Hedge funds and litigation: A brave new world
Hedge funds and other investment funds are emerging as sophisticated litigators, viewing litigation as an asset, which can create value and mitigate risk, rather than something to be avoided or feared. As a consequence, both the market and various legal systems are being disciplined and developed. How and why is this happening? Willing to litigate relentlessly and fearlessly, hedge funds will seek out and find gaps in documents and uncertainties in the law, and exploit them with ruthless efficiency, entering new legal territory and pushing the boundary of legal theories.