What Is Litigation Funding in the UAE?

    Litigation funding (third-party funding) is when an independent funder pays some or all of the costs of a legal claim in exchange for an agreed return if the claim succeeds. If the claim fails, the claimant usually owes the funder nothing under a non-recourse agreement.

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    How it works

    A claimant with a strong case but limited budget, or a company that prefers not to tie up capital, applies to a funder. The funder reviews the merits, the claim value, the defendant's ability to pay and the enforcement prospects.

    If approved, the parties sign a funding agreement setting out the budget, milestones and the funder's return. The claimant and their lawyer keep control of strategy.

    What can be funded

    Court and arbitration fees, expert reports, translations, notarisation and service of documents, and enforcement or recovery actions. Some structures also cover legal fees.

    Who it suits

    Companies and individuals with high-value commercial claims, law firms seeking to share risk with clients, and claimants who need to enforce a judgment or award against a solvent counterparty.

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    This guide is general information, not legal advice. Dubai Legal Funding is not a law firm. Speak to qualified counsel about your specific matter.