Law Finance Group Management Company is a registered investment adviser with the U.S.
Securities and Exchange Commission (“SEC”) pursuant to the Investment Advisers Act of
1940 (the “Advisers Act”) and is a Delaware corporation. For purposes of this brochure, the
terms “LFGMC” and the “Firm” mean Law Finance Group Management Company along with
its affiliated general partners of the Funds (as defined below). The Firm’s investors are a mix
of high-net-worth individuals, institutions, family offices, and private funds. Prior to June 24,
2021, Law Finance Group Management Company was known as Law Finance Group, Inc.
Law Finance Group, Inc. was founded by Alan Zimmerman in 1994.
LFGMC provides investment advisory services on behalf of investment vehicles, which may
be structured as fund vehicles or special purpose vehicles (collectively, the “Funds”) in
accordance with the limited partnership agreement (or analogous organizational document)
and/or contractual side letters with any such Fund’s investors (collectively, “Governing
Documents”). Investment restrictions for each Fund, if any, are generally established in the
Governing Documents of the applicable Fund. As of the date of this brochure, the Funds are
currently closed to new investors and new investments.
The Firm offers innovative funding solutions for plaintiffs and attorneys. LFGMC’s
investment strategy consists of originating, diligencing, financing, servicing and collecting
interests in civil money judgements on appeal (“AppealFinance”), advances on receivables in
civil litigation settlements and contracts (“SettlementFinance”), and cross-collateralized
combinations of these and other similar law related assets (“PortfolioFinance”). In addition,
the Firm also participates in “Strategic Funding Opportunities”, which are contract or other
legal rights and receivables relating to specialty, law related investments and finance
opportunities.
The Firm’s policy is to allocate investment opportunities in a manner that is consistent with
its fiduciary obligations and, accordingly, to allocate investment opportunities fairly and
equitably among the Funds, where and to the extent applicable, such that no Fund will be
systematically disadvantaged over time. A number of factors are considered when multiple
Funds are capable of purchasing or selling a particular investment based on their respective
investment objectives, including, without limitations, the amount of available cash, the impact
that
any such transaction may have on an existing portfolio’s diversification, risk profile,
investment restrictions, concentration limits, existing investments, liquidity, contractual
commitments or regulatory obligations and other similar considerations.
From time to time, the Firm in its sole and absolute discretion, and as permitted in the Funds’
Governing Documents, may give certain persons or entities (including affiliates of LFGMC
and/or their personnel) an opportunity to invest alongside a Fund in certain investments (Co-
Investment Opportunities). The Firm generally does so in instances where there is an excess
amount of an investment opportunity or where an investment opportunity requires an
investment commitment that is above the concentration limits set forth in the applicable
partnership agreement (or other governing document) of a Fund. In exercising the Firm’s
discretion to decide how to allocate investment opportunities with respect to various parties,
the Firm may consider certain factors, which include, but are not limited to: the size and
financial resources of the potential co-investment party and the ability of that person or entity
to efficiently and expeditiously participate in the investment opportunity with the relevant
Fund; the Firm’s past experiences and relationships with the potential co-investment party; the
Firm’s evaluation of whether the investment opportunity may subject the potential co-
investment party to legal, regulatory, reporting, public relations, media or other burdens that
make it less likely that the potential co-investment party would act upon the investment
opportunity if offered; and contractual priority rights (including rights of first refusal) that
certain Co-Investors may have over acquisition of investments that are otherwise appropriate
for other Funds the Firm manages.
Such Co-Investment Opportunities may take place concurrently with a Fund or
subsequent thereto and will generally be made on substantially the same terms as the
investment made by the Fund. Dispositions of any Co-Investments Opportunities are
expected to be made at the same time and on the same terms as the disposition of a Fund’s
investment.
Assets Under Management
As of December 31, 2023, LFGMC manages approximately $105 million of Fund assets of
which approximately $67 million are assets managed on a discretionary basis, and
approximately $38 million are assets managed on a non-discretionary basis.