Dropbox Forces Patent Owner to Reveal Lawsuit Funding Files (1)

A federal district court partially granted a request from Dropbox Inc. to force a media company to disclose litigation funding documents in a file sharing patent dispute.

Entangled Media LLC “has received and continues to receive” litigation funding with respect to its fight with Dropbox, said Magistrate Judge Virginia K. DeMarchi of the US District Court for the Northern District of California in an order Tuesday.

The growing, $16 billion litigation finance industry—in which outside funders invest in lawsuits for a piece of settlements and verdicts—has drawn increasing attention in recent years, with some judges pushing for more disclosure ...