, providing access and strategic advantages but also raising ethical concerns and potential abuses.
Litigation finance allows patent holders to assemble high-caliber legal teams, conveying to opponents that sophisticated investors are backing their case financially, which can deter adversaries.
However, TPLF could sideline the actual patent holders in favor of funders' interests, raising ethical debates regarding who benefits most from litigation efforts.
Despite concerns, TPLF enables larger law firms to pursue previously unattractive cases, improving overall patent litigation and potentially leveling the playing field against well-resourced defendants.
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