Clients Cry Foul Over Litigious Litigation Finance Company (4)

Texas attorney Christopher Phillippe thought the deal was simple: Get money up front to pay for litigation costs and pay it back only if he wins in court.

But the 81-year-old lawyer says that’s not how it worked when his solo practice accepted $55,000 from Scottsdale, Ariz.-based litigation funder Pravati Capital in 2019.

“I had to pay them back no matter what,” he said, noting that he now owes roughly $160,000, with interest still accruing, even though he only won a single case out of the dozen listed in his contract with Pravati—and that one netted him just $3,000.

The ...