An Emerging Issue–Hedge Fund Investment in Litigation

The Institute for Legal Reform has an interesting op-ed piece (originally printed in the The Atlantic) that relates to the recent practice of hedge funds investing in plaintiff litigation.  The article raises some interesting public policy concerns such as access to courts, free markets principles and the problem of frivolous lawsuits.

I will admit that this is not an issue that I have encountered but I’m interested in learning more and considering how lawsuit abuse might be prevented through rules that do not undermine other important policy concerns.